
Atlassian (TEAM) Stock Forecast & Price Target
Atlassian (TEAM) Analyst Ratings
Bulls say
Atlassian's positive outlook is primarily attributed to its robust revenue growth across various segments, with Data Center revenue increasing approximately 20% year-over-year and a significant contribution expected from the Data Center end-of-life (EOL) revenue recognition, anticipated to benefit overall growth by around 11.5 percentage points. The company's cloud revenue outperformance in the first quarter, exceeding guidance by $27 million, alongside a conservative full-year growth forecast, suggests room for substantial upside in cloud revenue as migration activity heightens in the second half of the year. Additionally, recent acquisitions are expected to enhance Atlassian’s platform by promoting AI adoption, leading to monetization through new consumption-based pricing structures, which supports an outlook characterized by historical and forecast growth potential.
Bears say
Atlassian's stock faces significant downside risks due to its high EV/revenue multiple, which may decline in response to changing market sentiment and competitive pressures from firms such as Microsoft and ServiceNow. Additionally, the company is experiencing a concerning deceleration in subscription revenue and diminishing returns from its transition to cloud services, further exacerbated by disappointing traction in general work management. Furthermore, the acquisition of The Browser Company is anticipated to slightly dilute FY26 operating margins, contributing to the overall negative outlook for Atlassian's financial health.
This aggregate rating is based on analysts' research of Atlassian and is not a guaranteed prediction by Public.com or investment advice.
Atlassian (TEAM) Analyst Forecast & Price Prediction
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