Atlassian Corporation PLC $TEAM Position Reduced by Dimensional Fund Advisors LP

Key Points

• Dimensional Fund Advisors cut its Atlassian stake by 19% in the first quarter, selling 39,720 shares and retaining 169,526 shares worth approximately $11.6 million. Institutional investors still own 94.45% of TEAM.
• Atlassian reported stronger-than-expected quarterly results, with adjusted EPS of $1.87 versus the $1.50 consensus and revenue up 27.6% year over year to $1.77 billion. Cloud revenue grew 31%, supported by enterprise demand and adoption of its AI-powered Rovo platform.
• Analyst sentiment remains favorable: 23 analysts rate TEAM a Buy, five rate it Hold and one rates it Sell, producing a “Moderate Buy” consensus and an average price target of $172.88.

Dimensional Fund Advisors LP trimmed its position in Atlassian Corporation PLC (NASDAQ:TEAM - Free Report) by 19.0% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 169,526 shares of the technology company's stock after selling 39,720 shares during the period. Dimensional Fund Advisors LP owned approximately 0.06% of Atlassian worth $11,568,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in TEAM. NewEdge Advisors LLC lifted its holdings in shares of Atlassian by 71.6% in the first quarter. NewEdge Advisors LLC now owns 5,432 shares of the technology company's stock valued at $1,153,000 after buying an additional 2,267 shares during the period. Empowered Funds LLC boosted its stake in Atlassian by 39.5% during the first quarter. Empowered Funds LLC now owns 4,689 shares of the technology company's stock valued at $995,000 after buying an additional 1,328 shares in the last quarter. Focus Partners Wealth grew its holdings in Atlassian by 32.6% during the first quarter. Focus Partners Wealth now owns 4,122 shares of the technology company's stock worth $875,000 after acquiring an additional 1,014 shares during the period. Geneos Wealth Management Inc. grew its holdings in Atlassian by 447.2% during the first quarter. Geneos Wealth Management Inc. now owns 197 shares of the technology company's stock worth $42,000 after acquiring an additional 161 shares during the period. Finally, Sivia Capital Partners LLC raised its position in Atlassian by 27.5% in the second quarter. Sivia Capital Partners LLC now owns 1,873 shares of the technology company's stock worth $380,000 after acquiring an additional 404 shares in the last quarter. 94.45% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the stock. Guggenheim upped their price target on shares of Atlassian from $115.00 to $165.00 and gave the company a "buy" rating in a report on Friday. Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Atlassian in a research note on Monday, June 29th. Robert W. Baird set a $200.00 target price on shares of Atlassian in a report on Friday. Mizuho cut their target price on shares of Atlassian from $185.00 to $145.00 and set an "outperform" rating for the company in a research note on Tuesday, April 14th. Finally, KeyCorp raised their target price on shares of Atlassian from $115.00 to $185.00 and gave the stock an "overweight" rating in a report on Friday. Twenty-three investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $172.88.

More Atlassian News

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: Results exceeded expectations: Atlassian reported adjusted earnings of $1.87 per share, versus the $1.50 consensus estimate, while revenue rose 27.6% year over year to $1.77 billion, ahead of the $1.66 billion forecast. Atlassian beats quarterly estimates on strong cloud demand
• Positive Sentiment: Cloud and enterprise momentum supported the rally: Cloud revenue grew 31% to $1.21 billion, Data Center revenue topped estimates, and the company cited record large enterprise contracts, strong subscription demand and rising adoption of its AI-powered Rovo platform. TEAM Q4 Earnings Call Highlights AI and Enterprise Momentum
• Positive Sentiment: Fiscal 2027 guidance was viewed favorably: Management’s cloud revenue outlook exceeded expectations, and first-quarter revenue guidance of approximately $1.7 billion was above or in line with consensus, reinforcing confidence in continued growth. Atlassian earnings beat drives 30% stock surge
• Positive Sentiment: Analyst support strengthened: Bank of America upgraded TEAM to Buy with a $175 target, while BMO raised its target to $175 and Oppenheimer lifted its target to $200 with an Outperform rating. Unusually heavy call-option activity also reflected bullish near-term positioning.
• Neutral Sentiment: Atlassian’s results were interpreted as a potential turning point for software stocks broadly, suggesting investors may again be rewarding solid fundamentals despite AI-disruption concerns. Software Stocks Trade Like It's 2022 After Atlassian Leads Earnings Rally
• Negative Sentiment: The company still faces external uncertainty, and the sharp rebound leaves TEAM trading near the upper end of its recent range, increasing the risk of profit-taking if cloud growth or AI adoption slows.

Atlassian Stock Performance

Shares of TEAM opened at $149.07 on Monday. The business's 50-day moving average price is $93.01 and its 200 day moving average price is $86.70. The company has a current ratio of 0.70, a quick ratio of 0.70 and a debt-to-equity ratio of 1.13. The stock has a market capitalization of $37.83 billion, a P/E ratio of -784.58, a P/E/G ratio of 10.70 and a beta of 1.05. Atlassian Corporation PLC has a 1-year low of $56.01 and a 1-year high of $184.00.

Atlassian (NASDAQ:TEAM - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The technology company reported $1.87 EPS for the quarter, beating analysts' consensus estimates of $1.50 by $0.37. Atlassian had a negative net margin of 0.82% and a positive return on equity of 20.07%. The company had revenue of $1.77 billion during the quarter, compared to analyst estimates of $1.66 billion. During the same period in the prior year, the firm earned $0.98 earnings per share. The business's quarterly revenue was up 27.6% on a year-over-year basis. Analysts expect that Atlassian Corporation PLC will post 0.67 earnings per share for the current year.

Insider Buying and Selling

In related news, CRO Brian Duffy sold 3,000 shares of the company's stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $89.71, for a total value of $269,130.00. Following the completion of the sale, the executive owned 227,691 shares in the company, valued at approximately $20,426,159.61. This represents a 1.30% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO James Chuong sold 8,838 shares of the company's stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $87.75, for a total transaction of $775,534.50. Following the completion of the sale, the chief financial officer owned 288,272 shares of the company's stock, valued at approximately $25,295,868. This trade represents a 2.97% decrease in their position. 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 have sold 20,041 shares of company stock worth $1,801,069 in the last 90 days. 36.66% of the stock is owned by company insiders.

Atlassian 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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