Elastic (NYSE:ESTC) Posts Quarterly Earnings Results

Elastic (NYSE:ESTC) posted its quarterly earnings results on Thursday. The company reported $0.70 earnings per share for the quarter, beating analysts’ consensus estimates of $0.58 by $0.12, FiscalAI reports. The company had revenue of $478.11 million for the quarter, compared to the consensus estimate of $469.75 million. Elastic had a negative return on equity of 1.82% and a net margin of 21.14%.

Elastic Price Performance

Shares of NYSE:ESTC traded up $4.63 during trading on Thursday, reaching $83.88. 4,363,585 shares of the company traded hands, compared to its average volume of 2,072,987. The company’s 50 day moving average is $66.94 and its two-hundred day moving average is $58.59. The firm has a market capitalization of $8.72 billion, a PE ratio of 23.96, a PEG ratio of 20.06 and a beta of 0.98. The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 0.45. Elastic has a 52 week low of $42.05 and a 52 week high of $96.07.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on ESTC. William Blair initiated coverage on shares of Elastic in a research note on Friday, May 22nd. They set an “outperform” rating for the company. Morgan Stanley downgraded Elastic from an “overweight” rating to an “equal weight” rating and cut their price objective for the company from $73.00 to $66.00 in a report on Tuesday, July 21st. Wedbush lowered their target price on shares of Elastic from $74.00 to $65.00 and set an “outperform” rating on the stock in a report on Friday, May 29th. Jefferies Financial Group increased their price target on shares of Elastic from $75.00 to $100.00 and gave the company a “buy” rating in a research note on Sunday, August 16th. Finally, Scotiabank lowered their price objective on shares of Elastic from $61.00 to $58.00 and set a “sector perform” rating on the stock in a research note on Friday, May 29th. Seventeen equities research analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Elastic presently has a consensus rating of “Moderate Buy” and a consensus price target of $87.41.

Insider Buying and Selling

In related news, CFO Navam Welihinda sold 12,961 shares of the business’s stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total value of $785,566.21. Following the completion of the transaction, the chief financial officer owned 209,254 shares of the company’s stock, valued at $12,682,884.94. The trade was a 5.83% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Carolyn Herzog sold 9,485 shares of the company’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 $574,885.85. Following the sale, the insider directly owned 128,439 shares of the company’s stock, valued at $7,784,687.79. This represents a 6.88% 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 have sold 110,099 shares of company stock valued at $6,673,100 in the last ninety days. Insiders own 12.70% of the company’s stock.

Hedge Funds Weigh In On Elastic

Several institutional investors and hedge funds have recently added to or reduced their stakes in ESTC. Geneos Wealth Management Inc. bought a new stake in shares of Elastic during the second quarter worth about $31,000. Aster Capital Management DIFC Ltd grew its holdings in Elastic by 206.1% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 551 shares of the company’s stock worth $42,000 after acquiring an additional 371 shares during the last quarter. Kestra Advisory Services LLC acquired a new position in Elastic in the 4th quarter valued at approximately $49,000. Quarry LP raised its stake in shares of Elastic by 16,200.0% during the fourth quarter. Quarry LP now owns 652 shares of the company’s stock valued at $49,000 after acquiring an additional 648 shares during the last quarter. Finally, Empowered Funds LLC acquired a new position in shares of Elastic during the fourth quarter worth $62,000. 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.