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Law Offices of Howard G. Smith Encourages Elastic N.V.

1. Elastic N.V. faces a class action for alleged securities fraud. 2. Stock plummeted 26.5% after revised revenue guidance fell short. 3. Defendants allegedly made misleading statements about sales operations. 4. Investors claim detailed operational disruptions were not disclosed.

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FAQ

Why Very Bearish?

The class action and significant price drop signal severe investor distrust. Similar cases often lead to continued price declines.

How important is it?

The lawsuit relates directly to investor fraud claims affecting Elastic’s credibility and potential liabilities.

Why Short Term?

Immediate investor sentiments are impacted by lawsuits and earnings revisions. Price recovery could be slow due to ongoing legal proceedings.

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ESTC
BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Elastic N.V. (“Elastic” or the “Company”) (NYSE: ESTC) securities between May 31, 2024 and August 29, 2024, inclusive (the “Class Period”). Elastic investors have until April 14, 2025 to file a lead plaintiff motion. IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN ELASTIC N.V. (ESTC), CONTACT THE LAW OFFICES OF HOWARD G. SMITH TO PARTICIPATE IN THE ONGOING SECURITIES FRAUD LAWSUIT. Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at howardsmith@howardsmithlaw.com, by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com. What Happened? On August 29, 2024, after market hours, Elastic released its first quarter fiscal 2025 financial results and revised its annual revenue guidance to be between $1.436 billion and $1.444 billion, compared to a previous range of $1.468 billion and $1.48 billion and consensus estimates of $1.48 billion. The Company explained that the revision was due to “a slower start to the year with the volume of customer commitments impacted by segmentation changes that [the Company] made at the beginning of the year, which are taking longer than expected to settle.” On this news, Elastic’s stock price fell $27.45, or 26.5%, to close at $76.19 per share on August 30, 2024, thereby injuring investors. What Is The Lawsuit About? The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors 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’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times. Contact Us to Participate or Learn More: If you purchased Elastic securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us: Law Offices of Howard G. Smith 3070 Bristol Pike, Suite 112 Bensalem, Pennsylvania 19020 Telephone: (215) 638-4847 Email: howardsmith@howardsmithlaw.com Visit our website at: www.howardsmithlaw.com. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

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