Royal Bank Of Canada Issues Pessimistic Forecast for Elastic (NYSE:ESTC) Stock Price

Elastic (NYSE:ESTC) had its target price reduced by Royal Bank Of Canada from $115.00 to $95.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage presently has an “outperform” rating on the stock. Royal Bank Of Canada’s price target points to a potential upside of 26.64% from the company’s current price.

A number of other research firms also recently commented on ESTC. Wedbush decreased their target price on Elastic from $110.00 to $90.00 and set an “outperform” rating on the stock in a research report on Friday, November 21st. Wall Street Zen raised shares of Elastic from a “hold” rating to a “buy” rating in a research report on Saturday, October 11th. Citigroup dropped their price objective on Elastic from $130.00 to $115.00 and set a “buy” rating on the stock in a research note on Monday, November 24th. JPMorgan Chase & Co. lowered their price objective on shares of Elastic from $120.00 to $113.00 and set an “overweight” rating for the company in a research note on Friday, November 21st. Finally, Needham & Company LLC reiterated a “hold” rating on shares of Elastic in a research note on Friday, October 10th. Seventeen research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $106.42.

Elastic Stock Up 3.4%

Shares of ESTC stock traded up $2.46 during mid-day trading on Monday, hitting $75.02. The company’s stock had a trading volume of 177,091 shares, compared to its average volume of 746,338. The stock has a market cap of $7.90 billion, a price-to-earnings ratio of -72.82, a PEG ratio of 287.78 and a beta of 0.92. Elastic has a 52-week low of $68.10 and a 52-week high of $118.84. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.97 and a current ratio of 1.97. The business has a 50-day moving average price of $80.03 and a 200 day moving average price of $82.69.

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

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

Insider Buying and Selling

In related news, Director Paul R. Auvil III acquired 10,000 shares of the firm’s stock in a transaction on Monday, December 1st. The shares were acquired at an average cost of $71.02 per share, with a total value of $710,200.00. Following the completion of the acquisition, the director directly owned 37,956 shares in the company, valued at approximately $2,695,635.12. This trade represents a 35.77% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Ashutosh Kulkarni sold 20,413 shares of the business’s stock in a transaction dated Tuesday, December 9th. The stock was sold at an average price of $75.05, for a total transaction of $1,531,995.65. Following the sale, the chief executive officer directly owned 431,901 shares of the company’s stock, valued at $32,414,170.05. This represents a 4.51% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 61,891 shares of company stock valued at $4,654,707 in the last ninety days. Company insiders own 12.70% of the company’s stock.

Institutional Trading of Elastic

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

Elastic Company Profile

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.