Elastic (NYSE:ESTC) Updates FY 2026 Earnings Guidance

27 Feb 2026, 00:58 by Mitch Edgeman · The Markets Daily

Elastic (NYSE:ESTC – Get Free Report) updated its FY 2026 earnings guidance on Thursday. The company provided EPS guidance of 2.500-2.540 for the period, compared to the consensus EPS estimate of 1.470. The company issued revenue guidance of $1.7 billion-$1.7 billion, compared to the consensus revenue estimate of $1.7 billion. Elastic also updated its Q4 2026 guidance to 0.550-0.570 EPS.

Wall Street Analysts Forecast Growth

ESTC has been the subject of a number of research reports. Bank of America lowered their price target on shares of Elastic from $111.00 to $90.00 and set a “neutral” rating for the company in a report on Friday, November 21st. Barclays lowered their target price on Elastic from $107.00 to $100.00 and set an “overweight” rating for the company in a research note on Monday, January 12th. Royal Bank Of Canada cut their price target on Elastic from $115.00 to $95.00 and set an “outperform” rating on the stock in a research note on Monday, January 5th. DA Davidson decreased their price target on Elastic from $100.00 to $80.00 and set a “neutral” rating on the stock in a report on Friday, November 21st. Finally, UBS Group dropped their price objective on Elastic from $125.00 to $110.00 and set a “buy” rating for the company in a report on Friday, November 21st. Seventeen analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $102.17.

Check Out Our Latest Stock Report on ESTC

Elastic Stock Up 6.1%

Shares of NYSE:ESTC traded up $3.56 during trading on Thursday, hitting $61.56. 4,042,877 shares of the company’s stock traded hands, compared to its average volume of 1,929,495. The company has a current ratio of 1.97, a quick ratio of 1.97 and a debt-to-equity ratio of 0.64. The company has a 50-day moving average price of $69.20 and a 200-day moving average price of $78.08. Elastic has a 52 week low of $52.73 and a 52 week high of $117.49. The company has a market cap of $6.49 billion, a price-to-earnings ratio of -59.77, a price-to-earnings-growth ratio of 229.35 and a beta of 0.93.

Elastic (NYSE:ESTC – Get Free Report) last released its quarterly earnings results on Thursday, February 26th. The company reported ($0.03) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.64 by ($0.67). Elastic had a negative net margin of 6.79% and a negative return on equity of 2.02%. Elastic has set its FY 2026 guidance at 2.500-2.540 EPS and its Q4 2026 guidance at 0.550-0.570 EPS. As a group, research analysts forecast that Elastic will post -0.77 EPS for the current fiscal year.

Insider Buying and Selling at Elastic

In related news, insider Ken Exner sold 6,544 shares of the business’s stock in a transaction that occurred on Tuesday, December 9th. The stock was sold at an average price of $75.05, for a total transaction of $491,127.20. Following the transaction, the insider directly owned 227,038 shares of the company’s stock, valued at approximately $17,039,201.90. The trade was a 2.80% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Ashutosh Kulkarni sold 20,413 shares of the stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $75.05, for a total transaction of $1,531,995.65. Following the completion of the transaction, the chief executive officer directly owned 431,901 shares in the company, valued at $32,414,170.05. The trade was a 4.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 61,828 shares of company stock valued at $4,641,010 in the last 90 days. Company insiders own 12.70% of the company’s stock.

Elastic News Roundup

Here are the key news stories impacting Elastic this week:

Positive Sentiment: Management raised forward guidance sharply — FY‑2026 EPS guided to $2.50–$2.54 (well above consensus) and Q4 EPS to $0.55–$0.57; revenue guidance is around $1.7B for the year. That outlook suggests stronger profitability and top‑line momentum than analysts expected. Press Release
Positive Sentiment: Revenue and subscription growth remain healthy: Q3 total revenue $450M (+18% YoY) and subscription revenue $426M (+19% YoY), indicating continued demand for Elastic’s Search AI platform. Press Release
Neutral Sentiment: Adjusted (non‑GAAP) EPS reports look stronger — Zacks notes $0.73/share which beats estimates — but this contrasts with GAAP figures, so interpretation depends on which metric investors prioritize. Zacks: EPS and Revenues
Neutral Sentiment: Media coverage and analyst sentiment are mixed-to-positive (consensus “Moderate Buy” cited), which can support the rally but leaves room for divergent analyst views. Analyst Coverage
Negative Sentiment: GAAP results showed a quarterly EPS shortfall (reported GAAP EPS -$0.03 vs. some estimates expecting a positive print) and Elastic still has a negative net margin and negative ROE, highlighting ongoing profitability/expense issues. Press Release (GAAP figures)
Negative Sentiment: Recent analyst downgrade pushed the shares to a 12‑month low prior to today’s move, and the stock still trades below its 50‑ and 200‑day moving averages — technical weakness could limit near‑term upside. Analyst Downgrade / 12‑Month Low

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Focus Partners Wealth bought a new stake in Elastic during the 1st quarter worth $494,000. Northwestern Mutual Wealth Management Co. increased its stake in shares of Elastic by 17.3% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,159 shares of the company’s stock valued at $98,000 after buying an additional 171 shares during the period. Invesco Ltd. raised its holdings in Elastic by 11.7% in the 2nd quarter. Invesco Ltd. now owns 95,332 shares of the company’s stock valued at $8,039,000 after buying an additional 9,990 shares during the last quarter. EverSource Wealth Advisors LLC boosted its position in Elastic by 400.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,110 shares of the company’s stock worth $178,000 after buying an additional 1,688 shares during the period. Finally, Cerity Partners LLC grew its holdings in Elastic by 24.7% during the 2nd quarter. Cerity Partners LLC now owns 30,545 shares of the company’s stock worth $2,576,000 after acquiring an additional 6,056 shares during the last quarter. 97.03% of the stock is owned by institutional investors.

About Elastic

(Get Free Report)

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.