Atlassian (NASDAQ:TEAM) Upgraded by Wall Street Zen to "Buy" Rating

Key Points

• Wall Street Zen upgraded Atlassian (NASDAQ:TEAM) from a "hold" to a "buy" rating in a research note issued Monday.
• Several major analysts have recently lowered price targets (e.g., Barclays to $165, Morgan Stanley to $290, BTIG to $140), but MarketBeat's consensus remains a Moderate Buy with a $180.48 target.
• Atlassian beat estimates in its most recent quarter—$1.22 EPS vs. $1.12 expected and $1.59B revenue vs. $1.54B expected—yet the company still shows negative net margin and its shares are trading near the 52‑week low (opened $73.73; 52‑week low $67.85).

Atlassian (NASDAQ:TEAM - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued to investors on Monday.

Other research analysts have also issued research reports about the stock. Barclays decreased their price target on shares of Atlassian from $215.00 to $165.00 and set an "overweight" rating on the stock in a research report on Friday, February 6th. Morgan Stanley reduced their price objective on Atlassian from $320.00 to $290.00 and set an "overweight" rating for the company in a research note on Friday, February 6th. KeyCorp decreased their target price on Atlassian from $210.00 to $170.00 and set an "overweight" rating on the stock in a report on Friday, February 6th. Canaccord Genuity Group set a $185.00 target price on Atlassian in a report on Friday, February 6th. Finally, BTIG Research decreased their price target on Atlassian from $220.00 to $140.00 and set a "buy" rating for the company in a research report on Friday, February 6th. Twenty-two equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $180.48.

Atlassian Trading Down 1.2%

Shares of NASDAQ:TEAM opened at $73.73 on Monday. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 0.62. The company's 50-day moving average price is $96.26 and its 200 day moving average price is $137.20. The company has a market cap of $19.45 billion, a PE ratio of -102.40 and a beta of 0.94. Atlassian has a fifty-two week low of $67.85 and a fifty-two week high of $242.00.

Atlassian (NASDAQ:TEAM - Get Free Report) last announced its quarterly earnings results on Thursday, February 5th. The technology company reported $1.22 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.12 by $0.10. The company had revenue of $1.59 billion during the quarter, compared to analyst estimates of $1.54 billion. Atlassian had a negative return on equity of 6.33% and a negative net margin of 3.29%.The firm's quarterly revenue was up 23.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.96 EPS. Sell-side analysts anticipate that Atlassian will post -0.34 earnings per share for the current year.

Insider Transactions at Atlassian

In related news, CEO Michael Cannon-Brookes sold 7,665 shares of Atlassian stock in a transaction dated Monday, January 5th. The stock was sold at an average price of $154.20, for a total transaction of $1,181,943.00. Following the sale, the chief executive officer directly owned 444,570 shares of the company's stock, valued at $68,552,694. This trade represents a 1.69% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Scott Farquhar sold 7,665 shares of the business's stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $156.15, for a total value of $1,196,889.75. Following the transaction, the director owned 459,900 shares in the company, valued at $71,813,385. This represents a 1.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 297,283 shares of company stock worth $40,674,300 over the last quarter. 36.66% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Atlassian

Institutional investors have recently bought and sold shares of the business. MV Capital Management Inc. acquired a new position in shares of Atlassian in the 4th quarter valued at $25,000. Physician Wealth Advisors Inc. boosted its position in shares of Atlassian by 60.4% during the 3rd quarter. Physician Wealth Advisors Inc. now owns 162 shares of the technology company's stock valued at $26,000 after acquiring an additional 61 shares in the last quarter. Geneos Wealth Management Inc. increased its stake in Atlassian by 447.2% in the first quarter. Geneos Wealth Management Inc. now owns 197 shares of the technology company's stock valued at $42,000 after acquiring an additional 161 shares during the period. Atlantic Union Bankshares Corp raised its position in Atlassian by 19,900.0% in the third quarter. Atlantic Union Bankshares Corp now owns 200 shares of the technology company's stock worth $32,000 after purchasing an additional 199 shares in the last quarter. Finally, Board of the Pension Protection Fund acquired a new position in Atlassian in the fourth quarter worth about $32,000. Institutional investors and hedge funds own 94.45% of the company's stock.

Atlassian Company Profile

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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