Atlassian (NASDAQ:TEAM) Hits New 52-Week Low After Analyst Downgrade

Atlassian Corporation PLC (NASDAQ:TEAM) reached a new 52-week low on Tuesday after Mizuho lowered their price target on the stock from $245.00 to $225.00. Mizuho currently has an outperform rating on the stock. Atlassian traded as low as $115.53 and last traded at $117.7490, with a volume of 1037936 shares changing hands. The stock had previously closed at $118.55.

Other equities research analysts also recently issued reports about the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Atlassian in a research note on Wednesday, October 8th. Robert W. Baird set a $230.00 price target on shares of Atlassian in a research note on Friday, October 31st. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $240.00 price objective on shares of Atlassian in a research report on Friday, October 31st. TD Cowen decreased their target price on Atlassian from $205.00 to $175.00 and set a “hold” rating for the company in a report on Tuesday. Finally, The Goldman Sachs Group reissued a “buy” rating and set a $260.00 target price on shares of Atlassian in a research note on Friday, October 31st. Twenty-one investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $235.38.

Insider Buying and Selling

In related news, Director Scott Farquhar sold 7,665 shares of the company’s stock in a transaction that occurred on Tuesday, January 20th. The stock was sold at an average price of $118.19, for a total value of $905,926.35. Following the sale, the director owned 375,585 shares of the company’s stock, valued at approximately $44,390,391.15. This represents a 2.00% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Michael Cannon-Brookes sold 7,665 shares of the stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $118.19, for a total value of $905,926.35. Following the sale, the chief executive officer owned 375,585 shares in the company, valued at approximately $44,390,391.15. This trade represents a 2.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 566,379 shares of company stock valued at $87,553,359. Insiders own 36.66% of the company’s stock.

Atlassian News Summary

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: BTIG remains bullish after Atlassian’s Data Center pricing update, signaling continued confidence in revenue/corporate demand dynamics. BTIG Stays Bullish on Atlassian (TEAM) After Data Center Pricing Update
• Positive Sentiment: A recent analysis argues AI-driven disruption fears are overblown, stressing Atlassian’s strong switching costs, data ownership, and complex workflows that protect revenue and margins — a bullish read for long-term holders. Atlassian: AI Fears Are Overblown
• Neutral Sentiment: Mizuho lowered its price target from $245 to $225 but maintained an Outperform rating — a downward revision to upside expectations but still a positive stance relative to the market. Mizuho lowers price target to $225 (Outperform)
• Negative Sentiment: TD Cowen trimmed its target to $175 and moved to a Hold rating, reducing analyst conviction and lowering implied upside — a headwind for momentum. TD Cowen lowers price target to $175 (Hold)
• Negative Sentiment: Insider sales: CEO Michael Cannon-Brookes and co-founder/director Scott Farquhar each sold 7,665 shares (same trade), trimming their holdings by ~2% at ~$118.19 per share — a signal some investors read as negative even though remaining ownership remains sizable. SEC filings here and here. Farquhar SEC Filing Cannon-Brookes SEC Filing

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. One Wealth Advisors LLC grew its stake in shares of Atlassian by 56.7% during the 2nd quarter. One Wealth Advisors LLC now owns 4,436 shares of the technology company’s stock worth $901,000 after purchasing an additional 1,606 shares during the period. Nordea Investment Management AB boosted its holdings in Atlassian by 20.3% in the 3rd quarter. Nordea Investment Management AB now owns 721,690 shares of the technology company’s stock worth $114,695,000 after buying an additional 121,541 shares during the last quarter. Allianz Asset Management GmbH increased its position in shares of Atlassian by 28.6% during the second quarter. Allianz Asset Management GmbH now owns 102,194 shares of the technology company’s stock worth $20,755,000 after purchasing an additional 22,701 shares in the last quarter. Mitsubishi UFJ Trust & Banking Corp raised its position 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 valued at $52,458,000 after buying an additional 9,274 shares during the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. lifted its stake in Atlassian by 2.5% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 408,414 shares of the technology company’s stock worth $65,224,000 after purchasing an additional 9,769 shares in the last quarter. Institutional investors and hedge funds own 94.45% of the company’s stock.

Atlassian Price Performance

The company has a debt-to-equity ratio of 0.72, a current ratio of 1.26 and a quick ratio of 1.26. The stock has a 50 day simple moving average of $151.58 and a two-hundred day simple moving average of $164.95. The company has a market cap of $32.21 billion, a price-to-earnings ratio of -172.41, a price-to-earnings-growth ratio of 18.28 and a beta of 0.88.

Atlassian (NASDAQ:TEAM) last posted its earnings results on Thursday, October 30th. The technology company reported $1.04 EPS for the quarter, beating analysts’ consensus estimates of $0.83 by $0.21. The company had revenue of $1.43 billion for the quarter, compared to the consensus estimate of $1.40 billion. Atlassian had a negative return on equity of 7.11% and a negative net margin of 3.38%.The company’s revenue for the quarter was up 20.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.77 earnings per share. On average, equities research analysts predict that Atlassian Corporation PLC will post -0.34 earnings per share for the current fiscal year.

About Atlassian

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.