Elastic NV extends fall to 5th session, Jefferies downgrades to 'hold'

Elastic

06/01/2022 11:03

** U.S.-listed shares of Netherlands-based IT firm  ESTC.N 
down 2.5% at $105.66 in premarket trading, set for a fifth
straight session of decline
    ** Jefferies cuts rating on stock to "hold" from "buy";
lowers PT to $120 from $180
    ** Brokerage views ESTC as a good co with a strong product
solution set, but lacking a near-term catalyst
    ** Says co has limited visibility into the SaaS (Software as
a Service) business
    ** "We think the company's cloud offering is competitive;
however, ESTC currently does not incentivize either its sales
force or customer base to move to SaaS" - Jefferies
    ** Avg. rating of 18 analysts is "buy"; median PT is $177.50
- Refinitiv data
    ** Stock lost ~16% last year


    

 (Reporting by Tiyashi Datta in Bengaluru)
 ((tiyashi.datta@thomsonreuters.com))