ESTC
TechnologyElastic N.V. · Software - Application · $6B
What is Elastic N.V.?
Elastic N.V. is a search and analytics technology company headquartered in Mountain View, California. Its platform helps organizations ingest, store, search, and visualize data across cloud and on-premises environments.
Elastic generates revenue primarily through subscriptions to its Elastic Stack platform — a suite of tools that powers search, observability, and security use cases for enterprises. Customers deploy Elastic's technology in public clouds, private clouds, or hybrid environments. The company earns the majority of its revenue from cloud-hosted offerings and term-based software licenses, serving industries ranging from financial services to e-commerce and government.
Elastic was incorporated in 2012 and is headquartered in Mountain View, California.
- Elasticsearch — distributed real-time search and analytics engine
- Kibana — visualization and management interface for the Elastic Stack
- Logstash — data ingestion and processing pipeline
- Beats and Elastic Agent — lightweight data shippers and host protection
- Elastic Stack solutions for APM, logging, and workplace search
Is ESTC a Good Stock to Buy?
UQS Score rates ESTC as Below Average overall, reflecting meaningful gaps across several quality dimensions.
The Risk pillar stands out as a relative bright spot, suggesting the business carries a manageable financial risk profile compared to many peers in the technology sector. The Valuation pillar also rates Good, meaning the stock does not appear significantly stretched relative to its fundamentals — a notable consideration for a software company in a competitive space.
The Quality pillar rates Weak, which is the most significant drag on the composite score. The Moat and Growth pillars both rate Neutral, indicating Elastic has not yet demonstrated durable competitive advantages or above-average expansion relative to sector peers.
See the exact pillar breakdown and underlying financial metrics by signing up for a UQS Pro account. Sign up free →
Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does ESTC pay dividends?
No — Elastic N.V. does not currently pay a dividend.
Elastic does not currently pay a dividend. As a growth-oriented software company, Elastic reinvests available capital into product development, cloud infrastructure, and market expansion rather than returning cash to shareholders through distributions. Investors seeking income from their technology holdings should factor this into their portfolio planning.
When does ESTC report earnings?
Elastic N.V. reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.
Elastic's recent results have reflected the dynamics of a company transitioning toward cloud-delivered revenue while managing profitability expectations. Growth has been present but has not yet translated into the kind of quality metrics that would lift the UQS Quality pillar rating.
For the most recent quarter's results and guidance, visit Elastic's investor relations page directly.
ESTC Price History
-59.1% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in Elastic N.V.?
Based on Elastic N.V.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
ESTC Long-term Outlook
Elastic's fundamental outlook is shaped by a Neutral Growth pillar and a Good Risk profile. The company operates in a large and expanding market for search, observability, and security analytics, which provides a credible long-term runway. However, the Weak Quality pillar signals that converting growth into durable profitability remains a work in progress. The Good Valuation rating suggests the market has not priced in an overly optimistic scenario, which may provide some downside cushion if execution falters.
Growth drivers
- Continued enterprise adoption of cloud-native search and observability platforms
- Expansion of AI-powered search capabilities within the Elastic Stack
- Cross-sell opportunities across security, APM, and workplace search use cases
Key risks
- Sustained pressure on the Quality pillar if profitability improvements stall
- Intensifying competition from hyperscaler-native search and analytics services
- Customer spending scrutiny on software subscriptions in a tighter IT budget environment
ESTC vs Peers
Elastic operates in a competitive technology landscape; the following companies share its mid-cap, software-adjacent market positioning.
Clear Secure focuses on identity verification and secure access rather than search analytics, representing a different application of data-driven technology infrastructure.
Duolingo is a consumer-facing language learning platform, contrasting with Elastic's enterprise-oriented search and observability business model.
Sportradar delivers sports data and analytics to media and betting operators, occupying a niche data services vertical distinct from Elastic's horizontal search platform.
Frequently Asked Questions
What does Elastic N.V. do?
Elastic N.V. builds and sells search and analytics technology through its Elastic Stack platform. Enterprises use it to ingest, store, and search large volumes of data for use cases including application performance monitoring, security analytics, and workplace search. The platform runs across public cloud, private cloud, and hybrid environments.
Does ESTC pay dividends?
No, Elastic does not pay a dividend. The company reinvests its resources into product development and cloud growth initiatives. Investors focused on dividend income should be aware that ESTC is structured as a growth-oriented software business rather than an income-generating one.
When does ESTC report earnings?
