Elastic (NYSE:ESTC) Cut to “Hold” at Zacks Research

by · The Cerbat Gem

Elastic (NYSE:ESTC – Get Free Report) was downgraded by equities researchers at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Monday, Zacks reports.

Several other analysts have also issued reports on ESTC. Piper Sandler reiterated a “hold” rating on shares of Elastic in a report on Friday, August 28th. Guggenheim raised their price target on Elastic from $106.00 to $120.00 and gave the company a “buy” rating in a research note on Friday, August 28th. DA Davidson raised their price target on Elastic from $60.00 to $80.00 and gave the company a “neutral” rating in a research note on Wednesday, August 26th. Monness Crespi & Hardt raised Elastic from a “neutral” rating to a “buy” rating and set a $120.00 price target on the stock in a research report on Friday, October 9th. Finally, Truist Financial upped their price objective on Elastic from $80.00 to $100.00 and gave the stock a “buy” rating in a research note on Thursday, August 20th. Seventeen investment analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $98.56.

Read Our Latest Report on Elastic

Elastic Stock Down 3.2%

Elastic stock opened at $87.40 on Monday. The company has a market cap of $9.18 billion, a P/E ratio of 24.48, a price-to-earnings-growth ratio of 7.58 and a beta of 0.97. Elastic has a 1-year low of $42.05 and a 1-year high of $108.00. The company has a fifty day simple moving average of $92.45 and a 200 day simple moving average of $68.05. The company has a current ratio of 1.81, a quick ratio of 1.81 and a debt-to-equity ratio of 0.44.

Elastic (NYSE:ESTC – Get Free Report) last issued its quarterly earnings results on Thursday, August 27th. The company reported $0.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.58 by $0.12. Elastic had a net margin of 20.84% and a negative return on equity of 0.35%. The firm had revenue of $478.11 million for the quarter, compared to analyst estimates of $469.75 million. During the same period in the previous year, the business earned $0.60 EPS. The company’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. Research analysts anticipate that Elastic will post 0.65 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Carolyn Herzog sold 5,485 shares of Elastic stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $87.78, for a total transaction of $481,473.30. Following the completion of the transaction, the insider directly owned 112,954 shares in the company, valued at approximately $9,915,102.12. The trade was a 4.63% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Steven Schuurman sold 2,000,000 shares of the business’s stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $94.15, for a total value of $188,300,000.00. Following the transaction, the director directly owned 2,504,600 shares in the company, valued at $235,808,090. The trade was a 44.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 4,585,641 shares of company stock valued at $422,851,366. Insiders own 12.70% of the company’s stock.

Hedge Funds Weigh In On Elastic

Several institutional investors and hedge funds have recently modified their holdings of the stock. Private Wealth Asset Management LLC bought a new position in shares of Elastic in the third quarter valued at about $353,000. Ieq Capital LLC boosted its holdings in shares of Elastic by 198.1% during the 3rd quarter. Ieq Capital LLC now owns 119,865 shares of the company’s stock worth $10,992,000 after buying an additional 79,659 shares during the period. Focus Advisor Solutions LLC grew its stake in Elastic by 395.1% in the 3rd quarter. Focus Advisor Solutions LLC now owns 21,095 shares of the company’s stock valued at $1,934,000 after buying an additional 16,834 shares during the last quarter. Voya Investment Management LLC grew its stake in Elastic by 23.2% in the 3rd quarter. Voya Investment Management LLC now owns 735,330 shares of the company’s stock valued at $67,430,000 after buying an additional 138,249 shares during the last quarter. Finally, Global Retirement Partners LLC raised its holdings in Elastic by 317.0% in the 3rd quarter. Global Retirement Partners LLC now owns 4,633 shares of the company’s stock valued at $425,000 after acquiring an additional 3,522 shares during the period. 97.03% of the stock is currently owned by institutional investors and hedge funds.

Elastic Company Profile

(Get Free Report)

Elastic N.V. develops software for search, observability and security. Its products help organizations search and analyze data, monitor applications and infrastructure, and detect and respond to cybersecurity threats. The company’s offerings include the Elastic Stack—built around Elasticsearch and including Kibana, Logstash and Beats—as well as cloud-based services through Elastic Cloud. These tools can be used to work with data from a range of sources and support applications such as enterprise search, log analytics and security monitoring.

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