Key Takeaways From Atlassian Analyst Ratings

Analysts' ratings for Atlassian TEAM over the last quarter vary from bullish to bearish, as provided by 12 analysts.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $208.08, a high estimate of $250.00, and a low estimate of $160.00. A 7.89% drop is evident in the current average compared to the previous average price target of $225.91.

Diving into Analyst Ratings: An In-Depth Exploration

The standing of Atlassian among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Atlassian. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Atlassian compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Atlassian's stock. This analysis reveals shifts in analysts' expectations over time.

Capture valuable insights into Atlassian's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Atlassian analyst ratings.

Delving into Atlassian's Background

Atlassian produces software that helps teams work together more efficiently and effectively. The company provides project planning and management software, collaboration tools, and IT help desk solutions. The company operates in four segments: subscriptions (term licenses and cloud agreements), maintenance (annual maintenance contracts that provide support and periodic updates and are generally attached to perpetual license sales), perpetual license (upfront sale for indefinite usage of the software), and other (training, strategic consulting, and revenue from the Atlassian Marketplace app store). Atlassian was founded in 2002 and is headquartered in Sydney.

Atlassian's Economic Impact: An Analysis

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Atlassian's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 20.5%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Atlassian's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of -17.4%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Atlassian's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -18.17%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Atlassian's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -3.83%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Atlassian's debt-to-equity ratio stands notably higher than the industry average, reaching 1.21. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Analyst Ratings: Simplified

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.