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On Wednesday, Rosenblatt Securities maintained a positive outlook on Elastic NV (NYSE: NYSE:ESTC), reiterating a Buy rating and a $140.00 price target. According to InvestingPro data, this target aligns with the broader analyst consensus, as 22 analysts have recently revised their earnings expectations upward. The stock currently trades at $92.85, with analyst targets ranging from $75 to $160. The firm’s analysts anticipate that Elastic’s fourth quarter and full-year 2025 financial results, which are set to be released on Thursday, May 29th, after the market closes, could slightly surpass expectations. This projection follows a 4% beat in the third quarter. The company has demonstrated solid financial health, with InvestingPro data showing a healthy current ratio of 2.02 and strong revenue growth of nearly 18% over the last twelve months.
Elastic’s recent performance is attributed to its strategic sales team restructuring at the beginning of the fiscal year, which has enhanced the company’s engagement with key enterprise customers. Additionally, Elastic’s growth is supported by the ongoing trend of clients consolidating their operations onto the Elastic platform for various solutions, including Observability/Log and SIEM Security, as well as the development of GenAI-driven applications using Elastic Search.
The analyst noted that the macro selling environment has remained relatively stable since the company’s third-quarter results, based on industry checks and competitor outcomes. The firm also believes that the current levels of Cloud Service Provider (CSP) growth are encouraging.
Elastic’s unified technology platform positions it favorably to capitalize on the increasing trend towards tool consolidation in log management, modernization of legacy SIEM systems, and the creation of GenAI applications. These applications leverage Elastic’s Search Relevance Engine, which includes vector database capabilities. With a market capitalization of $9.7 billion and impressive gross profit margins of 74.3%, the company shows strong operational efficiency. For deeper insights into Elastic’s financial health and growth prospects, including 5 additional exclusive ProTips, check out the comprehensive research report available on InvestingPro.
Rosenblatt’s analysts have decided to keep their estimates for Elastic’s Cloud growth steady at 26%, matching the growth rate reported in the previous quarter. The $140.00 price target reflects the firm’s confidence in Elastic’s continued success and market position.
In other recent news, Elastic NV has been the focus of several analyst reports and strategic developments. Rosenblatt Securities reiterated a Buy rating for Elastic, maintaining a price target of $140, citing expected in-line or slightly better fourth-quarter and full-year 2025 results. Stifel also maintained a Buy rating with the same price target, expressing confidence in Elastic’s improved go-to-market execution and opportunities in the Generative AI market. Conversely, Cantor Fitzgerald and TD Cowen expressed more cautious views. Cantor maintained a Neutral rating with a $109 price target, noting concerns about Elastic’s fiscal year 2026 revenue guidance amid economic instability. TD Cowen reduced its price target from $125 to $105, while maintaining a Hold rating, due to anticipated conservative guidance for FY26.
Elastic also announced a partnership with Tines to enhance security and observability workflow automation. This collaboration aims to improve security orchestration and response times, providing significant benefits to organizations like the Texas A&M System Cyber Operations. The integrated offering is designed to address challenges faced by security analysts and engineers, improving operational efficiency and reducing costs. These recent developments highlight Elastic’s strategic efforts to capitalize on market opportunities while navigating economic uncertainties.
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