Atlassian (NASDAQ:TEAM) Cut to “Strong Sell” at Zacks Research

Zacks Research cut shares of Atlassian (NASDAQ:TEAM) from a hold rating to a strong sell rating in a report issued on Wednesday morning,Zacks.com reports.

Other analysts have also issued research reports about the company. Oppenheimer lowered their target price on Atlassian from $275.00 to $150.00 and set an “outperform” rating on the stock in a report on Friday, February 6th. KeyCorp reduced their price objective on Atlassian from $210.00 to $170.00 and set an “overweight” rating for the company in a research report on Friday, February 6th. Guggenheim lowered their price objective on shares of Atlassian from $225.00 to $190.00 and set a “buy” rating on the stock in a research note on Friday, February 6th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Atlassian in a research note on Wednesday, January 21st. Finally, Jefferies Financial Group set a $150.00 price target on shares of Atlassian in a report on Friday, February 6th. Twenty equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $189.32.

Atlassian Price Performance

Shares of Atlassian stock opened at $84.38 on Wednesday. The company has a current ratio of 0.89, a quick ratio of 1.26 and a debt-to-equity ratio of 0.62. The firm has a fifty day simple moving average of $137.78 and a 200-day simple moving average of $154.55. The stock has a market capitalization of $22.20 billion, a price-to-earnings ratio of -117.19, a PEG ratio of 72.19 and a beta of 0.88. Atlassian has a 1-year low of $83.17 and a 1-year high of $316.99.

Atlassian (NASDAQ:TEAM) last announced its earnings results on Thursday, February 5th. The technology company reported $1.22 EPS for the quarter, topping the consensus estimate of $1.12 by $0.10. The firm had revenue of $1.59 billion for the quarter, compared to the consensus estimate of $1.54 billion. Atlassian had a negative net margin of 3.29% and a negative return on equity of 6.33%. The business’s quarterly revenue was up 23.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.96 EPS. On average, sell-side analysts expect that Atlassian will post -0.34 earnings per share for the current year.

Insider Transactions at Atlassian

In other Atlassian news, CEO Michael Cannon-Brookes sold 7,665 shares of the firm’s stock in a transaction dated Monday, November 24th. The shares were sold at an average price of $146.62, for a total transaction of $1,123,842.30. Following the completion of the transaction, the chief executive officer owned 183,960 shares in the company, valued at $26,972,215.20. This trade represents a 4.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Scott Farquhar sold 7,665 shares of the company’s stock in a transaction that occurred on Monday, November 24th. The shares were sold at an average price of $146.62, for a total value of $1,123,842.30. Following the completion of the sale, the director owned 183,960 shares in the company, valued at approximately $26,972,215.20. This represents a 4.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 513,177 shares of company stock valued at $74,514,517 over the last ninety days. 36.66% of the stock is owned by insiders.

Institutional Trading of Atlassian

A number of large investors have recently bought and sold shares of TEAM. SBI Securities Co. Ltd. grew its holdings in shares of Atlassian by 50.7% during the third quarter. SBI Securities Co. Ltd. now owns 40,546 shares of the technology company’s stock worth $6,475,000 after purchasing an additional 13,643 shares during the last quarter. Mediolanum International Funds Ltd lifted its position in Atlassian by 108.4% during the 3rd quarter. Mediolanum International Funds Ltd now owns 41,963 shares of the technology company’s stock worth $6,937,000 after buying an additional 21,829 shares in the last quarter. Nordea Investment Management AB grew its holdings in Atlassian by 20.3% during the 3rd quarter. Nordea Investment Management AB now owns 721,690 shares of the technology company’s stock worth $114,695,000 after acquiring an additional 121,541 shares during the last quarter. Allianz Asset Management GmbH increased its position in Atlassian by 28.6% in the 2nd quarter. Allianz Asset Management GmbH now owns 102,194 shares of the technology company’s stock valued at $20,755,000 after acquiring an additional 22,701 shares in the last quarter. Finally, Mitsubishi UFJ Trust & Banking Corp raised its stake in shares of Atlassian by 3.7% in the second quarter. Mitsubishi UFJ Trust & Banking Corp now owns 258,299 shares of the technology company’s stock worth $52,458,000 after acquiring an additional 9,274 shares during the last quarter. 94.45% of the stock is currently owned by institutional investors.

Atlassian News Roundup

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: Coverage noting Atlassian’s strong presence within the Nasdaq tech complex, highlighting visibility among peers and potential long-term market positioning. Atlassian (NASDAQ:TEAM) Shows Strong Nasdaq Composite Presence In Tech
• Neutral Sentiment: Recaps and Q&A from Atlassian’s Q4 earnings call providing detail on execution and management commentary — useful for fundamentals but not a clear immediate catalyst. The 5 most interesting analyst questions from Atlassian’s Q4 earnings call
• Neutral Sentiment: Coverage of Atlassian’s strategic shift (global changes and AI initiatives) that could support longer-term revenue/positioning; article frames these moves against a recent share-price slump — mixed near-term impact. Atlassian’s Global Shift And AI Push Versus Recent Share Price Slump
• Neutral Sentiment: Reported short-interest entries for Feb 12–13 show anomalous data (0 shares / NaN change and a 0.0 days ratio). The figures are unreliable as published and don’t provide a clear short-squeeze or bearish signal today.
• Negative Sentiment: Zacks published a bearish feature on TEAM (“Bear of the Day”), highlighting deteriorating sentiment versus prior highs — negative press that can amplify selling. Bear of the Day: Atlassian (TEAM)
• Negative Sentiment: Zacks Research downgraded TEAM from “hold” to “strong sell,” a formal analyst downgrade that increases downside pressure by signaling weaker near-term expectations. Zacks.com
• Negative Sentiment: Citi cut its price target on TEAM from $210 to $160, trimming upside expectations from a major sell-side firm — another direct hit to valuation sentiment. Citi cuts PT on Atlassian Corporation (TEAM) to $160 from $210 – here’s why
• Negative Sentiment: Pomerantz LLP opened an investor investigation into Atlassian, introducing legal risk and potential liability concerns that typically weigh on shares until resolved. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf Of Investors of Atlassian Corporation – TEAM

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.