TEAM logo

Atlassian Corp

TEAM

Build a strategy around TEAM

Accountable AI Logo

Atlassian Corp AI Insights

Informational only. Not investment advice.
As of 2025-12-08

Snapshot

  • FCF of 1.5B TTM vs net loss of -185M - massive gap signals non-cash charges masking cash generation power[Free Cash Flow TTM]
  • R&D spend of 2.8B TTM is 52% of revenue - 4x industry median ratio, betting heavily on product moat[Research and Development TTM]
  • Tangible book value is -175M while goodwill is 1.3B (96% of equity) - acquisition-heavy balance sheet[Tangible Book Value]

Watch Triggers

  • Free Cash Flow TTM: Falls below 1.2B or FCF margin below 22%FCF is the bull case - deterioration invalidates cash machine thesis
  • Research and Development TTM: R&D/Revenue exceeds 55% for 2+ quartersSignals competitive pressure requiring unsustainable investment
  • Total Revenue 3Y Growth: Decelerates below 15%Premium valuation requires sustained growth; decel triggers multiple compression

Bull Case

FCF conversion is exceptional: 1.5B FCF TTM on -185M net income means 27% FCF margin despite GAAP losses. Cash machine hidden by stock comp and amortization.

Free Cash Flow TTMNet Margin TTMGross Margin TTM

21% 3Y revenue CAGR at 5.5B scale with 83% gross margins - rare combination of growth and unit economics in enterprise software.

Total Revenue 3Y GrowthGross Margin TTMTotal Revenue TTM

Bear Case

P/S of 7.7x vs industry median 3.9x while operating margin is -3.6% - paying premium for unprofitable operations on GAAP basis.

PS RatioOperating Margin TTM

Goodwill of 1.3B is 96% of equity with negative tangible book - material impairment risk if acquisitions underperform.

GoodwillTangible Book ValueCommon Stockholders Equity

Bull vs Bear Balance

AI-generated sentiment analysis based on fundamental metrics and market conditions.

BearBull
55%

Leverage TEAM's top insights and create a custom strategy based on them in seconds. Our AI editor does it all — in one click.

Take Me to The Editor

Forward Thesis

FCF margin expansion to 30%+ as R&D intensity normalizes post-AI investment cycle

1-3ymed
  • R&D at 52% of revenue vs 20% typical SaaS
  • 27% FCF margin TTM already achieved
  • Operating leverage inherent in software model
FCF 1.5B on 5.5B revenue TTMGross margin 83% provides headroom21% 3Y revenue CAGR sustaining scale

Valuation Context

Caveats

Public Strategies Rankings

See how Atlassian Corp ranks across different investment strategies.

Leverage TEAM's top insights and create a custom strategy in seconds. Our AI editor does it all — in one click.

Data Partners
Morningstar Logo

Fundamental company data provided by Morningstar, updated daily.

Accountable Finance, Inc. Disclaimer
accountable.finance is not operated by a broker or a dealer. Under no circumstances does any information posted on accountable.finance represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. In no event shall accountable.finance be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on accountable.finance, or relating to the use of, or inability to use, accountable.finance or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. Stock quotes and fundamental company data provided by Morningstar, updated daily.

Accountable Logo
© 2026 Accountable Finance, Inc. All rights reserved.