Elastic resumed with a Market Perform at William Blair

William Blair analyst Jake Roberge resumed coverage of Elastic with a Market Perform rating and no price target. The company has large growth opportunities in the enterprise search, observability, and security markets, the analyst tells investors in a research note. While the firm views Elastic’s long-term story as attractive, it believes the current share setup is balanced given risks related to cloud optimizations, small business headwinds, and its execution on guidance for a strong revenue growth acceleration in the back half of fiscal 2024.