Atlassian

Posted on | by Leon Hinde | Leave a Comment on Atlassian

Atlassian Corporation – Class A Common is currently exhibiting a “bottom bounce” technical pattern, with recent volume support helping the stock stabilise after falling nearly 48% year-to-date and 84% from its all-time high.

The trading volume for Atlassian (TEAM) has seen significant increases since January, characterized by three primary waves of activity linked to earnings milestones, institutional conferences, and a broader sector rotation.

### 1. February Earnings Spike (The Primary Surge)
The most substantial increase in volume occurred in early February following the company’s Q2 fiscal 2026 earnings report on February 5.

  • Volume Peak: Trading reached approximately 14 million shares on February 6, nearly double the session volume of the preceding days and significantly higher than the ~3 million daily average seen in early January.
  • Driver: While Atlassian surpassed $1 billion in quarterly Cloud revenue for the first time, high GAAP operating losses (driven by share-based compensation) led to a sharp -6.3% price dip, triggering high-volume sell-offs and re-positioning.

### 2. March “Relief Rally” & Conference Surge
A second wave of elevated volume occurred in the first week of March, specifically around March 5.

  • Volume Spike: The stock saw a high-volume session of 12.19 million shares as it jumped +7.4% in a single day.
  • Driver:

* Morgan Stanley TMT Conference: Management presented on March 5, highlighting their AI product (Rovo) and its 5 million monthly active users.
* Sector Rotation: A broader “relief rally” swept the software sector as investors rotated back into beaten-down SaaS names, leading to high turnover in TEAM.

### 3. Overall Trend Comparison
The average daily volume (ADV) has shifted higher throughout the quarter:

  • Early January: ~3.0M – 4.5M shares per day.
  • February Average: Elevated by volatility, often hitting 8M+ on high-activity days.
  • March Status: Currently averaging between 7.0M and 7.5M shares, indicating a sustained increase in market interest as the stock tests multi-year lows.

### Summary of Drivers

Institutional Flows: Large-scale positioning updates from firms like Morgan Stanley and DNB Asset Management (which grew its stake by 266% recently) have contributed to the increased liquidity and trade frequency since the start of the year.

AI Narrative Shift: Market sentiment transitioned from “AI fears” (concerns that AI would disrupt software) to “AI adoption” (viewing Rovo as a monetization catalyst).

Boeing

Posted on | by Leon Hinde | Leave a Comment on Boeing

Boeing Company (The) Common is under Algo Engine buy conditions.

Based on the latest fundamental data for Boeing (BA.NYS), the outlook for EPS growth is characterized by a significant projected recovery following recent challenges.

EPS Growth Outlook

  • Significant Forward Growth: Analysts are projecting a substantial jump in earnings. The EPS Current Year stands at 0.3863, while the EPS Forward estimate is 4.7037. This indicates a massive expected rebound in profitability over the next 12 months.
  • Trailing Performance: The EPS for the Trailing Twelve Months (TTM) is 2.48, suggesting that while the company has returned to positive territory, the next year is expected to see a more aggressive acceleration in earnings.

Valuation Metrics

Forward P/E Ratio: 45.52. This suggests that while the stock is trading at a high multiple of expected earnings, investors are pricing in the transition from a recovery phase back to normalized operations.