Elastic price target lowered to $85 from $94 at Cantor Fitzgerald

Cantor Fitzgerald lowered the firm’s price target on Elastic (ESTC) to $85 from $94 and keeps a Neutral rating on the shares. Elastic posted solid Q2 results that beat recently raised forecasts, and Cantor is impressed with Elastic’s improved sales execution and large deal/expansion signings and sees limited downside to shares from current levels, the analyst tells investors in a research note. The company is well-positioned to benefit fromAI secular growth trends in search, security, and observability, but await indications of consistent acceleration in Cloud to support overall 20%+ intermediate-term topline growth targets outlined at the Analyst Day to become more constructive on the shares.