Atlassian (NASDAQ:TEAM) Trading Down 5.1% – Should You Sell?

Atlassian Corporation PLC (NASDAQ:TEAM) was down 5.1% during trading on Thursday . The company traded as low as $87.33 and last traded at $86.8960. Approximately 2,199,438 shares were traded during trading, a decline of 68% from the average daily volume of 6,926,288 shares. The stock had previously closed at $91.54.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on TEAM shares. Piper Sandler decreased their target price on shares of Atlassian from $200.00 to $175.00 and set an “overweight” rating on the stock in a research note on Friday, May 1st. Zacks Research upgraded shares of Atlassian from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, May 6th. Raymond James Financial set a $130.00 target price on shares of Atlassian in a research note on Friday, May 1st. Wells Fargo & Company cut their price objective on shares of Atlassian from $155.00 to $120.00 and set an “overweight” rating for the company in a report on Tuesday, March 17th. Finally, UBS Group cut their price objective on shares of Atlassian from $105.00 to $95.00 and set a “neutral” rating for the company in a report on Friday, May 1st. One research analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $145.63.

Atlassian Stock Performance

The company has a debt-to-equity ratio of 1.13, a quick ratio of 0.70 and a current ratio of 0.70. The business’s fifty day simple moving average is $80.65 and its 200-day simple moving average is $105.09. The firm has a market capitalization of $22.48 billion, a PE ratio of -106.53, a price-to-earnings-growth ratio of 5.42 and a beta of 1.07.

Atlassian (NASDAQ:TEAM) last posted its earnings results on Thursday, April 30th. The technology company reported $1.75 earnings per share for the quarter, beating analysts’ consensus estimates of $1.33 by $0.42. Atlassian had a negative net margin of 3.50% and a positive return on equity of 6.22%. The firm had revenue of $1.79 billion during the quarter, compared to analyst estimates of $1.70 billion. During the same period last year, the firm posted $0.97 earnings per share. Atlassian’s revenue for the quarter was up 31.7% compared to the same quarter last year. As a group, equities research analysts expect that Atlassian Corporation PLC will post 0.81 EPS for the current year.

Insiders Place Their Bets

In related news, CFO James Chuong sold 8,838 shares of the firm’s stock in a transaction on Tuesday, May 19th. The shares were sold at an average price of $87.75, for a total value of $775,534.50. Following the completion of the transaction, the chief financial officer directly owned 288,272 shares of the company’s stock, valued at approximately $25,295,868. This trade represents a 2.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CRO Brian Duffy sold 1,986 shares of the firm’s stock in a transaction on Tuesday, May 19th. The shares were sold at an average price of $87.75, for a total transaction of $174,271.50. Following the completion of the transaction, the executive directly owned 236,841 shares of the company’s stock, valued at approximately $20,782,797.75. This trade represents a 0.83% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 13,796 shares of company stock valued at $1,236,563. 36.66% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. GAMMA Investing LLC boosted its stake in Atlassian by 12.0% during the fourth quarter. GAMMA Investing LLC now owns 615 shares of the technology company’s stock worth $100,000 after buying an additional 66 shares during the period. Snowden Capital Advisors LLC boosted its stake in Atlassian by 1.6% during the second quarter. Snowden Capital Advisors LLC now owns 4,464 shares of the technology company’s stock worth $907,000 after buying an additional 71 shares during the period. Financial Perspectives Inc boosted its stake in Atlassian by 11.7% during the fourth quarter. Financial Perspectives Inc now owns 718 shares of the technology company’s stock worth $116,000 after buying an additional 75 shares during the period. ABN Amro Investment Solutions boosted its stake in Atlassian by 3.4% during the third quarter. ABN Amro Investment Solutions now owns 2,452 shares of the technology company’s stock worth $392,000 after buying an additional 80 shares during the period. Finally, Clearstead Advisors LLC boosted its stake in Atlassian by 20.5% during the third quarter. Clearstead Advisors LLC now owns 488 shares of the technology company’s stock worth $78,000 after buying an additional 83 shares during the period. 94.45% of the stock is owned by hedge funds and other institutional investors.

About Atlassian

Atlassian Corporation Plc is a software company headquartered in Sydney, Australia, best known for developing collaboration, project management and software development tools. Founded in 2002 by Mike Cannon-Brookes and Scott Farquhar, Atlassian grew from a small engineering-focused team into a publicly traded company after its initial public offering in 2015. The company serves a global customer base that spans small teams to large enterprises across technology, financial services, government and other sectors.

Atlassian’s product portfolio centers on tools designed to help teams plan, build and support software and business processes.