Traders Buy Large Volume of Elastic Call Options (NYSE:ESTC)

Elastic N.V. (NYSE:ESTC) was the target of unusually large options trading on Friday. Stock investors purchased 4,771 call options on the company. This represents an increase of 101% compared to the typical daily volume of 2,375 call options.

Elastic Price Performance

Shares of ESTC opened at $86.39 on Friday. The company has a market capitalization of $8.98 billion, a price-to-earnings ratio of 24.68, a P/E/G ratio of 19.47 and a beta of 0.98. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.68 and a quick ratio of 1.68. The business’s 50-day moving average is $63.23 and its 200-day moving average is $57.68. Elastic has a fifty-two week low of $42.05 and a fifty-two week high of $96.07.

Elastic (NYSE:ESTC) last released its earnings results on Thursday, May 28th. The company reported $0.61 EPS for the quarter, beating the consensus estimate of $0.56 by $0.05. Elastic had a negative return on equity of 1.82% and a net margin of 21.14%.The company had revenue of $450.68 million during the quarter, compared to analysts’ expectations of $446.66 million. During the same period last year, the firm earned $0.47 EPS. The business’s revenue for the quarter was up 16.0% on a year-over-year basis. 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 expect that Elastic will post 0.26 EPS for the current fiscal year.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Cantor Fitzgerald reiterated a “neutral” rating and issued a $59.00 target price on shares of Elastic in a report on Thursday, June 25th. Zacks Research upgraded shares of Elastic from a “strong sell” rating to a “hold” rating in a report on Friday, June 26th. Citigroup upped their price target on shares of Elastic from $95.00 to $104.00 and gave the company a “buy” rating in a research report on Friday, May 29th. Rosenblatt Securities decreased their price objective on shares of Elastic from $90.00 to $83.00 and set a “buy” rating for the company in a research note on Friday, June 26th. Finally, DA Davidson lowered their price objective on shares of Elastic from $65.00 to $60.00 and set a “neutral” rating on the stock in a research report on Friday, May 29th. Seventeen investment analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $80.33.

Insider Activity at Elastic

In other news, insider Carolyn Herzog sold 9,485 shares of the company’s stock in a transaction on Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total transaction of $574,885.85. Following the completion of 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 ownership of the stock. The sale was disclosed in a document filed 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, CRO Mark Eugene Dodds sold 18,439 shares of the company’s stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $60.61, for a total value of $1,117,587.79. Following the sale, the executive directly owned 298,211 shares of the company’s stock, valued at approximately $18,074,568.71. This represents a 5.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 110,099 shares of company stock valued at $6,673,100 over the last ninety days. Company insiders own 12.70% of the company’s stock.

Institutional Trading of Elastic

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Amundi boosted its position in shares of Elastic by 37.2% in the 1st quarter. Amundi now owns 296,604 shares of the company’s stock worth $14,827,000 after purchasing an additional 80,441 shares during the last quarter. Geode Capital Management LLC increased its holdings in Elastic by 2.9% in the fourth quarter. Geode Capital Management LLC now owns 1,724,508 shares of the company’s stock valued at $130,124,000 after purchasing an additional 49,198 shares during the last quarter. California State Teachers Retirement System increased its holdings in Elastic by 21.8% in the first quarter. California State Teachers Retirement System now owns 104,579 shares of the company’s stock valued at $5,228,000 after purchasing an additional 18,716 shares during the last quarter. Temasek Holdings Private Ltd lifted its stake in Elastic by 9.3% in the fourth quarter. Temasek Holdings Private Ltd now owns 1,294,465 shares of the company’s stock valued at $97,654,000 after buying an additional 109,608 shares during the period. Finally, Legal & General Group Plc lifted its stake in Elastic by 15.6% in the fourth quarter. Legal & General Group Plc now owns 396,595 shares of the company’s stock valued at $29,919,000 after buying an additional 53,523 shares during the period. 97.03% of the stock is owned by institutional investors.

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.