Elastic price target lowered to $115 from $119 at RBC Capital

RBC Capital analyst Matthew Hedberg lowered the firm’s price target on Elastic (ESTC) to $115 from $119 and keeps an Outperform rating on the shares. The company posted a solid finish to its Fy25 as the overall tone was positive around Q4 and pipeline into Q1 despite macros pressures in the U.S. public sector that resulted in deal elongation, the analyst tells investors in a research note. Elastic management also took a more conservative approach to FY26 revenue guidance in assuming additional macro pressures are extending to broader business and more consumption headwinds, even though neither of which have been seen so far, RBC added.