Insider Selling: Elastic (NYSE:ESTC) CTO Sells 6,201 Shares

Elastic N.V. (NYSE:ESTC) CTO Shay Banon sold 6,201 shares of Elastic stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $85.19, for a total transaction of $528,263.19. Following the completion of the transaction, the chief technology officer directly owned 3,994,770 shares in the company, valued at $340,314,456.30. This trade represents a 0.15% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Shay Banon also recently made the following trade(s):

• On Wednesday, September 9th, Shay Banon sold 155,586 shares of Elastic stock. The shares were sold at an average price of $86.82, for a total value of $13,507,976.52.
• On Friday, September 4th, Shay Banon sold 80,583 shares of Elastic stock. The shares were sold at an average price of $92.65, for a total value of $7,466,014.95.
• On Thursday, September 3rd, Shay Banon sold 23,702 shares of Elastic stock. The shares were sold at an average price of $94.11, for a total value of $2,230,595.22.
• On Thursday, September 3rd, Shay Banon sold 180,000 shares of Elastic stock. The shares were sold at an average price of $94.07, for a total value of $16,932,600.00.
• On Wednesday, September 2nd, Shay Banon sold 165,171 shares of Elastic stock. The stock was sold at an average price of $90.26, for a total value of $14,908,334.46.
• On Tuesday, September 1st, Shay Banon sold 111,127 shares of Elastic stock. The stock was sold at an average price of $92.60, for a total transaction of $10,290,360.20.
• On Monday, August 31st, Shay Banon sold 200,000 shares of Elastic stock. The shares were sold at an average price of $96.47, for a total transaction of $19,294,000.00.

Elastic Price Performance

Shares of Elastic stock traded down $0.04 during midday trading on Friday, hitting $83.44. 2,354,723 shares of the company traded hands, compared to its average volume of 2,177,464. The firm’s fifty day moving average price is $74.28 and its 200-day moving average price is $60.91. The stock has a market cap of $8.76 billion, a price-to-earnings ratio of 23.37, a PEG ratio of 8.39 and a beta of 1.03. Elastic N.V. has a 12 month low of $42.05 and a 12 month high of $108.00. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.81 and a current ratio of 1.81.

Elastic (NYSE:ESTC) last issued its quarterly earnings data on Thursday, August 27th. The company reported $0.70 EPS for the quarter, beating the consensus estimate of $0.58 by $0.12. Elastic had a net margin of 20.84% and a negative return on equity of 0.35%. The business had revenue of $478.11 million during the quarter, compared to the consensus estimate of $469.75 million. During the same quarter in the prior year, the firm earned $0.60 EPS. The firm’s revenue was up 15.2% compared to the same quarter last year. Elastic has set its FY 2027 guidance at 3.290-3.370 EPS and its Q2 2027 guidance at 0.800-0.820 EPS. As a group, sell-side analysts forecast that Elastic N.V. will post 0.56 earnings per share for the current year.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of ESTC. Orion Porfolio Solutions LLC boosted its holdings in Elastic by 1.4% in the third quarter. Orion Porfolio Solutions LLC now owns 8,593 shares of the company’s stock valued at $726,000 after acquiring an additional 118 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in shares of Elastic by 17.3% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 1,159 shares of the company’s stock worth $98,000 after purchasing an additional 171 shares during the period. Public Employees Retirement System of Ohio lifted its position in shares of Elastic by 0.6% in the 3rd quarter. Public Employees Retirement System of Ohio now owns 28,323 shares of the company’s stock worth $2,393,000 after purchasing an additional 175 shares during the period. California State Teachers Retirement System boosted its stake in shares of Elastic by 0.3% in the 2nd quarter. California State Teachers Retirement System now owns 83,403 shares of the company’s stock valued at $7,033,000 after purchasing an additional 219 shares during the last quarter. Finally, 180 Wealth Advisors LLC increased its position in shares of Elastic by 4.6% during the second quarter. 180 Wealth Advisors LLC now owns 6,027 shares of the company’s stock worth $344,000 after buying an additional 263 shares during the period. 97.03% of the stock is owned by institutional investors.

Elastic News Roundup

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic introduced Elasticsearch Vector Database, a serverless offering designed for large-scale vector search and artificial-intelligence applications. The product is intended to simplify deployment, support hundreds of billions of vectors and strengthen Elastic’s position in the growing AI-search market. Elastic Introduces Serverless Vector Database
• Positive Sentiment: Wedbush began coverage with an “outperform” rating and a $125 price target, implying substantial upside from the recent trading level. The recommendation reflects optimism about Elastic’s AI, search and cloud growth opportunities.
• Positive Sentiment: Short interest dropped 39% between mid-August and August 31 to 3.87 million shares, or roughly 4.2% of shares outstanding. Reduced bearish positioning and only 1.1 days of short-interest coverage could provide technical support and limit short-selling pressure.
• Neutral Sentiment: Elastic’s latest quarterly results were strong, with $0.70 in adjusted EPS versus the $0.58 consensus and revenue of $478.1 million versus $469.8 million expected. Revenue grew 15.2% year over year, and fiscal 2027 EPS guidance was set at $3.29 to $3.37; however, these results were reported previously and may already be reflected in the stock’s valuation.
• Negative Sentiment: Several executives, including CEO Ashutosh Kulkarni, CFO Navam Welihinda, CRO Mark Dodds and CAO Jane Bone, sold shares on September 9. The sales totaled about 54,888 shares and $4.8 million, but were made to cover tax withholding on vested equity awards, making them less concerning than discretionary selling.
• Negative Sentiment: Repeated insider selling following a strong rally could still weigh on sentiment, particularly as investors assess whether the company’s AI-driven growth can justify its elevated valuation.

Analyst Upgrades and Downgrades

A number of equities research analysts recently weighed in on the company. Wolfe Research set a $55.00 price objective on Elastic in a research report on Friday, May 29th. Royal Bank Of Canada lifted their price target on Elastic from $70.00 to $87.00 and gave the company an “outperform” rating in a research note on Friday, August 14th. Wall Street Zen cut Elastic from a “buy” rating to a “hold” rating in a report on Saturday, June 13th. Piper Sandler reaffirmed a “hold” rating on shares of Elastic in a research note on Friday, August 28th. Finally, Jefferies Financial Group raised their price objective on shares of Elastic from $100.00 to $120.00 and gave the company a “buy” rating in a report on Friday, August 28th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and thirteen have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $96.52.

Elastic Company Profile

Elastic N.V. develops search, observability and security software for organizations that need to find, analyze and act on data. Its core technology, Elasticsearch, is a distributed search and analytics engine that can process structured and unstructured information from applications, websites, logs and other sources.

The company offers its platform through Elastic Cloud, a managed cloud service available across major public-cloud environments, as well as through self-managed deployments.