Elastic N.V.ESTC
NYSE•Technology•Software - Application
Elastic N.V., a search artificial intelligence (AI) company, provides software platforms to run in hybrid, public or private clouds, and multi-cloud environments in the United States and internationally. It primarily offers Elastic's Search AI Platform, a set of software products that ingest and store data from various sources and formats, as well as performs search, analysis, and visualization on that data. The company also provides Elastic search product a distributed, real-time vector database and analytics engine and data store for all types of data, including textual, numerical, geospatial, structured, and unstructured; Kibana, a user interface, management, and configuration interface for the platforms; Elasticsearch search platform, a platform with retrieval algorithms and the ability to integrate with large language models; and elastic security, a security solution that provides unified protection to prevent, detect, and respond to threats. In addition, it offers Elastic Observability, a solution that enables unified analysis, including Logs analytics to search and analyze petabytes of structured and unstructured logs; infrastructure monitoring to gain visibility across cloud, on-premises, Kubernetes, serverless, and hosts; Application Performance Monitoring to stream native production-grade; digital experience monitoring; and large language models. The company was incorporated in 2012 and is based in Amsterdam, the Netherlands.
Elastic N.V. (ESTC) reported trailing twelve months revenue of $1.74B as of April 2026, a 17.3% increase year-over-year. Quarterly revenue reached $450.68M, reflecting continued top-line momentum.
Elastic N.V. generated $367.77M in TTM net income, with quarterly EBITDA of $-15.71M. The operating margin contracted from -3.1% to -3.6%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (-3.6%) and net margin (96.7%) indicates tight cost control with minimal non-operating drag. Net margin has improved from -4.2% a year ago, signaling stronger bottom-line efficiency.
ESTC trades at a P/E of 17.7x (in line with broad market averages) and a P/S of 3.7x. The price-to-book ratio of 5.1x indicates a significant premium over book value.
The company generated $149.81M in free cash flow over the trailing twelve months, a 76.5% increase year-over-year, indicating cash generation ability. The balance sheet shows $3.15B in total assets with $570.89M in long-term debt against $1.28B in stockholders equity for a debt-to-equity ratio of 0.4, a conservative capital structure. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are under pressure, averaging -2.9%. The business may lack pricing power or face rising costs.'
ROE is low or negative, suggesting limited competitive advantage or capital allocation challenges.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~31.7% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
The company posted negative operating margins in recent quarters — core operations are unprofitable.
FCF consistently trails net income (avg -1.5x) — earnings may be inflated by non-cash items or aggressive accounting.
D/E ratio is 0.4 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.