Atlassian Corporation PLC (NASDAQ:TEAM) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Atlassian received an average analyst rating of "Moderate Buy" from 28 research firms, with most analysts rating the stock a buy or strong buy. The average 12-month price target is about $145.63.
• The company reported stronger-than-expected quarterly results, with EPS of $1.75 versus consensus of $1.33 and revenue of $1.79 billion, up 31.7% year over year. Despite the beat, Atlassian remains unprofitable on a net margin basis.
• Shares opened at $82.72, well below the average analyst price target and the stock's 12-month high of $222.59. The article also noted recent insider selling, including transactions by the CRO and CFO.

Atlassian Corporation PLC (NASDAQ:TEAM - Get Free Report) has received an average recommendation of "Moderate Buy" from the twenty-eight research firms that are covering the company, MarketBeat reports. One research analyst has rated the stock with a sell rating, five have given a hold rating, twenty-one have given a buy rating and one has given a strong buy rating to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $145.6296.

A number of research firms recently issued reports on TEAM. TD Cowen boosted their price objective on Atlassian from $85.00 to $105.00 and gave the company a "hold" rating in a research report on Friday, May 1st. Barclays boosted their price objective on Atlassian from $106.00 to $112.00 and gave the company an "overweight" rating in a research report on Thursday, May 7th. Morgan Stanley reduced their price target on Atlassian from $290.00 to $120.00 and set an "overweight" rating for the company in a research report on Thursday, April 16th. Zacks Research upgraded Atlassian from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, May 6th. Finally, Oppenheimer boosted their price target on Atlassian from $100.00 to $110.00 and gave the stock an "outperform" rating in a research report on Monday, May 11th.

Atlassian Stock Performance

NASDAQ:TEAM opened at $82.72 on Friday. Atlassian has a 12-month low of $56.01 and a 12-month high of $222.59. The firm has a market capitalization of $20.99 billion, a P/E ratio of -99.66, a P/E/G ratio of 4.69 and a beta of 1.07. The company has a debt-to-equity ratio of 1.13, a current ratio of 0.70 and a quick ratio of 0.70. The business has a 50 day simple moving average of $83.38 and a 200 day simple moving average of $102.39.

Atlassian (NASDAQ:TEAM - Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The technology company reported $1.75 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.33 by $0.42. Atlassian had a positive return on equity of 6.22% and a negative net margin of 3.50%.The business had revenue of $1.79 billion during the quarter, compared to analyst estimates of $1.70 billion. During the same quarter in the previous year, the firm posted $0.97 EPS. The business's revenue for the quarter was up 31.7% compared to the same quarter last year. Equities research analysts predict that Atlassian will post 0.81 EPS for the current year.

Insiders Place Their Bets

In other Atlassian news, CRO Brian Duffy sold 3,000 shares of the business's stock in a transaction on Friday, June 12th. The stock was sold at an average price of $89.71, for a total transaction of $269,130.00. Following the completion of the transaction, the executive owned 227,691 shares in the company, valued at approximately $20,426,159.61. The trade was a 1.30% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO James Chuong sold 8,838 shares of the company's stock in a transaction on Tuesday, May 19th. The shares were sold at an average price of $87.75, for a total value of $775,534.50. Following the completion of the sale, the chief financial officer owned 288,272 shares of the company's stock, valued at approximately $25,295,868. This trade represents a 2.97% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 20,041 shares of company stock valued at $1,801,069 in the last quarter. 36.66% of the stock is currently owned by insiders.

Institutional Trading of Atlassian

Several institutional investors have recently modified their holdings of the company. Vanguard Group Inc. lifted its holdings in shares of Atlassian by 0.3% in the fourth quarter. Vanguard Group Inc. now owns 18,541,267 shares of the technology company's stock valued at $3,006,281,000 after buying an additional 61,706 shares during the period. Baillie Gifford & Co. lifted its holdings in shares of Atlassian by 3.9% in the fourth quarter. Baillie Gifford & Co. now owns 8,431,802 shares of the technology company's stock valued at $1,367,132,000 after buying an additional 316,276 shares during the period. AQR Capital Management LLC lifted its holdings in shares of Atlassian by 291.4% in the fourth quarter. AQR Capital Management LLC now owns 7,749,694 shares of the technology company's stock valued at $1,256,535,000 after buying an additional 5,769,788 shares during the period. Pictet Asset Management Holding SA lifted its holdings in shares of Atlassian by 27.4% in the first quarter. Pictet Asset Management Holding SA now owns 5,031,413 shares of the technology company's stock valued at $343,344,000 after buying an additional 1,080,561 shares during the period. Finally, Morgan Stanley lifted its holdings in shares of Atlassian by 52.4% in the fourth quarter. Morgan Stanley now owns 4,822,007 shares of the technology company's stock valued at $781,841,000 after buying an additional 1,657,309 shares during the period. Institutional investors and hedge funds own 94.45% of the company's stock.

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.

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