Elastic (NYSE:ESTC) Insider Sells $481,473.30 in Stock

Elastic N.V. (NYSE:ESTC) insider Carolyn Herzog sold 5,485 shares of the firm’s 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 sale, the insider directly owned 112,954 shares of the company’s stock, valued at approximately $9,915,102.12. The trade was a 4.63% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Carolyn Herzog also recently made the following trade(s):

• On Tuesday, September 1st, Carolyn Herzog sold 10,000 shares of Elastic stock. The stock was sold at an average price of $93.67, for a total value of $936,700.00.

Elastic Stock Down 0.0%

Shares of ESTC opened at $83.44 on Friday. The company has a market capitalization of $8.76 billion, a P/E ratio of 23.37, a PEG ratio of 8.08 and a beta of 1.03. Elastic N.V. has a one year low of $42.05 and a one year high of $108.00. The business’s 50 day simple moving average is $74.79 and its 200-day simple moving average is $61.07. The company has a debt-to-equity ratio of 0.44, a current ratio of 1.81 and a quick ratio of 1.81.

Elastic (NYSE:ESTC) last issued its quarterly earnings data 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. The firm had revenue of $478.11 million during the quarter, compared to the consensus estimate of $469.75 million. Elastic had a negative return on equity of 0.35% and a net margin of 20.84%.The business’s revenue for the quarter was up 15.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.60 EPS. Elastic has set its FY 2027 guidance at 3.290-3.370 EPS and its Q2 2027 guidance at 0.800-0.820 EPS. As a group, sell-side analysts predict that Elastic N.V. will post 0.64 EPS for the current fiscal year.

Key Elastic News

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic introduced Elasticsearch Vector Database, a serverless offering designed for large-scale vector search and artificial-intelligence applications. The product is intended to simplify deployment, support hundreds of billions of vectors and strengthen Elastic’s position in the growing AI-search market. Elastic Introduces Serverless Vector Database
• Positive Sentiment: Wedbush began coverage with an “outperform” rating and a $125 price target, implying substantial upside from the recent trading level. The recommendation reflects optimism about Elastic’s AI, search and cloud growth opportunities.
• Positive Sentiment: Short interest dropped 39% between mid-August and August 31 to 3.87 million shares, or roughly 4.2% of shares outstanding. Reduced bearish positioning and only 1.1 days of short-interest coverage could provide technical support and limit short-selling pressure.
• Neutral Sentiment: Elastic’s latest quarterly results were strong, with $0.70 in adjusted EPS versus the $0.58 consensus and revenue of $478.1 million versus $469.8 million expected. Revenue grew 15.2% year over year, and fiscal 2027 EPS guidance was set at $3.29 to $3.37; however, these results were reported previously and may already be reflected in the stock’s valuation.
• Negative Sentiment: Several executives, including CEO Ashutosh Kulkarni, CFO Navam Welihinda, CRO Mark Dodds and CAO Jane Bone, sold shares on September 9. The sales totaled about 54,888 shares and $4.8 million, but were made to cover tax withholding on vested equity awards, making them less concerning than discretionary selling.
• Negative Sentiment: Repeated insider selling following a strong rally could still weigh on sentiment, particularly as investors assess whether the company’s AI-driven growth can justify its elevated valuation.

Hedge Funds Weigh In On Elastic

Several large investors have recently bought and sold shares of ESTC. California State Teachers Retirement System boosted its position in shares of Elastic by 5,082.4% in the 2nd quarter. California State Teachers Retirement System now owns 5,419,694 shares of the company’s stock worth $309,031,000 after purchasing an additional 5,315,115 shares during the last quarter. AQR Capital Management LLC increased its holdings in Elastic by 153.4% in the fourth quarter. AQR Capital Management LLC now owns 7,545,081 shares of the company’s stock valued at $569,201,000 after purchasing an additional 4,567,720 shares during the last quarter. First Trust Advisors LP increased its holdings in Elastic by 516.1% in the first quarter. First Trust Advisors LP now owns 2,627,636 shares of the company’s stock valued at $131,356,000 after purchasing an additional 2,201,140 shares during the last quarter. Pictet Asset Management Holding SA lifted its stake in Elastic by 43.2% in the first quarter. Pictet Asset Management Holding SA now owns 6,492,717 shares of the company’s stock valued at $324,550,000 after buying an additional 1,958,219 shares during the period. Finally, FIL Ltd lifted its stake in Elastic by 36.9% in the fourth quarter. FIL Ltd now owns 3,628,748 shares of the company’s stock valued at $273,753,000 after buying an additional 977,578 shares during the period. 97.03% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of brokerages have commented on ESTC. Guggenheim increased their price objective on shares of Elastic from $106.00 to $120.00 and gave the stock a “buy” rating in a report on Friday, August 28th. Royal Bank Of Canada boosted their target price on shares of Elastic from $70.00 to $87.00 and gave the stock an “outperform” rating in a research note on Friday, August 14th. Morgan Stanley upped their target price on shares of Elastic from $66.00 to $75.00 and gave the stock an “equal weight” rating in a research report on Friday, August 28th. Jefferies Financial Group increased their price target on shares of Elastic from $100.00 to $120.00 and gave the company a “buy” rating in a research note on Friday, August 28th. Finally, Barclays raised their price target on shares of Elastic from $68.00 to $94.00 and gave the company an “overweight” rating in a report on Monday, August 24th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and thirteen have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $96.52.

Elastic Company Profile

Elastic N.V. develops search, observability and security software for organizations that need to find, analyze and act on data. Its core technology, Elasticsearch, is a distributed search and analytics engine that can process structured and unstructured information from applications, websites, logs and other sources.

The company offers its platform through Elastic Cloud, a managed cloud service available across major public-cloud environments, as well as through self-managed deployments.