10 Best SaaS Stocks to Buy According to Analysts

6. Elastic N.V. (NYSE:ESTC)

Average analyst upside: 30.54%

Number of Hedge Fund Holders: 52

Elastic N.V. (NYSE:ESTC) is one of the best SaaS stocks to buy according to analysts. Canaccord Genuity trimmed its price target on Elastic N.V. (NYSE:ESTC) to $110 from $115 while maintaining a Buy rating, following what it described as a solid fourth-quarter performance. The firm noted Elastic delivered better-than-expected results on both revenue and earnings, underscoring operational discipline and demand resilience despite a mixed macro environment.

Notably, Canaccord pointed out that while total revenue exceeded estimates, the composition of that beat leaned more heavily on Elastic’s self-managed offerings than on its cloud-native platform, Elastic Cloud. Cloud growth, a key long-term focus for the company, came in slightly below expectations, suggesting some variability in adoption pace or customer expansion.

Still, the firm emphasized that Elastic’s guidance for the coming quarters appears “amply conservative,” leaving room for the company to outperform its own targets. With cost management measures in place and increasing enterprise interest in search-powered AI tools, Canaccord believes Elastic is positioned to exceed expectations over the course of the year.

Shares of Elastic have rebounded in recent months as investor confidence has strengthened around the company’s ability to execute a balanced growth strategy. The lowered target reflects a more cautious near-term stance but doesn’t change the firm’s broader view that Elastic remains an attractive play in the search and observability space.