Elastic (NYSE:ESTC) Issues Q1 2027 Earnings Guidance

Key Points

• Elastic raised its Q1 2027 guidance, projecting EPS of $0.57-$0.59 versus the $0.50 consensus estimate. Revenue guidance of $469.0 million-$470.0 million was essentially in line with expectations.
• The company also boosted full-year FY 2027 outlook to EPS of $3.21-$3.29, signaling stronger anticipated profitability than analysts expected.
• Shares rose after the update, with the stock trading up on the day, while analysts remained generally constructive despite several target price cuts and a mixed view on growth prospects.

Elastic (NYSE:ESTC - Get Free Report) issued an update on its first quarter 2027 earnings guidance on Thursday morning. The company provided EPS guidance of 0.570-0.590 for the period, compared to the consensus EPS estimate of 0.500. The company issued revenue guidance of $469.0 million-$470.0 million, compared to the consensus revenue estimate of $469.3 million. Elastic also updated its FY 2027 guidance to 3.210-3.290 EPS.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the stock. Truist Financial cut their target price on Elastic from $105.00 to $80.00 and set a "buy" rating for the company in a research note on Friday, February 27th. Cantor Fitzgerald decreased their target price on shares of Elastic from $66.00 to $59.00 and set a "neutral" rating on the stock in a research report on Tuesday. Barclays lowered their price target on shares of Elastic from $78.00 to $76.00 and set an "overweight" rating on the stock in a research note on Friday, February 27th. The Goldman Sachs Group started coverage on shares of Elastic in a report on Tuesday, April 21st. They issued a "neutral" rating and a $50.00 price target for the company. Finally, Canaccord Genuity Group reduced their price objective on shares of Elastic from $115.00 to $90.00 and set a "buy" rating for the company in a research note on Friday, February 27th. Eighteen research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $86.96.

Elastic Price Performance

Shares of NYSE ESTC traded up $3.58 during trading on Thursday, reaching $57.48. The company had a trading volume of 6,254,347 shares, compared to its average volume of 2,035,554. The stock has a market capitalization of $5.95 billion, a PE ratio of -71.85, a price-to-earnings-growth ratio of 102.95 and a beta of 0.88. The stock has a 50-day moving average price of $50.16 and a two-hundred day moving average price of $63.05. Elastic has a twelve month low of $42.05 and a twelve month high of $96.07. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.72.

Elastic (NYSE:ESTC - Get Free Report) last posted its quarterly earnings data on Thursday, May 28th. The company reported $0.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.56 by $0.05. The business had revenue of $450.68 million for the quarter, compared to analysts' expectations of $446.66 million. Elastic had a negative return on equity of 2.34% and a negative net margin of 5.04%.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 predict that Elastic will post 0.04 earnings per share for the current year.

Insider Buying and Selling

In related news, CRO Mark Eugene Dodds sold 3,723 shares of the firm's stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $52.28, for a total transaction of $194,638.44. Following the sale, the executive directly owned 152,563 shares in the company, valued at approximately $7,975,993.64. This trade represents a 2.38% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Carolyn Herzog sold 3,989 shares of the business's stock in a transaction on Monday, March 9th. The stock was sold at an average price of $52.28, for a total transaction of $208,544.92. Following the transaction, the insider directly owned 85,335 shares in the company, valued at approximately $4,461,313.80. The trade was a 4.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 38,188 shares of company stock worth $1,996,469. Corporate insiders own 12.70% of the company's stock.

Key Headlines Impacting Elastic

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic beat Q4 EPS and revenue expectations, posting $0.61 per share versus $0.56 expected and revenue of $450.7 million versus $446.7 million expected. Elastic Reports Fourth Quarter and Fiscal 2026 Financial Results
• Positive Sentiment: Management’s guidance came in above consensus: fiscal Q1 2027 EPS guidance of $0.57-$0.59 versus $0.50 expected, and FY 2027 EPS guidance of $3.21-$3.29 versus $2.28 expected. Elastic N.V. (ESTC) Stock Falls on Q4 2026 Earnings
• Positive Sentiment: Revenue guidance was essentially in line, while the company highlighted strong cash flow and a larger contracted backlog, which supports the long-term demand story. Elastic shares fall 3.2% as investors digest Q4 results and fiscal 2027 outlook
• Neutral Sentiment: Analysts remained broadly constructive, with recent Buy/Outperform ratings and several price-target updates still implying upside, even though JPMorgan trimmed its target from $99 to $80. Oppenheimer Reiterates Buy Rating on Elastic N.V. (ESTC)
• Negative Sentiment: Some investors may be worried that fiscal 2027 growth is only in the mid-teens, which can look like a slowdown versus expectations and help explain the stock’s weakness around the earnings release. Elastic shares fall 3.2% as investors digest Q4 results and fiscal 2027 outlook

Institutional Trading of Elastic

Several institutional investors have recently added to or reduced their stakes in ESTC. Pacer Advisors Inc. grew its stake in Elastic by 80.9% in the fourth quarter. Pacer Advisors Inc. now owns 10,539 shares of the company's stock worth $795,000 after purchasing an additional 4,714 shares in the last quarter. Invesco Ltd. raised its stake in Elastic by 17.6% during the fourth quarter. Invesco Ltd. now owns 128,844 shares of the company's stock valued at $9,720,000 after buying an additional 19,304 shares in the last quarter. Corient Private Wealth LLC lifted its holdings in Elastic by 805.7% during the 4th quarter. Corient Private Wealth LLC now owns 36,420 shares of the company's stock worth $2,748,000 after buying an additional 32,399 shares during the last quarter. Mercer Global Advisors Inc. ADV lifted its holdings in Elastic by 153.1% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 79,926 shares of the company's stock worth $6,030,000 after buying an additional 48,344 shares during the last quarter. Finally, Mackenzie Financial Corp grew its position in shares of Elastic by 13.2% in the 4th quarter. Mackenzie Financial Corp now owns 291,536 shares of the company's stock worth $22,296,000 after acquiring an additional 33,925 shares in the last quarter. 97.03% of the stock is owned by institutional investors and hedge funds.

Elastic Company Profile

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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