Atlassian (NASDAQ:TEAM) Trading Down 5% – Here’s Why

Atlassian Corporation PLC (NASDAQ:TEAM)’s stock price was down 5% during mid-day trading on Tuesday . The stock traded as low as $92.36 and last traded at $91.5650. 627,233 shares changed hands during trading, a decline of 90% from the average daily volume of 6,396,168 shares. The stock had previously closed at $96.43.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on TEAM shares. Canaccord Genuity Group reduced their target price on shares of Atlassian from $185.00 to $150.00 and set a “buy” rating for the company in a research note on Wednesday, April 15th. BMO Capital Markets cut their price target on Atlassian from $105.00 to $95.00 and set an “outperform” rating for the company in a report on Thursday, June 25th. Robert W. Baird set a $120.00 price objective on Atlassian in a research report on Friday, May 1st. Raymond James Financial set a $130.00 price objective on Atlassian in a report on Friday, May 1st. Finally, Citigroup lowered their price objective on Atlassian from $160.00 to $110.00 and set a “buy” rating on the stock in a research report on Friday, May 1st. Twenty-one investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Atlassian presently has an average rating of “Moderate Buy” and a consensus price target of $138.50.

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 firm has a 50 day moving average price of $88.92 and a two-hundred day moving average price of $90.93. The company has a market capitalization of $22.88 billion, a P/E ratio of -108.82, a price-to-earnings-growth ratio of 6.08 and a beta of 1.11.

Atlassian (NASDAQ:TEAM) last announced its quarterly earnings results on Thursday, April 30th. The technology company reported $1.75 EPS for the quarter, beating the consensus estimate of $1.33 by $0.42. Atlassian had a positive return on equity of 6.22% and a negative net margin of 3.50%.The business had revenue of $1.79 billion for the quarter, compared to analyst estimates of $1.70 billion. During the same quarter in the previous year, the firm earned $0.97 EPS. Atlassian’s quarterly revenue was up 31.7% on a year-over-year basis. On average, research analysts expect that Atlassian Corporation PLC will post 0.81 earnings per share for the current fiscal year.

Insider Buying and Selling at Atlassian

In other news, CRO Brian Duffy sold 3,000 shares of the company’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $89.71, for a total value of $269,130.00. Following the sale, the executive owned 227,691 shares of the company’s stock, valued at approximately $20,426,159.61. This represents a 1.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO James Chuong sold 8,838 shares of the stock in a transaction dated Tuesday, May 19th. The stock was sold at an average price of $87.75, for a total transaction of $775,534.50. Following the sale, the chief financial officer owned 288,272 shares of the company’s stock, valued at $25,295,868. This trade represents a 2.97% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 20,041 shares of company stock worth $1,801,069 in the last 90 days. 36.66% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the company. MV Capital Management Inc. acquired a new stake in Atlassian during the 4th quarter valued at $25,000. MassMutual Private Wealth & Trust FSB grew its holdings in shares of Atlassian by 139.2% during the second quarter. MassMutual Private Wealth & Trust FSB now owns 378 shares of the technology company’s stock worth $29,000 after purchasing an additional 220 shares during the last quarter. Western Wealth Management LLC bought a new stake in shares of Atlassian during the first quarter worth $30,000. State of Wyoming increased its stake in shares of Atlassian by 65.7% in the first quarter. State of Wyoming now owns 449 shares of the technology company’s stock valued at $31,000 after buying an additional 178 shares in the last quarter. Finally, Basepoint Wealth LLC acquired a new stake in shares of Atlassian in the fourth quarter valued at $32,000. Institutional investors own 94.45% of the company’s stock.

Atlassian Company Profile

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.