Elastic Target of Unusually Large Options Trading (NYSE:ESTC)

Elastic N.V. (NYSE:ESTC) was the target of some unusual options trading activity on Friday. Stock investors purchased 4,771 call options on the company. This represents an increase of approximately 101% compared to the typical volume of 2,375 call options.

Insiders Place Their Bets

In other Elastic 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 value of $785,566.21. Following the completion of 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 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, CRO Mark Eugene Dodds sold 18,439 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 $1,117,587.79. Following the completion of the transaction, the executive owned 298,211 shares of the company’s stock, valued at approximately $18,074,568.71. This trade represents a 5.82% decrease in their ownership of the stock. 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. 12.70% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Elastic

Several institutional investors and hedge funds have recently made changes to their positions in the business. Bessemer Group Inc. bought a new stake in Elastic in the first quarter worth approximately $25,000. Basecamp Wealth Advisors LLC bought a new position in shares of Elastic during the 1st quarter worth approximately $28,000. Geneos Wealth Management Inc. bought a new position in shares of Elastic during the 2nd quarter worth approximately $31,000. Activest Wealth Management grew its position in shares of Elastic by 3,181.2% during the 4th quarter. Activest Wealth Management now owns 525 shares of the company’s stock worth $40,000 after buying an additional 509 shares during the period. Finally, Harbor Investment Advisory LLC acquired a new stake in shares of Elastic during the 2nd quarter worth approximately $42,000. Institutional investors own 97.03% of the company’s stock.

Elastic Trading Up 0.4%

NYSE ESTC traded up $0.36 during mid-day trading on Friday, reaching $86.39. 3,349,353 shares of the stock were exchanged, compared to its average volume of 1,878,018. Elastic has a one year low of $42.05 and a one year high of $96.07. The stock has a 50 day simple moving average of $63.23 and a 200-day simple moving average of $57.68. The stock has a market cap of $8.98 billion, a P/E ratio of 24.68, a P/E/G ratio of 19.62 and a beta of 0.98. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.68 and a quick ratio of 1.68.

Elastic (NYSE:ESTC) last released its earnings results on Thursday, May 28th. The company reported $0.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.56 by $0.05. Elastic had a net margin of 21.14% and a negative return on equity of 1.82%. The business had revenue of $450.68 million for the quarter, compared to analyst estimates of $446.66 million. During the same quarter in the previous year, the business earned $0.47 earnings per share. Elastic’s revenue for the quarter was up 16.0% on a year-over-year basis. Elastic has set its FY 2027 guidance at 3.210-3.290 EPS and its Q1 2027 guidance at 0.570-0.590 EPS. On average, analysts anticipate that Elastic will post 0.26 EPS for the current year.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on ESTC shares. Rothschild & Co Redburn started coverage on shares of Elastic in a research note on Thursday, April 23rd. They issued a “neutral” rating and a $49.00 price objective on the stock. Barclays lowered their target price on Elastic from $76.00 to $68.00 and set an “overweight” rating for the company in a research report on Friday, May 29th. UBS Group reaffirmed a “buy” rating and set a $85.00 target price on shares of Elastic in a report on Friday, May 29th. Rosenblatt Securities reduced their price target on Elastic from $90.00 to $83.00 and set a “buy” rating on the stock in a research report on Friday, June 26th. Finally, JPMorgan Chase & Co. decreased their price target on Elastic from $99.00 to $80.00 and set an “overweight” rating for the company in a research note on Wednesday, May 27th. Seventeen investment analysts have rated the stock with a Buy rating and thirteen have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $80.33.

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.