Cantor Fitzgerald analyst Thomas Blakey lowered the price target on Elastic NV. (NYSE: ESTC) to $92.00 (from $109.00) while maintaining a Neutral rating.

The analyst commented, “Elastic reported a mixed quarter, with revenue out-performance driven by self-managed while cloud revenue slightly missed expectations, strong o/p on profitability metrics, and an initial F26 that embeds conservatism as new CFO Navam Welihinda gave his inaugural full-year guidance at Elastic which materialized in F26 revenue guided 1.6% below consensus (FactSet) expectations (when factoring in one-point of FX benefit). Management noted it was seeing deal elongation in US Federal, while citing no impact to consumption trends amidst a volatile backdrop. However, supporting a level of prudence management described as 'adequately de-risked,' Elastic did embed deal elongations and macro impacts its seeing in its Federal business in F4Q25 to potentially extend to its broader business, and did assume impact to consumption trends in F2Q-F4Q (as F1Q pipeline offers a high degree of confidence). Taking this guide into account, we raise our selfmanaged revenue estimates and subsequently lower our cloud revenue ests. while keeping m/m cloud revenue flat, derive subscription revs excluding m/m customers on a days adjusted basis to grow 16% y/y vs 20.5% in F25. Net, with a heightened focus on the self-managed business and lower cloud estimates (which we believe warrants a higher multiple) and increased competition in Enterprise Search (which we have been talking about), we await increased clarity on revenue outlook in coming quarters leading us to reiterate our Neutral rating. We lower out PT to $92 from $109 on lower C26 ests., implying 5x C26E EV/Revs (inline with our prior assumed multiple).”