Why Atlassian Shares Are Trading Higher Today

Atlassian Corporation PLC TEAM is trading higher Friday after the company announced better-than-expected first-quarter fiscal 2022 financial results and issued guidance above estimates.

Atlassian reported quarterly earnings of 46 cents per share, which beat the estimate of 40 cents per share. The company reported quarterly revenue of $614 million, which beat the estimate of $582.32 million.

Atlassian expects second-quarter fiscal 2022 adjusted earnings to be in a range of 35 cents to 38 cents per share versus the estimate of 44 cents per share. The company expects second-quarter revenue to be in a range of $630 million to $645 million versus the estimate of $618.56 million.

"We continue to deliver value to our customers and innovate across all three of our core markets," said Scott Farquhar, co-founder and co-CEO of Atlassian. 

Related Link: Atlassian Corporation: Q1 Earnings Insights

Analyst Assessment: Multiple analyst firms raised price targets on the stock following Atlassian's financial results:

• Oppenheimer analyst Ittai Kidron maintained Atlassian with an Outperform rating and raised the price target from $420 to $500.
• Wells Fargo analyst Michael Turrin maintained Atlassian with an Overweight rating and raised the price target from $475 to $500.
• Mizuho analyst Gregg Moskowitz maintained Atlassian with a Buy rating and raised the price target from $440 to $525.

TEAM Price Action: Atlassian has traded as high as $433.58 and as low as $176.42 over a 52-week period.

The stock was up 9.51% at $457 at time of publication.

Photo: courtesy of Atlassian.