Elastic (NYSE:ESTC) Trading Down 5.1% – What’s Next?

Elastic N.V. (NYSE:ESTC) dropped 5.1% on Tuesday . The stock traded as low as $59.74 and last traded at $59.57. 818,627 shares were traded during mid-day trading, a decline of 60% from the average daily volume of 2,048,643 shares. The stock had previously closed at $62.74.

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on the stock. Piper Sandler reiterated an “overweight” rating on shares of Elastic in a research note on Friday, June 26th. Canaccord Genuity Group dropped their price objective on shares of Elastic from $90.00 to $80.00 and set a “buy” rating for the company in a report on Friday, May 29th. JPMorgan Chase & Co. cut their target price on shares of Elastic from $99.00 to $80.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 27th. Scotiabank reduced their target price on shares of Elastic from $61.00 to $58.00 and set a “sector perform” rating on the stock in a report on Friday, May 29th. Finally, Stifel Nicolaus set a $65.00 price target on shares of Elastic in a research report on Friday, May 29th. Seventeen analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $78.78.

Elastic Stock Down 4.9%

The firm’s fifty day simple moving average is $58.68 and its 200 day simple moving average is $58.23. The company has a current ratio of 1.68, a quick ratio of 1.68 and a debt-to-equity ratio of 0.45. The company has a market cap of $6.20 billion, a price-to-earnings ratio of 17.05, a PEG ratio of 15.83 and a beta of 1.00.

Elastic (NYSE:ESTC) last announced its quarterly earnings data on Thursday, May 28th. The company reported $0.61 earnings per share for the quarter, beating analysts’ consensus estimates of $0.56 by $0.05. The business had revenue of $450.68 million for the quarter, compared to analyst estimates of $446.66 million. Elastic had a net margin of 21.14% and a negative return on equity of 1.82%. The company’s revenue was up 16.0% on a year-over-year basis. During the same period last year, the business earned $0.47 EPS. Elastic has set its FY 2027 guidance at 3.210-3.290 EPS and its Q1 2027 guidance at 0.570-0.590 EPS. Sell-side analysts predict that Elastic N.V. will post 0.23 earnings per share for the current year.

Insider Activity at Elastic

In other news, CRO Mark Eugene Dodds sold 18,439 shares of the firm’s stock in a transaction dated Tuesday, June 9th. The stock was 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 of the company’s stock, valued at approximately $18,074,568.71. This trade represents a 5.82% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Jane E. Bone sold 1,104 shares of the business’s stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total value of $66,913.44. Following the sale, the chief accounting officer owned 53,415 shares of the company’s stock, valued at approximately $3,237,483.15. The trade was a 2.02% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 110,099 shares of company stock worth $6,673,100 over the last three months. Company insiders own 12.70% of the company’s stock.

Institutional Trading of Elastic

Institutional investors have recently modified their holdings of the stock. J. Safra Sarasin Holding AG lifted its holdings in shares of Elastic by 43.0% in the 4th quarter. J. Safra Sarasin Holding AG now owns 189,138 shares of the company’s stock valued at $14,269,000 after buying an additional 56,892 shares during the period. Legal & General Group Plc grew its holdings in Elastic by 15.6% during the fourth quarter. Legal & General Group Plc now owns 396,595 shares of the company’s stock worth $29,919,000 after acquiring an additional 53,523 shares during the period. Temasek Holdings Private Ltd grew its holdings in Elastic by 9.3% during the fourth quarter. Temasek Holdings Private Ltd now owns 1,294,465 shares of the company’s stock worth $97,654,000 after acquiring an additional 109,608 shares during the period. ING Groep NV raised its position in Elastic by 20.5% in the fourth quarter. ING Groep NV now owns 444,800 shares of the company’s stock worth $33,556,000 after acquiring an additional 75,700 shares in the last quarter. Finally, Assenagon Asset Management S.A. raised its position in Elastic by 12.0% in the fourth quarter. Assenagon Asset Management S.A. now owns 211,926 shares of the company’s stock worth $15,988,000 after acquiring an additional 22,757 shares in the last quarter. Hedge funds and other institutional investors own 97.03% of the company’s stock.

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.