Connor Clark & Lunn Investment Management Ltd. Increases Holdings in Atlassian Corporation PLC $TEAM

Key Points

• Connor Clark & Lunn Investment Management increased its stake in Atlassian by 83.5% in Q3 to 258,223 shares, worth about $41.24 million, while institutional investors own roughly 94.45% of the stock.
• Atlassian announced plans to cut about 1,600 jobs as it pivots to AI—including roughly 900 R&D roles—and its CTO is leaving; management says the reductions will “self‑fund” AI and speed the path to sustained profitability.
• The company beat recent quarterly EPS ($1.22 vs. $1.12 est.) and saw revenue rise 23.3% YoY, but remains unprofitable (negative net margin and ROE); analysts hold a consensus Moderate Buy with a ~$185 target.

Connor Clark & Lunn Investment Management Ltd. lifted its holdings in Atlassian Corporation PLC (NASDAQ:TEAM - Free Report) by 83.5% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 258,223 shares of the technology company's stock after acquiring an additional 117,465 shares during the period. Connor Clark & Lunn Investment Management Ltd. owned 0.10% of Atlassian worth $41,238,000 at the end of the most recent quarter.

Other large investors also recently added to or reduced their stakes in the company. Physician Wealth Advisors Inc. lifted its stake in shares of Atlassian by 60.4% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 162 shares of the technology company's stock valued at $26,000 after purchasing an additional 61 shares during the last quarter. Snowden Capital Advisors LLC increased its position in shares of Atlassian by 1.6% during the 2nd quarter. Snowden Capital Advisors LLC now owns 4,464 shares of the technology company's stock valued at $907,000 after purchasing an additional 71 shares during the last quarter. Cetera Investment Advisers raised its holdings in Atlassian by 0.3% during the 2nd quarter. Cetera Investment Advisers now owns 24,808 shares of the technology company's stock valued at $5,038,000 after buying an additional 79 shares during the period. ABN Amro Investment Solutions raised its holdings in Atlassian by 3.4% during the 3rd quarter. ABN Amro Investment Solutions now owns 2,452 shares of the technology company's stock valued at $392,000 after buying an additional 80 shares during the period. Finally, Allegiance Financial Group Advisory Services LLC lifted its position in Atlassian by 6.6% in the third quarter. Allegiance Financial Group Advisory Services LLC now owns 1,307 shares of the technology company's stock worth $209,000 after buying an additional 81 shares during the last quarter. 94.45% of the stock is owned by institutional investors.

Atlassian Trading Down 2.8%

NASDAQ TEAM opened at $73.34 on Friday. The stock has a market cap of $19.34 billion, a PE ratio of -101.86, a PEG ratio of 298.87 and a beta of 0.94. Atlassian Corporation PLC has a 12 month low of $67.85 and a 12 month high of $242.00. The company's 50-day moving average price is $105.78 and its 200-day moving average price is $141.77. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 0.62.

Atlassian (NASDAQ:TEAM - Get Free Report) last announced its quarterly earnings data on Thursday, February 5th. The technology company reported $1.22 earnings per share for the quarter, beating 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 net margin of 3.29% and a negative return on equity of 6.33%. The firm's revenue for the quarter was up 23.3% on a year-over-year basis. During the same quarter last year, the business posted $0.96 EPS. Equities research analysts forecast that Atlassian Corporation PLC will post -0.34 earnings per share for the current year.

Key Atlassian News

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: Management says cuts will “self‑fund” AI and enterprise investments and accelerate the path to sustained profitability, which investors often view as a constructive cost/reinvestment tradeoff. Atlassian to lay off about 1,600 people in pivot to AI
• Positive Sentiment: Several outlets reported an initial positive market reaction to the layoffs (short‑term rally as investors reward cost discipline and AI focus). Atlassian shares rise after workforce reduction announcement
• Positive Sentiment: Mizuho lowered its price target from $205 to $185 but kept an “outperform” rating, signaling some analyst confidence in a recovery scenario despite near‑term uncertainty. PT lowered to $185 at Mizuho
• Neutral Sentiment: Short‑interest data in the feed shows zero shares shorted (likely a reporting anomaly) and is not informative for positioning right now. (No external link — data appears erroneous.)
• Neutral Sentiment: CEO communications emphasized a “human” approach to the layoffs; tone may limit reputational damage but doesn’t change the operational impact. Atlassian to Cut 10% of Jobs Citing AI. But Its CEO Used a Human Touch for the Layoffs.
• Negative Sentiment: Roughly 900 of the affected roles are in R&D — cuts to engineering/research staff could slow product development or delay AI initiatives, raising execution risk. Atlassian to reduce headcount by 10% as it restructures around AI
• Negative Sentiment: Leadership churn: the CTO is leaving amid the restructuring, which can increase short‑term uncertainty about execution. Atlassian layoffs impact 63 workers in Washington as CTO steps down
• Negative Sentiment: Bearish coverage and price‑prediction pieces highlight downside risk and lingering concerns about growth and margins; such narratives can pressure sentiment even if fundamentals improve later. Atlassian Price Prediction: Down 66%, TEAM Could Hit $185 Next

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on TEAM shares. Weiss Ratings reiterated a "sell (e+)" rating on shares of Atlassian in a research report on Wednesday, January 21st. Piper Sandler reaffirmed an "overweight" rating and set a $200.00 price target (down from $280.00) on shares of Atlassian in a research note on Friday, February 6th. Wall Street Zen upgraded shares of Atlassian from a "hold" rating to a "buy" rating in a report on Saturday, March 7th. Oppenheimer decreased their price objective on shares of Atlassian from $275.00 to $150.00 and set an "outperform" rating for the company in a research note on Friday, February 6th. Finally, Canaccord Genuity Group set a $185.00 target price on Atlassian in a research report on Friday, February 6th. Twenty-one equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $185.12.

Insider Activity

In other Atlassian news, CFO Joseph Leo Binz sold 1,653 shares of the firm's stock in a transaction on Thursday, February 19th. The stock was sold at an average price of $81.35, for a total transaction of $134,471.55. Following the transaction, the chief financial officer directly owned 208,639 shares in the company, valued at $16,972,782.65. This trade represents a 0.79% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO Michael Cannon-Brookes sold 7,665 shares of Atlassian stock in a transaction on Friday, February 6th. The shares were sold at an average price of $94.81, for a total value of $726,718.65. Following the sale, the chief executive officer directly owned 275,940 shares of the company's stock, valued at approximately $26,161,871.40. This trade represents a 2.70% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 343,273 shares of company stock valued at $48,101,379. Insiders own 36.66% of the company's stock.

About Atlassian

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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