Elastic (NYSE:ESTC) Releases FY 2027 Earnings Guidance

Elastic (NYSE:ESTC) issued an update on its FY 2027 earnings guidance on Thursday. The company provided EPS guidance of 3.290-3.370 for the period, compared to the consensus EPS estimate of 2.640. The company issued revenue guidance of $2.0 billion-$2.0 billion, compared to the consensus revenue estimate of $2.0 billion. Elastic also updated its Q2 2027 guidance to 0.800-0.820 EPS.

Elastic Stock Performance

Elastic stock traded up $4.63 on Thursday, hitting $83.88. The company’s stock had a trading volume of 4,615,612 shares, compared to its average volume of 2,080,636. Elastic has a one year low of $42.05 and a one year high of $96.07. The firm has a market cap of $8.72 billion, a P/E ratio of 23.96, a price-to-earnings-growth ratio of 20.06 and a beta of 0.98. The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 0.45. The company has a fifty day moving average price of $66.94 and a 200-day moving average price of $58.59.

Elastic (NYSE:ESTC) last issued its earnings results on Thursday, August 27th. The company reported $0.70 earnings per share for the quarter, beating the consensus estimate of $0.58 by $0.12. The business had revenue of $478.11 million for the quarter, compared to analyst estimates of $469.75 million. Elastic had a net margin of 21.14% and a negative return on equity of 1.82%. 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, equities analysts anticipate that Elastic will post 0.24 earnings per share for the current year.

Analyst Upgrades and Downgrades

ESTC has been the topic of several analyst reports. Piper Sandler reiterated an “overweight” rating on shares of Elastic in a research note on Friday, June 26th. Wells Fargo & Company lifted their price objective on Elastic from $60.00 to $80.00 and gave the company an “equal weight” rating in a report on Tuesday. TD Cowen boosted their target price on shares of Elastic from $55.00 to $70.00 and gave the company a “hold” rating in a research note on Tuesday. Guggenheim reaffirmed a “buy” rating and issued a $106.00 target price on shares of Elastic in a report on Wednesday, August 19th. Finally, Canaccord Genuity Group dropped their target price on shares of Elastic from $90.00 to $80.00 and set a “buy” rating for the company in a research report on Friday, May 29th. Seventeen analysts have rated the stock with a Buy rating and thirteen have given a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $87.41.

Insider Buying and Selling at Elastic

In other news, CFO Navam Welihinda sold 12,961 shares of the company’s stock in a transaction that occurred on Tuesday, June 9th. The shares were sold at an average price of $60.61, for a total transaction of $785,566.21. Following the transaction, the chief financial officer directly owned 209,254 shares in the company, valued at approximately $12,682,884.94. This represents a 5.83% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CRO Mark Eugene Dodds sold 18,439 shares of Elastic stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $60.61, for a total transaction of $1,117,587.79. Following the sale, the executive owned 298,211 shares of the company’s stock, valued at approximately $18,074,568.71. This represents a 5.82% 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 110,099 shares of company stock worth $6,673,100 over the last quarter. Corporate insiders own 12.70% of the company’s stock.

Key Elastic News

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Quarterly earnings beat estimates: Elastic reported adjusted earnings of $0.70 per share, surpassing the $0.58 consensus estimate, while revenue of $478.11 million exceeded expectations of $469.75 million. The earnings and revenue beats support the bullish reaction, although the company’s return on equity remained negative at 1.82%. Elastic Press Release
• Positive Sentiment: Momentum-focused investor interest: Zacks identified Elastic as a top-ranked momentum stock, potentially reinforcing demand for the shares following their strong recent performance. Zacks Momentum Stock Article
• Positive Sentiment: Analyst support: Wells Fargo reportedly expects Elastic’s stock to rise, while Cantor Fitzgerald issued a favorable outlook, adding to the positive sentiment surrounding the company. Wells Fargo Elastic Analyst Outlook Cantor Fitzgerald Elastic Forecast
• Neutral Sentiment: Mixed analyst targets: Rosenblatt reaffirmed a “buy” rating with an $83 price target, while DA Davidson raised its target to $80 but maintained a “neutral” rating. These targets suggest analysts see limited near-term upside after the recent rally. Rosenblatt Elastic Rating
• Neutral Sentiment: Another analyst roundup described sentiment toward Elastic and other technology stocks as neutral. Analyst Neutrality Report

Institutional Investors Weigh In On Elastic

A number of hedge funds have recently modified their holdings of the business. Focus Partners Wealth bought a new stake in Elastic in the 1st quarter valued at $494,000. Northwestern Mutual Wealth Management Co. lifted its stake in Elastic by 17.3% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,159 shares of the company’s stock valued at $98,000 after acquiring an additional 171 shares during the last quarter. Invesco Ltd. boosted its stake in shares of Elastic by 11.7% during the 2nd quarter. Invesco Ltd. now owns 95,332 shares of the company’s stock worth $8,039,000 after acquiring an additional 9,990 shares during the period. EverSource Wealth Advisors LLC raised its holdings in Elastic by 400.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,110 shares of the company’s stock valued at $178,000 after acquiring an additional 1,688 shares during the period. Finally, Cerity Partners LLC increased its position in Elastic by 24.7% during the 2nd quarter. Cerity Partners LLC now owns 30,545 shares of the company’s stock worth $2,576,000 after buying an additional 6,056 shares during the period. Institutional investors and hedge funds own 97.03% of the company’s stock.

Elastic Company Profile

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.