Why Elastic Shares Were Up on Friday
Cloud software specialist Elastic (NYSE: ESTC) jumped on Friday, gaining 10% by 3 p.m. ET, compared to a 1.5% increase in the S&P 500. That boost added to a bright 2023 so far for shareholders. The stock is up 25% this year, compared to a 5.3% increase in the wider market.
Friday's rally was powered by Elastic's Q3 earnings report, which featured a bullish short-term growth outlook.
Sales were up 27% in the period that ended in late January, after accounting for currency exchange rate shifts. The company saw especially strong demand for its cloud services platform, which was up 40% on that basis. Some investors were worried heading into the report that many of Elastic's potential clients would decide to scale back on spending on its search services.
Source Fool.com
