KeyBanc increased its price target for Atlassian (NASDAQ:TEAM) from $185 to $235. The firm reiterated an "Overweight" rating on the stock.
KeyBanc's analyst expressed cautious optimism. The analyst cited new usage-based pricing as a potential catalyst for increased revenue. This pricing could also drive upselling to the "Collections" product tier.
The firm's decision also considered a potential modest pull-forward in customer activity. This pull-forward is anticipated ahead of upcoming Cloud price increases.
Feedback from a large Atlassian partner suggested some customer cloud migrations are behind schedule. Despite this, KeyBanc remains highly confident in Atlassian's multiple growth drivers. This confidence prompted the price target revision.