Moody’s upgrades Agnico Eagle’s rating to A3 on debt reduction
Investing.com - Scotiabank raised its price target on Elastic NV. (NYSE:ESTC) to $121.00 from $95.00 on Friday, while maintaining a Sector Outperform rating following the company’s strong fiscal first quarter results. According to InvestingPro data, 19 analysts have recently revised their earnings upwards, with price targets ranging from $85 to $143.
The cloud-based enterprise search provider beat expectations and raised guidance across both top and bottom lines for its F1Q26 performance. Scotiabank noted that Elastic implemented a 5% price increase at the beginning of the quarter, which contributed to the positive results. The company maintains strong fundamentals with a 75.29% gross margin and 17.42% revenue growth over the last twelve months, as revealed by InvestingPro analysis.
Despite the strong showing, Scotiabank described the underlying fundamentals as "good" but stopped short of excessive enthusiasm, pointing to a competitive landscape in the vector database market. The bank’s positive thesis hinges on Elastic’s ability to upsell its existing keyword search customers to new vector database technology.
Scotiabank highlighted that the general availability of Elastic’s Serverless offering across major cloud platforms including Azure, AWS, and GCP should help maintain momentum throughout fiscal year 2026.
The firm also pointed to Elastic’s F26 operating margin target and noted that the company’s EV/EBITDA valuation is near all-time lows, factors which Scotiabank believes should limit downside risk for the stock.
In other recent news, Elastic NV reported its first-quarter fiscal 2026 earnings, surpassing Wall Street expectations with an earnings per share of $0.60, compared to the forecasted $0.42. The company’s revenue also exceeded projections, reaching $415 million against an expected $397.16 million. The impressive financial results contributed to a 5.4% rise in the company’s stock during after-hours trading. Additionally, Elastic’s revenue growth accelerated, with a notable 5% price increase implemented at the start of the quarter for cloud customers.
Piper Sandler raised its price target for Elastic NV to $125, citing a 24% year-over-year growth in cloud revenue. Canaccord Genuity also increased its price target to $120 while maintaining a Buy rating. On the other hand, DA Davidson assumed coverage with a Neutral rating, setting a price target of $105. Needham reiterated its Hold rating, noting that while Elastic exceeded revenue guidance, there are questions about the source of growth. These developments reflect the varied perspectives of analysts on Elastic’s future trajectory.
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