Elastic (NYSE:ESTC) Updates Q1 2027 Earnings Guidance

Elastic (NYSE:ESTC) updated its first quarter 2027 earnings guidance on Thursday. The company provided earnings per share guidance of 0.570-0.590 for the period, compared to the consensus earnings per share estimate of 0.500. The company issued revenue guidance of $469.0 million-$470.0 million, compared to the consensus revenue estimate of $469.3 million. Elastic also updated its FY 2027 guidance to 3.210-3.290 EPS.

Elastic Stock Up 12.5%

ESTC stock opened at $64.82 on Friday. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.82 and a quick ratio of 1.82. The stock has a market capitalization of $6.71 billion, a P/E ratio of 18.52, a P/E/G ratio of 109.01 and a beta of 0.88. The business has a 50-day moving average of $50.38 and a 200-day moving average of $62.83. Elastic has a fifty-two week low of $42.05 and a fifty-two week high of $96.07.

Elastic (NYSE:ESTC) last posted its quarterly earnings data on Thursday, May 28th. The company reported $0.61 earnings per share for the quarter, topping the consensus estimate of $0.56 by $0.05. The company had revenue of $450.68 million during the quarter, compared to analysts’ expectations of $446.66 million. Elastic had a negative return on equity of 2.02% and a net margin of 21.14%.Elastic’s revenue for the quarter was up 16.0% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.47 earnings per share. 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, sell-side analysts anticipate that Elastic will post 0.02 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several research analysts have recently weighed in on ESTC shares. Oppenheimer reduced their price objective on Elastic from $85.00 to $75.00 and set an “outperform” rating for the company in a research report on Friday. DA Davidson reduced their price objective on Elastic from $65.00 to $60.00 and set a “neutral” rating for the company in a research report on Friday. Guggenheim reduced their price objective on Elastic from $116.00 to $106.00 and set a “buy” rating for the company in a research report on Tuesday, May 19th. TD Cowen reduced their price objective on Elastic from $65.00 to $60.00 and set a “hold” rating for the company in a research report on Tuesday. Finally, Rothschild & Co Redburn assumed coverage on Elastic in a research report on Thursday, April 23rd. They set a “neutral” rating and a $49.00 price target for the company. Eighteen analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $80.04.

Insider Activity

In related news, CTO Shay Banon sold 4,283 shares of the stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $52.28, for a total transaction of $223,915.24. Following the completion of the transaction, the chief technology officer directly owned 4,354,945 shares of the company’s stock, valued at approximately $227,676,524.60. This represents a 0.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Ashutosh Kulkarni sold 17,756 shares of the stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $52.28, for a total value of $928,283.68. Following the transaction, the chief executive officer directly owned 409,145 shares of the company’s stock, valued at $21,390,100.60. This trade represents a 4.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 38,188 shares of company stock valued at $1,996,469. Corporate insiders own 12.70% of the company’s stock.

Key Headlines Impacting Elastic

Here are the key news stories impacting Elastic this week:

• Positive Sentiment: Elastic beat fiscal Q4 expectations, reporting EPS of $0.61 versus $0.56 expected and revenue of $450.7 million versus $446.7 million expected, with revenue up 16% year over year. Elastic Reports Fourth Quarter and Fiscal 2026 Financial Results
• Positive Sentiment: The company also issued first-quarter and full-year guidance above consensus for EPS, suggesting management sees continued earnings momentum. Elastic Reports Fourth Quarter and Fiscal 2026 Financial Results
• Positive Sentiment: Wall Street remains broadly constructive: Citigroup raised its price target to $104, and other firms like Jefferies, Canaccord, Oppenheimer, and Barclays still have buy/outperform-style ratings even after trimming targets. Analyst target updates
• Neutral Sentiment: Several analysts cut price targets after the report, including Barclays, Jefferies, Canaccord Genuity, Wedbush, and Oppenheimer, which signals some valuation caution rather than a thesis change. Analyst target updates
• Neutral Sentiment: Some investors may also be focusing on management’s fiscal 2027 outlook implying mid-teens revenue growth, which is still healthy but may look slower than the market hoped for after a strong quarter. Elastic shares fall 3.2% as investors digest Q4 results and fiscal 2027 outlook
• Negative Sentiment: Despite the beat, the stock has been volatile because investors were disappointed by the initial post-earnings reaction and are weighing strong growth against the company’s still-negative margins. Elastic N.V. (ESTC) Stock Falls on Q4 2026 Earnings

Institutional Trading of Elastic

Several institutional investors and hedge funds have recently bought and sold shares of ESTC. Geneos Wealth Management Inc. bought a new stake in Elastic in the second quarter valued at approximately $31,000. Aster Capital Management DIFC Ltd raised its stake in Elastic by 206.1% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 551 shares of the company’s stock valued at $42,000 after buying an additional 371 shares during the period. Kestra Advisory Services LLC bought a new stake in Elastic in the fourth quarter valued at approximately $49,000. Quarry LP raised its stake in Elastic by 16,200.0% in the fourth quarter. Quarry LP now owns 652 shares of the company’s stock valued at $49,000 after buying an additional 648 shares during the period. Finally, Empowered Funds LLC bought a new position in shares of Elastic during the fourth quarter worth approximately $62,000. Institutional investors 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.