Traders Buy Large Volume of Call Options on Atlassian (NASDAQ:TEAM)

Atlassian Corporation PLC (NASDAQ:TEAM) saw some unusual options trading activity on Friday. Stock traders acquired 14,021 call options on the stock. This represents an increase of approximately 51% compared to the typical volume of 9,297 call options.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the company. Citigroup reduced their price target on Atlassian from $240.00 to $210.00 and set a “buy” rating on the stock in a research report on Friday, January 16th. BTIG Research decreased their target price on shares of Atlassian from $220.00 to $140.00 and set a “buy” rating on the stock in a research note on Friday. Jefferies Financial Group set a $150.00 price target on shares of Atlassian in a research report on Friday. UBS Group restated a “neutral” rating and issued a $105.00 price objective on shares of Atlassian in a research report on Friday. Finally, Oppenheimer set a $150.00 target price on shares of Atlassian in a report on Friday. Twenty investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Atlassian has an average rating of “Moderate Buy” and a consensus target price of $192.52.

Atlassian Stock Down 3.3%

TEAM stock traded down $3.28 during trading on Friday, hitting $95.13. 7,364,429 shares of the stock traded hands, compared to its average volume of 5,236,972. Atlassian has a 1 year low of $92.47 and a 1 year high of $326.00. The stock has a market cap of $25.03 billion, a price-to-earnings ratio of -134.13, a price-to-earnings-growth ratio of 16.27 and a beta of 0.88. 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 firm’s 50 day moving average is $145.60 and its two-hundred day moving average is $159.15.

Atlassian (NASDAQ:TEAM) last released its earnings results on Thursday, February 5th. The technology company reported $1.22 EPS for the quarter, topping analysts’ consensus estimates of $1.12 by $0.10. Atlassian had a negative net margin of 3.38% and a negative return on equity of 7.11%. The company had revenue of $1.59 billion for the quarter, compared to analysts’ expectations of $1.54 billion. During the same quarter last year, the business earned $0.96 EPS. The firm’s revenue was up 23.3% compared to the same quarter last year. On average, sell-side analysts anticipate that Atlassian will post -0.34 EPS for the current year.

Insider Transactions at Atlassian

In other news, Director Scott Farquhar sold 7,665 shares of the firm’s stock in a transaction that occurred on Wednesday, February 4th. The shares were sold at an average price of $105.14, for a total value of $805,898.10. Following the completion of the transaction, the director directly owned 291,270 shares in the company, valued at approximately $30,624,127.80. This trade represents a 2.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Michael Cannon-Brookes sold 7,665 shares of the business’s stock in a transaction that occurred on Wednesday, February 4th. The stock was sold at an average price of $105.14, for a total transaction of $805,898.10. Following the completion of the transaction, the chief executive officer directly owned 291,270 shares of the company’s stock, valued at approximately $30,624,127.80. This represents a 2.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 551,049 shares of company stock valued at $81,277,257 over the last ninety days. 36.66% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. DNB Asset Management AS lifted its holdings in shares of Atlassian by 266.6% in the 3rd quarter. DNB Asset Management AS now owns 2,806,888 shares of the technology company’s stock worth $448,260,000 after acquiring an additional 2,041,210 shares during the last quarter. Norges Bank bought a new stake in Atlassian in the second quarter worth about $377,794,000. Artisan Partners Limited Partnership boosted its position in shares of Atlassian by 66.3% during the second quarter. Artisan Partners Limited Partnership now owns 3,878,133 shares of the technology company’s stock valued at $787,610,000 after buying an additional 1,545,546 shares during the period. Pictet Asset Management Holding SA grew its stake in shares of Atlassian by 38.1% during the fourth quarter. Pictet Asset Management Holding SA now owns 3,950,852 shares of the technology company’s stock valued at $640,628,000 after buying an additional 1,090,787 shares during the last quarter. Finally, Vanguard Group Inc. raised its holdings in shares of Atlassian by 6.0% in the third quarter. Vanguard Group Inc. now owns 18,479,561 shares of the technology company’s stock worth $2,951,186,000 after buying an additional 1,049,483 shares during the period. Hedge funds and other institutional investors own 94.45% of the company’s stock.

Key Headlines Impacting Atlassian

Here are the key news stories impacting Atlassian this week:

• Positive Sentiment: Q2 beat on both EPS and revenue — Atlassian reported $1.22 EPS vs. $1.12 expected and $1.59B revenue (vs. $1.54B est.), with 23% YoY revenue growth, giving near‑term fundamental support to the stock. Earnings/Press Release
• Positive Sentiment: Management raised fiscal‑2026 revenue guidance and provided higher revenue targets for the year, citing resilient enterprise software spending and AI adoption — a constructive signal for longer‑term growth expectations. Reuters: Revenue Forecast Raised
• Positive Sentiment: Company is highlighting record cloud revenue and a target of 20%+ annual revenue growth through FY27 driven by AI integrations and enterprise expansion — a positive strategic catalyst if execution continues. Seeking Alpha: Growth Target
• Neutral Sentiment: Analysts trimmed price targets but mostly kept buy/overweight ratings (examples: Morgan Stanley, Mizuho, BTIG, Guggenheim lowered targets while remaining constructive) — lowers near‑term upside expectations but preserves overall analyst support. Benzinga: Analyst Target Changes
• Negative Sentiment: Insider selling by co‑founders/executives (multiple disclosed sales of 7,665-share blocks) is being viewed negatively by the market and likely amplified intraday selling pressure. SEC Filing: Insider Sales
• Negative Sentiment: Cantor Fitzgerald’s sizeable cut to a $146 target and broader AI‑related fears in the software sector have increased volatility and investor caution around growth and competitive risks. Cantor Fitzgerald Target Cut CNBC: Sector AI Fears
• Negative Sentiment: Market reaction: shares dipped despite the beat as investors worry cloud growth could slow and new AI features from competitors add execution risk. Investing.com: Shares Dip

Atlassian Company Profile

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.