Elastic (NYSE:ESTC) Issues Earnings Results

Elastic (NYSE:ESTC) issued its earnings results on Thursday. The company reported $0.70 earnings per share for the quarter, topping analysts’ consensus estimates of $0.58 by $0.12, FiscalAI reports. The firm had revenue of $478.11 million during the quarter, compared to analyst estimates of $469.75 million. Elastic had a net margin of 21.14% and a negative return on equity of 1.82%. Elastic updated its FY 2027 guidance to 3.290-3.370 EPS and its Q2 2027 guidance to 0.800-0.820 EPS.

Elastic Price Performance

Shares of NYSE ESTC traded up $4.63 during midday trading on Thursday, hitting $83.88. 4,615,612 shares of the company’s stock were exchanged, compared to its average volume of 2,080,636. The business’s fifty day moving average price is $66.94 and its two-hundred day moving average price is $58.59. The company has a market cap of $8.72 billion, a price-to-earnings ratio of 23.96, a PEG ratio of 20.06 and a beta of 0.98. The company has a current ratio of 1.68, a quick ratio of 1.68 and a debt-to-equity ratio of 0.45. Elastic has a 12-month low of $42.05 and a 12-month high of $96.07.

Insider Transactions at Elastic

In other news, CRO Mark Eugene Dodds sold 18,439 shares of the firm’s stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $60.61, for a total transaction of $1,117,587.79. Following the sale, the executive owned 298,211 shares in the company, valued at approximately $18,074,568.71. This trade represents a 5.82% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Navam Welihinda sold 12,961 shares of Elastic stock in a transaction on Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total transaction of $785,566.21. Following the sale, the chief financial officer directly owned 209,254 shares of the company’s stock, valued at $12,682,884.94. This represents a 5.83% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 110,099 shares of company stock worth $6,673,100. Company insiders own 12.70% of the company’s stock.

Institutional Trading of Elastic

Hedge funds and other institutional investors have recently bought and sold shares of the company. Pacer Advisors Inc. grew its position in Elastic by 80.9% during the fourth quarter. Pacer Advisors Inc. now owns 10,539 shares of the company’s stock valued at $795,000 after acquiring an additional 4,714 shares during the last quarter. Invesco Ltd. lifted its holdings in shares of Elastic by 17.6% in the 4th quarter. Invesco Ltd. now owns 128,844 shares of the company’s stock worth $9,720,000 after acquiring an additional 19,304 shares during the last quarter. Corient Private Wealth LLC boosted its stake in shares of Elastic by 805.7% in the 4th quarter. Corient Private Wealth LLC now owns 36,420 shares of the company’s stock valued at $2,748,000 after purchasing an additional 32,399 shares in the last quarter. Mercer Global Advisors Inc. ADV boosted its stake in shares of Elastic by 153.1% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 79,926 shares of the company’s stock valued at $6,030,000 after purchasing an additional 48,344 shares in the last quarter. Finally, Mackenzie Financial Corp grew its holdings in shares of Elastic by 13.2% during the 4th quarter. Mackenzie Financial Corp now owns 291,536 shares of the company’s stock valued at $22,296,000 after purchasing an additional 33,925 shares during the last quarter. Hedge funds and other institutional investors own 97.03% of the company’s stock.

Trending Headlines about Elastic

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Quarterly earnings beat estimates: Elastic reported adjusted earnings of $0.70 per share, surpassing the $0.58 consensus estimate, while revenue of $478.11 million exceeded expectations of $469.75 million. The earnings and revenue beats support the bullish reaction, although the company’s return on equity remained negative at 1.82%. Elastic Press Release
• Positive Sentiment: Momentum-focused investor interest: Zacks identified Elastic as a top-ranked momentum stock, potentially reinforcing demand for the shares following their strong recent performance. Zacks Momentum Stock Article
• Positive Sentiment: Analyst support: Wells Fargo reportedly expects Elastic’s stock to rise, while Cantor Fitzgerald issued a favorable outlook, adding to the positive sentiment surrounding the company. Wells Fargo Elastic Analyst Outlook Cantor Fitzgerald Elastic Forecast
• Neutral Sentiment: Mixed analyst targets: Rosenblatt reaffirmed a “buy” rating with an $83 price target, while DA Davidson raised its target to $80 but maintained a “neutral” rating. These targets suggest analysts see limited near-term upside after the recent rally. Rosenblatt Elastic Rating
• Neutral Sentiment: Another analyst roundup described sentiment toward Elastic and other technology stocks as neutral. Analyst Neutrality Report

Wall Street Analyst Weigh In

Several research analysts recently commented on the stock. Piper Sandler reaffirmed an “overweight” rating on shares of Elastic in a report on Friday, June 26th. JPMorgan Chase & Co. upped their price target on Elastic from $80.00 to $93.00 and gave the company an “overweight” rating in a research report on Friday, August 21st. Barclays raised their price objective on shares of Elastic from $68.00 to $94.00 and gave the company an “overweight” rating in a research report on Monday. Royal Bank Of Canada upped their target price on shares of Elastic from $70.00 to $87.00 and gave the stock an “outperform” rating in a report on Friday, August 14th. Finally, DA Davidson increased their target price on shares of Elastic from $60.00 to $80.00 and gave the stock a “neutral” rating in a research note on Wednesday. Seventeen equities research analysts have rated the stock with a Buy rating and thirteen have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $87.41.

About Elastic

Elastic N.V. operates as a search and analytics company, offering a suite of open source and subscription-based solutions for search, observability and security use cases. Its flagship product, Elasticsearch, enables fast and scalable full-text search and analytics across large volumes of structured and unstructured data. Complementary tools such as Kibana provide visualization capabilities, while Beats and Logstash serve as lightweight data shippers and data processing pipelines, respectively.

The company was founded in 2012 by Shay Banon, who serves as chief technology officer, and Steven Schuurman.