Elastic (NYSE:ESTC) Updates Q1 2027 Earnings Guidance

Elastic (NYSE:ESTC) issued an update on its first quarter 2027 earnings guidance on Thursday morning. The company provided earnings per share guidance of 0.570-0.590 for the period, compared to the consensus earnings per share estimate of 0.500. The company issued revenue guidance of $469.0 million-$470.0 million, compared to the consensus revenue estimate of $469.3 million. Elastic also updated its FY 2027 guidance to 3.210-3.290 EPS.

Elastic Trading Up 6.6%

NYSE ESTC opened at $57.48 on Friday. The company’s 50-day moving average price is $50.20 and its 200-day moving average price is $62.82. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.72. The stock has a market cap of $5.95 billion, a PE ratio of -71.85, a PEG ratio of 101.99 and a beta of 0.88. Elastic has a 12 month low of $42.05 and a 12 month high of $96.07.

Elastic (NYSE:ESTC) last posted its quarterly earnings results on Thursday, May 28th. The company reported $0.61 EPS for the quarter, topping analysts’ consensus estimates of $0.56 by $0.05. The firm had revenue of $450.68 million for the quarter, compared to analysts’ expectations of $446.66 million. Elastic had a negative net margin of 5.04% and a negative return on equity of 2.34%. The business’s revenue for the quarter was up 16.0% on a year-over-year basis. During the same period in the prior year, the business posted $0.47 earnings per share. Elastic has set its FY 2027 guidance at 3.210-3.290 EPS and its Q1 2027 guidance at 0.570-0.590 EPS. Equities research analysts forecast that Elastic will post 0.04 earnings per share for the current year.

Analysts Set New Price Targets

Several analysts have commented on ESTC shares. Barclays decreased their price target on shares of Elastic from $78.00 to $76.00 and set an “overweight” rating for the company in a research report on Friday, February 27th. Rothschild & Co Redburn initiated coverage on shares of Elastic in a research note on Thursday, April 23rd. They set a “neutral” rating and a $49.00 price objective on the stock. Citigroup cut their target price on shares of Elastic from $115.00 to $95.00 and set a “buy” rating for the company in a research note on Friday, February 20th. Wolfe Research set a $55.00 target price on shares of Elastic in a research note on Friday. Finally, Truist Financial lowered their price target on shares of Elastic from $105.00 to $80.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Eighteen analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $85.78.

Insider Buying and Selling at Elastic

In other news, insider Carolyn Herzog sold 3,989 shares of the firm’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $52.28, for a total transaction of $208,544.92. Following the transaction, the insider directly owned 85,335 shares in the company, valued at approximately $4,461,313.80. This trade represents a 4.47% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Ken Exner sold 4,310 shares of the stock in a transaction on Monday, March 9th. The stock was sold at an average price of $52.28, for a total value of $225,326.80. Following the sale, the insider directly owned 222,728 shares of the company’s stock, valued at approximately $11,644,219.84. This represents a 1.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 38,188 shares of company stock valued at $1,996,469. 12.70% of the stock is owned by company insiders.

Key Stories Impacting Elastic

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic beat fiscal Q4 estimates, reporting EPS of $0.61 versus $0.56 expected and revenue of $450.7 million versus $446.7 million expected, with revenue up 16% year over year. Article Title
• Positive Sentiment: The company also issued Q1 FY2027 EPS guidance of $0.57 to $0.59, above the Street’s $0.50 estimate, suggesting near-term earnings momentum. Article Title
• Positive Sentiment: Elastic highlighted stronger cash generation, including $152.7 million in operating cash flow and a larger contracted backlog, which may support the long-term growth story. Article Title
• Neutral Sentiment: Several analysts remain constructive, with Rosenblatt reiterating a Buy and JPMorgan still at Overweight, though JPMorgan cut its price target to $80 from $99, reflecting a more cautious near-term stance. Article Title
• Negative Sentiment: Investors appear disappointed by the company’s forward view, which implies mid-teens revenue growth in fiscal 2027 after a strong year, raising concerns that growth could be moderating. Article Title
• Negative Sentiment: The stock also saw pressure as some reports noted the market’s reaction to the earnings release and guidance was negative, with shares falling after the print despite the beat. Article Title

Hedge Funds Weigh In On Elastic

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Pacer Advisors Inc. boosted its stake in shares of Elastic by 80.9% during the 4th quarter. Pacer Advisors Inc. now owns 10,539 shares of the company’s stock valued at $795,000 after buying an additional 4,714 shares during the last quarter. Invesco Ltd. increased its position in Elastic by 17.6% in the fourth quarter. Invesco Ltd. now owns 128,844 shares of the company’s stock worth $9,720,000 after buying an additional 19,304 shares during the period. Corient Private Wealth LLC increased its holdings in shares of Elastic by 805.7% during the fourth quarter. Corient Private Wealth LLC now owns 36,420 shares of the company’s stock valued at $2,748,000 after purchasing an additional 32,399 shares during the period. Mercer Global Advisors Inc. ADV increased its holdings in shares of Elastic by 153.1% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 79,926 shares of the company’s stock valued at $6,030,000 after purchasing an additional 48,344 shares during the period. Finally, Mackenzie Financial Corp grew its holdings in Elastic by 13.2% during the fourth quarter. Mackenzie Financial Corp now owns 291,536 shares of the company’s stock worth $22,296,000 after acquiring an additional 33,925 shares during the period. Hedge funds and other institutional investors 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.