Elastic reports financial results on a quarterly basis, in line with standard US-listed company practice. For the exact timing of upcoming earnings releases and access to past results, check the investor relations section of Elastic's official website.
Is ESTC a good stock to buy?
The UQS Score rates ESTC as Below Average, driven primarily by a Weak Quality pillar. The Risk and Valuation pillars rate Good, which provides some balance. Whether ESTC fits a particular portfolio depends on individual risk tolerance and investment goals — the full pillar breakdown is available to UQS Pro members.
Is ESTC overvalued?
The UQS Valuation pillar for ESTC rates Good, suggesting the stock is not trading at an extreme premium relative to its fundamentals. That said, valuation is only one dimension of the overall score — the Weak Quality rating is an important counterweight that investors should consider alongside valuation.
How does ESTC compare to its competitors?
Elastic's UQS profile can be compared against peers in the mid-cap technology space. Its Good Risk and Valuation ratings are relative strengths, while the Weak Quality pillar distinguishes it from higher-quality software peers. The full side-by-side comparison is available within the UQS platform.
What is ESTC's market cap bracket?
Elastic N.V. is classified as a mid-cap company. This places it in a tier that typically offers more growth potential than large-cap incumbents but carries more execution risk than established mega-cap technology platforms.
Who founded Elastic N.V.?
Elastic was founded by Shay Banon, who originally created the open-source Elasticsearch project. The company was incorporated in 2012 and later went public. Founding context and leadership history are widely available through Elastic's official corporate resources.
Is ESTC a long-term quality investment?
As a long-term quality indicator, the UQS Score currently rates ESTC as Below Average. The Weak Quality pillar is the primary concern for long-horizon investors, as durable returns typically require strong underlying business quality. The Good Risk profile is a positive signal, but quality improvement would be needed to strengthen the long-term case.
What is the main competitive advantage of Elastic N.V.?
Elastic's Moat pillar rates Neutral, indicating a moderate but not dominant competitive position. The company benefits from the widespread adoption of its open-source Elasticsearch engine, which creates developer familiarity and switching costs. However, competition from cloud-native alternatives means the moat requires ongoing investment to sustain.
What sector does ESTC belong to?
Elastic N.V. operates in the Technology sector, specifically within enterprise software and cloud services. Its platform addresses search, observability, and security analytics — categories that sit at the intersection of data infrastructure and developer tooling.
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Pro Analysis
ESTC — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 23, 2026 | 47.7 | 36.2 | 42.0 | 47.0 | 65.0 | 59.7 | -0.1 |
| May 22, 2026 | 47.8 | 36.3 | 42.0 | 47.0 | 65.0 | 60.2 | +0.2 |
| May 21, 2026 | 47.6 | 36.1 | 42.0 | 47.0 | 65.0 | 59.4 | -0.1 |
| May 19, 2026 | 47.7 | 36.3 | 42.0 | 47.0 | 65.0 | 60.1 | -0.4 |
| May 17, 2026 | 48.1 | 36.8 | 42.0 | 47.0 | 65.0 | 61.8 | -0.3 |
| May 7, 2026 | 48.4 | 37.5 | 42.0 | 47.0 | 65.0 | 62.6 | -0.1 |
| May 3, 2026 | 48.5 | 37.5 | 42.0 | 47.0 | 65.0 | 62.9 | -0.2 |
| Apr 26, 2026 | 48.7 | 37.5 | 42.0 | 47.0 | 65.0 | 64.2 | +0.1 |
| Apr 25, 2026 | 48.6 | 37.5 | 42.0 | 47.0 | 65.0 | 63.5 | +0.2 |
| Apr 23, 2026 | 48.4 | 37.0 | 42.0 | 47.0 | 65.0 | 63.5 | 0.0 |
ESTC — Pillar Breakdown
Quality
— 36.2/100 (25%)Elastic N.V. has average quality metrics, with room for improvement in margins or capital efficiency.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 47.0/100 (20%)Elastic N.V. shows steady but unspectacular growth, typical for mature companies.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 65.0/100 (15%)Elastic N.V. maintains a reasonable risk profile with manageable debt levels.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 59.7/100 (15%)Elastic N.V. trades at a reasonable valuation with decent earnings yield and FCF multiples.
Inverse of forward P/E — higher yield means cheaper stock.
How many years of FCF the market cap represents.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 42/100 (25%)Elastic N.V. possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for ESTC.
Score Composition
Financial Data
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How is the ESTC UQS Score Calculated?
The UQS (Unified Quality Score) for Elastic N.V. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses Elastic N.V.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether Elastic N.V. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.