Elastic (NYSE:ESTC) Stock Rating Cut to “Hold” at Zacks Research

Zacks Research cut shares of Elastic (NYSE:ESTC) from a strong-buy rating to a hold rating in a research report sent to investors on Monday,Zacks reports.

A number of other research firms have also recently weighed in on ESTC. Truist Financial boosted their price target on Elastic from $80.00 to $100.00 and gave the stock a “buy” rating in a report on Thursday, August 20th. Bank of America increased their price objective on Elastic from $90.00 to $108.00 and gave the company a “neutral” rating in a research note on Friday, August 28th. Oppenheimer lifted their price objective on Elastic from $100.00 to $118.00 and gave the stock an “outperform” rating in a research report on Friday, August 28th. Wells Fargo & Company boosted their target price on shares of Elastic from $60.00 to $80.00 and gave the company an “equal weight” rating in a research note on Tuesday, August 25th. Finally, Morgan Stanley boosted their price target on Elastic from $66.00 to $75.00 and gave the company an “equal weight” rating in a report on Friday, August 28th. Seventeen analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Elastic currently has a consensus rating of “Moderate Buy” and an average target price of $98.56.

Elastic Stock Down 3.2%

Shares of NYSE ESTC opened at $87.40 on Monday. The firm’s 50-day moving average is $92.45 and its two-hundred day moving average is $68.05. The company has a market capitalization of $9.18 billion, a PE ratio of 24.48, a price-to-earnings-growth ratio of 7.58 and a beta of 0.97. Elastic 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 current ratio of 1.81 and a quick ratio of 1.81.

Elastic (NYSE:ESTC) last issued its quarterly earnings data on Thursday, August 27th. The company reported $0.70 earnings per share for the quarter, topping analysts’ consensus estimates 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 analysts’ expectations of $469.75 million. During the same period last year, the company posted $0.60 EPS. The company’s revenue was up 15.2% on a year-over-year basis. Elastic has set its FY 2027 guidance at 3.290-3.370 EPS and its Q2 2027 guidance at 0.800-0.820 EPS. Equities analysts anticipate that Elastic will post 0.65 EPS for the current fiscal year.

Insider Activity

In related news, insider Carolyn Herzog sold 5,485 shares of the firm’s stock in a transaction that occurred on Wednesday, September 9th. The shares were sold at an average price of $87.78, for a total transaction of $481,473.30. Following the completion of the sale, the insider directly owned 112,954 shares in the company, valued at approximately $9,915,102.12. This trade represents a 4.63% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Steven Schuurman sold 2,000,000 shares of Elastic stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $94.15, for a total transaction of $188,300,000.00. Following the completion of the transaction, the director owned 2,504,600 shares in the company, valued at approximately $235,808,090. This trade represents a 44.40% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 4,585,641 shares of company stock valued at $422,851,366 over the last 90 days. Corporate insiders own 12.70% of the company’s stock.

Institutional Trading of Elastic

Hedge funds have recently bought and sold shares of the company. VIRGINIA RETIREMENT SYSTEMS ET Al increased its stake in shares of Elastic by 1.8% during the 3rd quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 5,700 shares of the company’s stock worth $523,000 after purchasing an additional 100 shares during the last quarter. Signaturefd LLC raised its stake in shares of Elastic by 101.6% in the third quarter. Signaturefd LLC now owns 496 shares of the company’s stock valued at $45,000 after purchasing an additional 250 shares in the last quarter. 180 Wealth Advisors LLC raised its stake in shares of Elastic by 4.6% in the second quarter. 180 Wealth Advisors LLC now owns 6,027 shares of the company’s stock valued at $344,000 after purchasing an additional 263 shares in the last quarter. Eurizon Capital SGR S.p.A. lifted its position in Elastic by 29.4% in the third quarter. Eurizon Capital SGR S.p.A. now owns 1,326 shares of the company’s stock worth $118,000 after purchasing an additional 301 shares during the period. Finally, HB Wealth Management LLC lifted its position in Elastic by 11.2% in the first quarter. HB Wealth Management LLC now owns 4,363 shares of the company’s stock worth $218,000 after purchasing an additional 441 shares during the period. 97.03% of the stock is owned by hedge funds and other institutional investors.

Elastic Company Profile

Elastic N.V. develops software for search, observability and security. Its products help organizations search and analyze data, monitor applications and infrastructure, and detect and respond to cybersecurity threats. The company’s offerings include the Elastic Stack—built around Elasticsearch and including Kibana, Logstash and Beats—as well as cloud-based services through Elastic Cloud. These tools can be used to work with data from a range of sources and support applications such as enterprise search, log analytics and security monitoring.