A securities class action has been filed in the USDC – E.D.N.Y. against Elastic N.V. (ESTC) (“Elastic” or the “Company”) on behalf of all persons or entities who purchased or otherwise acquired Elastic securities  between May 31, 2024, and August 29, 2024, both dates inclusive (the “Class Period”).

Elastic describes itself as “the Search AI [artificial intelligence] Company[.]” Its platform, available as both a hosted, managed service via cloud servers and self-managed software, purportedly allows customers to find insights and drive AI and machine learning use cases from large amounts of data, with solutions separated into three categories: Search, Observability, and Security. Elastic’s sales teams are organized primarily by geography and secondarily by customer segments. The Company offers its products and services to both the private and public sectors in the Americas and internationally, including in Europe, the Middle East and Africa (“EMEA”).

The Complaint alleges that, throughout the Class Period, the Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that:

(1) Elastic had implemented significant changes to its sales operations, particularly with respect to its customer segments in the Americas;

(2) the foregoing changes were likely to, and did, disrupt Elastic’s sales operations during the first quarter of its FY 2025;

(3) accordingly, Defendants had overstated the stability of Elastic’s sales operations;

(4) as a result of all the foregoing, Elastic was unlikely to meet its own previously issued revenue guidance for its FY 2025; and

(5) as a result, Defendants’ public statements were materially false and misleading at all relevant times, thereby harming investors.

As a result of multiple disclosures about the financial results of the Company’s FY 2025, Elastic’s ordinary share price fell $27.45 per share, or 26.49%, to close at $76.19 per share on August 30, 2024.

If you purchased Elastic securities during the class period, and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.

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