Atlassian Corporation (NASDAQ:TEAM) shares are trading higher Friday after the company reported better-than-expected third-quarter financial results. Also, BTIG raised its price target on the stock from $110 to $120.
- Atlassian stock is among today’s top performers. What’s driving TEAM stock higher?
Q3 Highlights
Atlassian reported adjusted earnings per share of $1.75, beating the consensus estimate of $1.32. In addition, it reported revenue of $1.78 billion, beating the consensus estimate of $1.69 billion and representing a 37% year-over-year growth.
Cloud revenue reached $1.132 billion, up 29% year over year, while remaining performance obligations grew 37% year over year to $3.996 billion.
CEO Mike Cannon-Brookes said the results reflect strong execution, with customers making larger and longer-term commitments and increasing usage of the company's platform.
CFO James Chuong said cloud revenue growth accelerated as customers expanded usage and adopted additional capabilities.
Guidance
Atlassian sees fourth-quarter revenue of $1.65 billion to $1.66 billion, versus the consensus estimate of $1.65 billion.
Atlassian Shares Soar
TEAM Price Action: At the time of publication, Atlassian shares are trading 22.81% higher at $83.55, according to data from Benzinga Pro.
Image via Shutterstock
Login to comment