Elastic's (ESTC) "Buy" Rating Reiterated at Rosenblatt Securities

Key Points

• Rosenblatt Securities has reiterated a "Buy" rating for Elastic (ESTC) with a target price of $130.00, suggesting a potential upside of 47.60% from its current price.
• Despite positive earnings results, several analysts have adjusted their price targets downward, with estimates varying from $95.00 to $137.00 across different firms.
• Insider trading activity has seen significant sales, with notable sales from CTO Shay Banon and insider Carolyn Herzog, increasing concerns over insider confidence.

Elastic (NYSE:ESTC - Get Free Report)'s stock had its "buy" rating reissued by equities research analysts at Rosenblatt Securities in a report released on Friday,Benzinga reports. They currently have a $130.00 target price on the stock. Rosenblatt Securities' price target indicates a potential upside of 47.60% from the stock's current price.

ESTC has been the topic of a number of other reports. JPMorgan Chase & Co. dropped their target price on shares of Elastic from $120.00 to $110.00 and set an "overweight" rating on the stock in a research report on Friday, May 30th. Scotiabank dropped their price objective on Elastic from $137.00 to $95.00 and set a "sector outperform" rating on the stock in a report on Friday, May 30th. DA Davidson began coverage on Elastic in a research report on Friday. They set a "neutral" rating and a $105.00 target price on the stock. Barclays reissued an "overweight" rating on shares of Elastic in a report on Friday. Finally, TD Securities dropped their price target on Elastic from $125.00 to $105.00 and set a "hold" rating on the stock in a research note on Wednesday, May 21st. One analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and nine have issued a Hold rating to the stock. According to MarketBeat.com, Elastic has an average rating of "Moderate Buy" and an average price target of $114.44.

Elastic Price Performance

ESTC stock opened at $88.08 on Friday. The business has a 50 day moving average price of $82.67 and a 200 day moving average price of $88.29. The company has a quick ratio of 1.92, a current ratio of 1.92 and a debt-to-equity ratio of 0.61. The stock has a market cap of $9.30 billion, a price-to-earnings ratio of -83.88 and a beta of 1.07. Elastic has a fifty-two week low of $69.00 and a fifty-two week high of $118.84.

Elastic (NYSE:ESTC - Get Free Report) last released its quarterly earnings data on Thursday, May 29th. The company reported $0.47 earnings per share for the quarter, topping analysts' consensus estimates of $0.37 by $0.10. The company had revenue of $388.43 million for the quarter, compared to analysts' expectations of $380.61 million. Elastic had a negative net margin of 7.29% and a negative return on equity of 4.46%. The firm's revenue for the quarter was up 15.9% on a year-over-year basis. During the same quarter last year, the company earned $0.21 earnings per share. Equities research analysts anticipate that Elastic will post -0.77 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CTO Shay Banon sold 5,117 shares of the business's stock in a transaction that occurred on Monday, June 9th. The stock was sold at an average price of $86.91, for a total value of $444,718.47. Following the transaction, the chief technology officer owned 4,560,291 shares of the company's stock, valued at approximately $396,334,890.81. The trade was a 0.11% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Carolyn Herzog sold 5,702 shares of the company's stock in a transaction that occurred on Monday, June 9th. The stock was sold at an average price of $86.91, for a total value of $495,560.82. Following the sale, the insider owned 93,985 shares of the company's stock, valued at $8,168,236.35. This trade represents a 5.72% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 50,913 shares of company stock worth $4,416,324. 15.90% of the stock is currently owned by insiders.

Institutional Trading of Elastic

Hedge funds have recently made changes to their positions in the company. Signaturefd LLC lifted its holdings in shares of Elastic by 53.7% in the 1st quarter. Signaturefd LLC now owns 335 shares of the company's stock valued at $30,000 after buying an additional 117 shares during the period. Parallel Advisors LLC grew its holdings in Elastic by 4.5% during the first quarter. Parallel Advisors LLC now owns 3,396 shares of the company's stock worth $303,000 after acquiring an additional 145 shares during the period. Y.D. More Investments Ltd lifted its holdings in Elastic by 0.5% in the first quarter. Y.D. More Investments Ltd now owns 29,742 shares of the company's stock valued at $2,756,000 after acquiring an additional 145 shares during the period. Smartleaf Asset Management LLC boosted its position in shares of Elastic by 53.7% during the 1st quarter. Smartleaf Asset Management LLC now owns 435 shares of the company's stock worth $40,000 after purchasing an additional 152 shares in the last quarter. Finally, WCM Investment Management LLC grew its stake in shares of Elastic by 0.7% during the 1st quarter. WCM Investment Management LLC now owns 23,811 shares of the company's stock worth $2,183,000 after purchasing an additional 169 shares during the period. Institutional investors and hedge funds own 97.03% of the company's stock.

About Elastic

Elastic N.V., a data analytics company, delivers solutions designed to run in public or private clouds in multi-cloud environments. It primarily offers Elastic Stack, a set of software products that ingest and store data from various sources and formats, as well as performs search, analysis, and visualization on that data.

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