4 Reasons Why This Atlassian Analyst Is Bullish

0
0

Atlassian Corporation PLC (NASDAQ: TEAM) is poised to benefit from the ongoing shift to application development, its low-touch model and its efforts to move toward cloud subscriptions, according to Piper Sandler.

The Atlassian Analyst: James Fish initiated coverage of Atlassian with an Overweight rating and $212 price target.

The Atlassian Takeaways: The stock’s premium valuation to peers is justified given “Atlassian’s market position, higher outyear growth, and better FCF margin,” Fish said in a Tuesday initiation note.

“First, the on-going shift towards application development as a differentiation for every company, combined with other infrastructure and operations trends, will directly benefit Atlassian. Atlassian has one of the most comprehensive DevOps Toolchains,” he said. 

Atlassian has invested heavily in its products, which it makes available at low prices — making it tough to compete against the company, Fish said. 

“Third, we see four ways Atlassian can become the next +$5B software business and continue its hyper-growth status. This includes landing new customers across the F500K, cross-selling across the DevOps Toolchain, selling into IT and knowledge workers, and up-selling customers to Premium bundles.”  

Atlassian’s aggressive shift to the cloud could result in significant benefits beyond fiscal 2021 and add to the company’s subscription revenue, the analyst said. 

View More Analyst Ratings for TEAM
View the Latest Analyst Ratings

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at [email protected]



SOURCE: https://www.w24news.com/news/4-reasons-why-this-atlassian-analyst-is-bullish/?remotepost=280639

Donnez votre point de vue et aboonez-vous!

Votre point de vue compte, donnez votre avis

Téléchargez notre application Android