Morgan Stanley Issues Pessimistic Forecast for Atlassian (NASDAQ:TEAM) Stock Price

Atlassian (NASDAQ:TEAM) had its price target decreased by investment analysts at Morgan Stanley from $320.00 to $290.00 in a research note issued on Friday,Benzinga reports. The firm presently has an “overweight” rating on the technology company’s stock. Morgan Stanley’s price objective points to a potential upside of 194.69% from the company’s previous close.

A number of other brokerages have also recently commented on TEAM. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Atlassian in a research report on Wednesday, January 21st. Jefferies Financial Group set a $262.00 price objective on Atlassian in a research note on Thursday, January 15th. Mizuho decreased their target price on Atlassian from $225.00 to $205.00 and set an “outperform” rating for the company in a research note on Friday. KeyCorp lowered their target price on Atlassian from $250.00 to $210.00 and set an “overweight” rating for the company in a report on Thursday, October 23rd. Finally, Cantor Fitzgerald cut their price target on Atlassian from $240.00 to $146.00 and set an “overweight” rating on the stock in a report on Wednesday. Twenty investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $211.80.

Atlassian Trading Down 6.3%

NASDAQ:TEAM opened at $98.41 on Friday. The firm’s fifty day moving average is $145.60 and its 200-day moving average is $159.15. The company has a debt-to-equity ratio of 0.72, a quick ratio of 1.26 and a current ratio of 1.26. Atlassian has a 52 week low of $97.93 and a 52 week high of $326.00. The firm has a market cap of $25.89 billion, a P/E ratio of -138.60, a P/E/G ratio of 16.27 and a beta of 0.88.

Insider Activity at Atlassian

In related news, Director Scott Farquhar sold 7,665 shares of the stock in a transaction on Wednesday, February 4th. The stock was sold at an average price of $105.14, for a total value of $805,898.10. Following the transaction, the director directly owned 291,270 shares in the company, valued at $30,624,127.80. This trade represents a 2.56% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Michael Cannon-Brookes sold 7,665 shares of Atlassian stock in a transaction on Wednesday, February 4th. The shares were sold at an average price of $105.14, for a total transaction of $805,898.10. Following the completion of the sale, the chief executive officer directly owned 291,270 shares of the company’s stock, valued at approximately $30,624,127.80. The trade was a 2.56% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 551,049 shares of company stock valued at $81,277,257. Corporate insiders own 36.66% of the company’s stock.

Hedge Funds Weigh In On Atlassian

Hedge funds have recently added to or reduced their stakes in the stock. AMF Tjanstepension AB bought a new stake in Atlassian during the 4th quarter worth approximately $4,669,000. Profund Advisors LLC boosted its position in shares of Atlassian by 5.0% during the fourth quarter. Profund Advisors LLC now owns 19,352 shares of the technology company’s stock valued at $3,138,000 after buying an additional 929 shares during the last quarter. ProShare Advisors LLC grew its holdings in Atlassian by 44.9% during the fourth quarter. ProShare Advisors LLC now owns 261,130 shares of the technology company’s stock worth $42,340,000 after buying an additional 80,875 shares in the last quarter. VSM Wealth Advisory LLC purchased a new stake in Atlassian in the 4th quarter valued at $41,000. Finally, Mission Wealth Management LP bought a new position in Atlassian during the 4th quarter valued at $291,000. Institutional investors and hedge funds own 94.45% of the company’s stock.

Key Headlines Impacting Atlassian

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: Q2 results beat consensus — EPS $1.22 vs $1.12 est. and revenue $1.59B (up 23% YoY), showing healthy top-line momentum. Article Title
• Positive Sentiment: Management raised FY‑2026 revenue outlook (now ~$6.4B) and issued Q3 revenue guidance (~$1.7B), signaling confidence in enterprise demand and AI-driven spending. Article Title
• Positive Sentiment: Company reports record cloud revenue and emphasizes AI integration and enterprise expansion, targeting 20%+ annual revenue growth through FY27 — a multi-year growth plan investors can model. Article Title
• Neutral Sentiment: Management commentary and the full earnings-call transcript provide detail on AI product roadmap and enterprise wins — useful for longer-term thesis but not an immediate sentiment swing. Article Title
• Negative Sentiment: Market flagged deceleration in cloud growth expectations despite the beat, a key near-term risk for valuation multiples and analyst models. Article Title
• Negative Sentiment: Analysts trimmed price targets (Cantor Fitzgerald and BMO among them), reflecting heightened uncertainty on AI monetization and growth pacing. Article Title
• Negative Sentiment: Insider selling disclosed: co‑founders sold shares (~7,665 shares each), which amplified downward pressure amid an already cautious tape. Article Title
• Negative Sentiment: Wider software sector weakness and renewed AI-related fears pressured cloud/software multiples today, dragging TEAM along with peers. Article Title

About Atlassian

Atlassian Corporation Plc is a software company headquartered in Sydney, Australia, best known for developing collaboration, project management and software development tools. Founded in 2002 by Mike Cannon-Brookes and Scott Farquhar, Atlassian grew from a small engineering-focused team into a publicly traded company after its initial public offering in 2015. The company serves a global customer base that spans small teams to large enterprises across technology, financial services, government and other sectors.

Atlassian’s product portfolio centers on tools designed to help teams plan, build and support software and business processes.