Elastic (NYSE:ESTC) Hits New 1-Year Low – Here’s What Happened

Elastic N.V. (NYSE:ESTC)’s share price hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $67.96 and last traded at $68.44, with a volume of 371125 shares trading hands. The stock had previously closed at $69.57.

Analysts Set New Price Targets

A number of equities analysts recently commented on the stock. Needham & Company LLC reaffirmed a “hold” rating on shares of Elastic in a research report on Friday, October 10th. Bank of America lowered their target price on shares of Elastic from $111.00 to $90.00 and set a “neutral” rating on the stock in a report on Friday, November 21st. DA Davidson dropped their price target on shares of Elastic from $100.00 to $80.00 and set a “neutral” rating for the company in a research report on Friday, November 21st. Royal Bank Of Canada reduced their price target on Elastic from $115.00 to $95.00 and set an “outperform” rating on the stock in a research report on Monday, January 5th. Finally, Stifel Nicolaus lowered their price objective on Elastic from $134.00 to $108.00 and set a “buy” rating on the stock in a research note on Friday, November 21st. Seventeen investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Elastic has a consensus rating of “Moderate Buy” and a consensus target price of $105.71.

Elastic Stock Down 0.1%

The company has a market capitalization of $7.32 billion, a price-to-earnings ratio of -67.47, a P/E/G ratio of 290.36 and a beta of 0.92. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.97 and a quick ratio of 1.97. The firm’s fifty day moving average price is $76.49 and its 200-day moving average price is $81.91.

Elastic (NYSE:ESTC) last issued its quarterly earnings data on Thursday, November 20th. The company reported $0.64 earnings per share for the quarter, topping analysts’ consensus estimates of $0.58 by $0.06. The business had revenue of $423.48 million for the quarter, compared to analyst estimates of $418.27 million. Elastic had a negative return on equity of 2.02% and a negative net margin of 6.79%.Elastic’s quarterly revenue was up 15.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.59 EPS. Elastic has set its Q3 2026 guidance at 0.630-0.65 EPS. Sell-side analysts expect that Elastic N.V. will post -0.77 earnings per share for the current fiscal year.

Elastic declared that its Board of Directors has initiated a stock buyback plan on Thursday, October 9th that allows the company to repurchase $0.00 in shares. This repurchase authorization allows the company to purchase shares of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its stock is undervalued.

Insider Buying and Selling

In other Elastic news, insider Ken Exner sold 6,544 shares of the company’s stock in a transaction dated Tuesday, December 9th. The stock was sold at an average price of $75.05, for a total value of $491,127.20. Following the sale, the insider owned 227,038 shares in the company, valued at approximately $17,039,201.90. The trade was a 2.80% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CTO Shay Banon sold 4,552 shares of the stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $75.05, for a total value of $341,627.60. Following the completion of the sale, the chief technology officer directly owned 4,359,228 shares of the company’s stock, valued at approximately $327,160,061.40. The trade was a 0.10% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 61,828 shares of company stock valued at $4,641,010 over the last quarter. 12.70% of the stock is currently owned by company insiders.

Institutional Trading of Elastic

Several institutional investors have recently added to or reduced their stakes in ESTC. Vanguard Group Inc. raised its holdings in Elastic by 7.4% during the 3rd quarter. Vanguard Group Inc. now owns 10,206,204 shares of the company’s stock worth $862,322,000 after purchasing an additional 705,991 shares during the last quarter. AQR Capital Management LLC increased its position in shares of Elastic by 62.5% during the third quarter. AQR Capital Management LLC now owns 2,977,361 shares of the company’s stock worth $251,557,000 after buying an additional 1,145,146 shares during the period. Voya Investment Management LLC raised its stake in Elastic by 4.7% during the third quarter. Voya Investment Management LLC now owns 1,781,925 shares of the company’s stock worth $150,555,000 after buying an additional 79,465 shares during the last quarter. State Street Corp lifted its holdings in Elastic by 4.0% in the second quarter. State Street Corp now owns 1,574,525 shares of the company’s stock valued at $132,780,000 after buying an additional 59,850 shares during the period. Finally, Geode Capital Management LLC boosted its position in Elastic by 3.6% during the second quarter. Geode Capital Management LLC now owns 1,569,578 shares of the company’s stock valued at $132,384,000 after acquiring an additional 54,812 shares during the last quarter. 97.03% of the stock is currently owned by institutional investors.

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.