Atlassian (NASDAQ:TEAM) Hits New 12-Month Low on Insider Selling

Key Points

• Atlassian's stock hit a new 52-week low of $154.27, following substantial insider selling by CEO Michael Cannon-Brookes and Director Scott Farquhar, who each sold 7,665 shares.
• Despite the recent dip, several research firms have issued buy ratings for Atlassian, including Citigroup and Canaccord Genuity, with target prices ranging from $225.00 to $240.00.
• Atlassian reported quarterly earnings that exceeded analyst expectations, with a revenue of $1.38 billion and an EPS of $0.98, indicating a 22.3% year-over-year revenue growth.

Atlassian Corporation PLC (NASDAQ:TEAM - Get Free Report)'s stock price reached a new 52-week low on Wednesday after an insider sold shares in the company. The stock traded as low as $154.56 and last traded at $154.27, with a volume of 665984 shares trading hands. The stock had previously closed at $159.70.

Specifically, CEO Michael Cannon-Brookes sold 7,665 shares of the firm's stock in a transaction that occurred on Monday, September 29th. The shares were sold at an average price of $166.36, for a total transaction of $1,275,149.40. Following the completion of the sale, the chief executive officer directly owned 7,665 shares in the company, valued at approximately $1,275,149.40. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Scott Farquhar sold 7,665 shares of the company's stock in a transaction on Monday, September 29th. The stock was sold at an average price of $166.36, for a total transaction of $1,275,149.40. Following the completion of the transaction, the director directly owned 7,665 shares in the company, valued at $1,275,149.40. This trade represents a 50.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. In related news, Director Scott Farquhar sold 7,665 shares of the company's stock in a transaction on Friday, September 26th. The shares were sold at an average price of $165.26, for a total value of $1,266,717.90. Following the completion of the sale, the director directly owned 15,330 shares in the company, valued at approximately $2,533,435.80. This represents a 33.33% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link.

Wall Street Analyst Weigh In

A number of research firms have issued reports on TEAM. Wall Street Zen upgraded shares of Atlassian from a "hold" rating to a "buy" rating in a report on Saturday, September 13th. Citigroup reduced their target price on shares of Atlassian from $300.00 to $240.00 and set a "buy" rating for the company in a research note on Monday, August 18th. Canaccord Genuity Group reduced their target price on shares of Atlassian from $255.00 to $230.00 and set a "buy" rating for the company in a research note on Friday, August 8th. Zacks Research upgraded shares of Atlassian from a "strong sell" rating to a "hold" rating in a research note on Wednesday, August 20th. Finally, Guggenheim initiated coverage on shares of Atlassian in a research note on Thursday, September 11th. They issued a "buy" rating and a $225.00 target price for the company. One investment analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, Atlassian presently has an average rating of "Moderate Buy" and a consensus target price of $248.74.

Atlassian Price Performance

The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.73. The stock has a market cap of $39.78 billion, a price-to-earnings ratio of -154.46 and a beta of 0.95. The company's 50-day moving average is $174.76 and its 200-day moving average is $196.92.

Atlassian (NASDAQ:TEAM - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The technology company reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.83 by $0.15. Atlassian had a negative net margin of 4.92% and a negative return on equity of 14.77%. The firm had revenue of $1.38 billion during the quarter, compared to analyst estimates of $1.36 billion. During the same quarter in the prior year, the business posted $0.66 earnings per share. The company's quarterly revenue was up 22.3% compared to the same quarter last year. Atlassian has set its Q1 2026 guidance at EPS. FY 2026 guidance at EPS. Equities research analysts expect that Atlassian Corporation PLC will post -0.34 earnings per share for the current fiscal year.

Institutional Trading of Atlassian

Hedge funds have recently modified their holdings of the company. Clean Yield Group increased its holdings in shares of Atlassian by 372.0% during the first quarter. Clean Yield Group now owns 118 shares of the technology company's stock worth $25,000 after buying an additional 93 shares in the last quarter. Capco Asset Management LLC acquired a new stake in shares of Atlassian during the second quarter worth approximately $25,000. Smithfield Trust Co increased its holdings in shares of Atlassian by 90.7% during the first quarter. Smithfield Trust Co now owns 164 shares of the technology company's stock worth $34,000 after buying an additional 78 shares in the last quarter. Geneos Wealth Management Inc. increased its holdings in shares of Atlassian by 447.2% during the first quarter. Geneos Wealth Management Inc. now owns 197 shares of the technology company's stock worth $42,000 after buying an additional 161 shares in the last quarter. Finally, MassMutual Private Wealth & Trust FSB increased its holdings in shares of Atlassian by 82.7% during the first quarter. MassMutual Private Wealth & Trust FSB now owns 243 shares of the technology company's stock worth $52,000 after buying an additional 110 shares in the last quarter. Institutional investors and hedge funds own 94.45% of the company's stock.

About Atlassian

Atlassian Corporation, through its subsidiaries, designs, develops, licenses, and maintains various software products worldwide. Its product portfolio includes Jira Software and Jira Work Management, a project management system that connects technical and business teams so they can better plan, organize, track and manage their work and projects; Confluence, a connected workspace that organizes knowledge across all teams to move work forward; and Trello, a collaboration and organization product that captures and adds structure to fluid and fast-forming work for teams.

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