Shay Banon Sells 165,171 Shares of Elastic (NYSE:ESTC) Stock

Key Points

• Elastic CTO Shay Banon sold 165,171 shares at an average $90.26 for approximately $14.9 million, reducing his direct stake by 9.47%. Including recent transactions, he sold 476,298 shares for roughly $44.5 million.
• Elastic reported quarterly EPS of $0.70, beating estimates of $0.58, while revenue rose 15.2% year over year to $478.1 million. The company issued fiscal 2027 EPS guidance of $3.29-$3.37.
• Shares fell 3.2% to $89.43, despite a “Moderate Buy” analyst consensus and an average price target of $94.12; institutional investors own approximately 97% of the stock.

Elastic N.V. (NYSE:ESTC - Get Free Report) CTO Shay Banon sold 165,171 shares of the stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $90.26, for a total value of $14,908,334.46. Following the completion of the sale, the chief technology officer directly owned 1,578,680 shares of the company's stock, valued at approximately $142,491,656.80. This represents a 9.47% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website.

Shay Banon also recently made the following trade(s):

• On Tuesday, September 1st, Shay Banon sold 111,127 shares of Elastic stock. The stock was sold at an average price of $92.60, for a total value of $10,290,360.20.
• On Monday, August 31st, Shay Banon sold 200,000 shares of Elastic stock. The stock was sold at an average price of $96.47, for a total value of $19,294,000.00.
• On Tuesday, June 9th, Shay Banon sold 9,288 shares of Elastic stock. The shares were sold at an average price of $60.61, for a total transaction of $562,945.68.

Elastic Trading Down 3.2%

Shares of ESTC traded down $2.96 during mid-day trading on Wednesday, reaching $89.43. The stock had a trading volume of 2,407,438 shares, compared to its average volume of 3,129,352. Elastic N.V. has a 52-week low of $42.05 and a 52-week high of $108.00. The firm has a market cap of $9.39 billion, a price-to-earnings ratio of 25.05, a P/E/G ratio of 8.95 and a beta of 1.03. The business's fifty day moving average is $70.31 and its 200 day moving average is $59.69. The company has a debt-to-equity ratio of 0.44, a current ratio of 1.81 and a quick ratio of 1.68.

Elastic (NYSE:ESTC - Get Free Report) last announced its quarterly earnings results on Thursday, August 27th. The company reported $0.70 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.58 by $0.12. Elastic had a net margin of 20.84% and a negative return on equity of 0.35%. The business had revenue of $478.11 million during the quarter, compared to the consensus estimate of $469.75 million. During the same quarter last year, the firm earned $0.60 EPS. The business's revenue was up 15.2% compared to the same quarter last year. Elastic has set its FY 2027 guidance at 3.290-3.370 EPS and its Q2 2027 guidance at 0.800-0.820 EPS. On average, sell-side analysts predict that Elastic N.V. will post 0.56 EPS for the current fiscal year.

Institutional Trading of Elastic

Several large investors have recently modified their holdings of ESTC. Orion Porfolio Solutions LLC raised its holdings in Elastic by 1.4% in the third quarter. Orion Porfolio Solutions LLC now owns 8,593 shares of the company's stock valued at $726,000 after buying an additional 118 shares during the period. Northwestern Mutual Wealth Management Co. lifted its stake in shares of Elastic by 17.3% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 1,159 shares of the company's stock worth $98,000 after acquiring an additional 171 shares during the period. Public Employees Retirement System of Ohio boosted its stake in Elastic by 0.6% during the 3rd quarter. Public Employees Retirement System of Ohio now owns 28,323 shares of the company's stock valued at $2,393,000 after purchasing an additional 175 shares in the last quarter. California State Teachers Retirement System boosted its stake in Elastic by 0.3% during the second quarter. California State Teachers Retirement System now owns 83,403 shares of the company's stock valued at $7,033,000 after buying an additional 219 shares in the last quarter. Finally, 180 Wealth Advisors LLC raised its position in Elastic by 4.6% in the second quarter. 180 Wealth Advisors LLC now owns 6,027 shares of the company's stock worth $344,000 after acquiring an additional 263 shares in the last quarter. 97.03% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Elastic

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic’s earnings outlook is benefiting from upward estimate revisions, which could support the stock if analysts continue to raise forecasts. Can Elastic Run Higher on Rising Earnings Estimates?
• Positive Sentiment: RBC Capital initiated or reiterated a Buy rating, adding favorable sell-side support. Elastic Receives a Buy from RBC Capital
• Neutral Sentiment: Elastic delivered an earnings beat, highlighted growing enterprise adoption of its AI-powered search and cloud platform, and raised or maintained guidance pointing to continued fiscal 2027 growth. Still, DA Davidson remained Neutral, arguing that one strong quarter is not sufficient confirmation of the longer-term growth trajectory. Elastic Beat and Raised Guidance
• Negative Sentiment: CTO Shay Banon sold 476,298 shares across August 31 through September 2 for approximately $44.5 million, reducing his holdings by roughly 22% across the reported transactions. Additional sales by Chief Accounting Officer Jane Bone and insider Carolyn Herzog totaled about $1.3 million. The concentration of selling by senior insiders may reinforce profit-taking concerns, although the executives retain sizable positions. Elastic Insider Sale Filings
• Negative Sentiment: A separate analysis downgraded Elastic, reflecting concern that expectations and valuation may have moved ahead of fundamentals after the earnings-driven rally. Elastic Adjusting My Position After This Sprint

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on ESTC. Weiss Ratings raised shares of Elastic from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Wednesday, July 15th. Wells Fargo & Company increased their price objective on shares of Elastic from $60.00 to $80.00 and gave the stock an "equal weight" rating in a research report on Tuesday, August 25th. Scotiabank boosted their target price on Elastic from $58.00 to $84.00 and gave the company a "sector perform" rating in a research report on Friday, August 28th. Jefferies Financial Group raised their target price on Elastic from $100.00 to $120.00 and gave the company a "buy" rating in a report on Friday, August 28th. Finally, UBS Group lifted their price objective on shares of Elastic from $85.00 to $105.00 and gave the company a "buy" rating in a report on Friday, August 28th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and thirteen have given a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $94.12.

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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