Elastic N.V. (NYSE:ESTC) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Elastic N.V. has a consensus analyst rating of “Moderate Buy”, with 17 buy ratings and 13 hold ratings among 30 covering firms. The average 12-month price target is about $78.78.
• The company recently reported better-than-expected quarterly results, posting EPS of $0.61 versus $0.56 expected and revenue of $450.68 million versus $446.66 million expected. Revenue rose 16% year over year.
• Insiders have been selling shares recently, including CTO Shay Banon and insider Carolyn Herzog, while institutional ownership remains high at 97.03%. Elastic also trades at around $58.64, near its 50-day and 200-day moving averages.

Shares of Elastic N.V. (NYSE:ESTC - Get Free Report) have earned a consensus recommendation of "Moderate Buy" from the thirty research firms that are currently covering the firm, Marketbeat.com reports. Thirteen investment analysts have rated the stock with a hold recommendation and seventeen have issued a buy recommendation on the company. The average twelve-month target price among analysts that have updated their coverage on the stock in the last year is $78.7778.

Several research firms have recently issued reports on ESTC. Zacks Research raised Elastic from a "strong sell" rating to a "hold" rating in a research note on Friday, June 26th. Citigroup lifted their target price on shares of Elastic from $95.00 to $104.00 and gave the stock a "buy" rating in a research report on Friday, May 29th. TD Cowen reduced their target price on shares of Elastic from $65.00 to $60.00 and set a "hold" rating on the stock in a report on Tuesday, May 26th. Morgan Stanley cut shares of Elastic from an "overweight" rating to an "equal weight" rating and decreased their price target for the company from $73.00 to $66.00 in a research report on Tuesday. Finally, Piper Sandler reaffirmed an "overweight" rating on shares of Elastic in a research note on Friday, June 26th.

Elastic Trading Up 2.3%

NYSE ESTC opened at $58.64 on Friday. The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 0.45. Elastic has a twelve month low of $42.05 and a twelve month high of $96.07. The company has a market cap of $6.10 billion, a price-to-earnings ratio of 16.75, a price-to-earnings-growth ratio of 12.98 and a beta of 1.00. The business's fifty day moving average is $59.40 and its 200 day moving average is $57.90.

Elastic (NYSE:ESTC - Get Free Report) last issued its earnings results on Thursday, May 28th. The company reported $0.61 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.56 by $0.05. The business had revenue of $450.68 million during the quarter, compared to analysts' expectations of $446.66 million. Elastic had a negative return on equity of 1.82% and a net margin of 21.14%.The business's revenue for the quarter was up 16.0% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.47 EPS. Elastic has set its FY 2027 guidance at 3.210-3.290 EPS and its Q1 2027 guidance at 0.570-0.590 EPS. As a group, sell-side analysts expect that Elastic will post 0.26 EPS for the current fiscal year.

Insiders Place Their Bets

In other Elastic news, CTO Shay Banon sold 9,288 shares of the company's stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total value of $562,945.68. Following the sale, the chief technology officer owned 4,417,140 shares in the company, valued at approximately $267,722,855.40. The trade was a 0.21% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Carolyn Herzog sold 9,485 shares of the firm's stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total value of $574,885.85. Following the transaction, the insider owned 128,439 shares of the company's stock, valued at $7,784,687.79. This trade represents a 6.88% decrease in their ownership of the stock. 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 sold a total of 110,099 shares of company stock valued at $6,673,100 over the last ninety days. 12.70% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in ESTC. Sound Income Strategies LLC acquired a new stake in shares of Elastic during the fourth quarter worth $25,000. Geneos Wealth Management Inc. bought a new stake in Elastic during the second quarter valued at $31,000. Bessemer Group Inc. bought a new stake in Elastic during the first quarter valued at $25,000. Activest Wealth Management grew its holdings in Elastic by 3,181.2% during the 4th quarter. Activest Wealth Management now owns 525 shares of the company's stock worth $40,000 after acquiring an additional 509 shares during the period. Finally, Aster Capital Management DIFC Ltd raised its position in shares of Elastic by 206.1% in the 4th quarter. Aster Capital Management DIFC Ltd now owns 551 shares of the company's stock worth $42,000 after acquiring an additional 371 shares in the last quarter. Institutional investors own 97.03% of the company's stock.

About Elastic

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.

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