Atlassian (NASDAQ:TEAM) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research has downgraded Atlassian's stock rating from "hold" to "strong sell," reflecting concerns over its current market performance.
• Atlassian's stock price has seen fluctuations, with a current price of $149.52 and targets from various analysts ranging up to $256.00.
• Institutional investors heavily hold Atlassian's stock, owning approximately 94.45% of shares, with several firms recently increasing their positions in the company.

Atlassian (NASDAQ:TEAM - Get Free Report) was downgraded by Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued on Tuesday,Zacks.com reports.

Several other research firms have also issued reports on TEAM. Bank of America started coverage on Atlassian in a report on Tuesday, September 23rd. They set a "neutral" rating and a $200.00 target price on the stock. Weiss Ratings reiterated a "sell (e+)" rating on shares of Atlassian in a report on Wednesday. Canaccord Genuity Group dropped their target price on Atlassian from $255.00 to $230.00 and set a "buy" rating on the stock in a report on Friday, August 8th. Guggenheim started coverage on Atlassian in a report on Thursday, September 11th. They set a "buy" rating and a $225.00 target price on the stock. Finally, Cantor Fitzgerald dropped their target price on Atlassian from $256.00 to $240.00 and set an "overweight" rating on the stock in a report on Friday, August 8th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, six have issued a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Atlassian currently has an average rating of "Moderate Buy" and an average target price of $248.74.

Atlassian Stock Performance

Shares of Atlassian stock opened at $149.52 on Tuesday. The firm has a market cap of $39.22 billion, a price-to-earnings ratio of -151.03 and a beta of 0.92. The stock's 50-day moving average is $168.69 and its 200-day moving average is $194.02. Atlassian has a one year low of $146.16 and a one year high of $326.00. The company has a debt-to-equity ratio of 0.73, a current ratio of 1.22 and a quick ratio of 1.22.

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

Insider Buying and Selling at Atlassian

In other Atlassian news, Director Scott Farquhar sold 7,665 shares of the company's stock in a transaction that occurred on Monday, October 6th. The stock was sold at an average price of $150.75, for a total value of $1,155,498.75. Following the sale, the director owned 452,235 shares in the company, valued at $68,174,426.25. This represents a 1.67% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Scott Belsky acquired 1,566 shares of the company's stock in a transaction on Wednesday, October 1st. The stock was acquired at an average price of $153.10 per share, for a total transaction of $239,754.60. Following the purchase, the director directly owned 3,021 shares of the company's stock, valued at approximately $462,515.10. This trade represents a 107.63% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders have sold 551,608 shares of company stock worth $97,185,382 over the last 90 days. Company insiders own 38.55% of the company's stock.

Hedge Funds Weigh In On Atlassian

Institutional investors and hedge funds have recently made changes to their positions in the company. One Wealth Advisors LLC grew its position in shares of Atlassian by 56.7% in the second quarter. One Wealth Advisors LLC now owns 4,436 shares of the technology company's stock valued at $901,000 after purchasing an additional 1,606 shares during the last quarter. Farther Finance Advisors LLC grew its position in shares of Atlassian by 37.7% in the first quarter. Farther Finance Advisors LLC now owns 369 shares of the technology company's stock valued at $80,000 after purchasing an additional 101 shares during the last quarter. Cambridge Investment Research Advisors Inc. grew its position in shares of Atlassian by 42.2% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 4,240 shares of the technology company's stock valued at $900,000 after purchasing an additional 1,259 shares during the last quarter. Principal Financial Group Inc. grew its position in shares of Atlassian by 350.1% in the first quarter. Principal Financial Group Inc. now owns 51,900 shares of the technology company's stock valued at $11,014,000 after purchasing an additional 40,369 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC grew its position in shares of Atlassian by 47,387.5% in the first quarter. Allspring Global Investments Holdings LLC now owns 3,799 shares of the technology company's stock valued at $822,000 after purchasing an additional 3,791 shares during 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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