Despite falling 28% in a month, Atlassian (TEAM) stock is still worth holding for long-term growth.

From Nasdaq: 2025-04-04 10:20:00

Atlassian’s stock (TEAM) has dropped 28.3% in the past month, underperforming the Computer Technology sector, Internet Software industry, and the S&P 500. Despite short-term challenges like market competition and slowing sales growth, the long-term growth story for Atlassian remains strong, making a case for holding onto the stock.

Various factors have contributed to Atlassian’s recent decline, including broader market weakness and fears over additional tariffs impacting costs related to data center services and networking equipment. With a significant software development team abroad, increased tariffs could raise expenses for cross-border services, putting pressure on Atlassian’s margins.

Despite facing intense competition from industry giants like Microsoft, Alphabet, Salesforce, and IBM, Atlassian remains a key player in collaboration and workflow software. The company’s focus on AI integration and cloud adoption has led to growth in Premium and Enterprise edition sales, showing promise for future revenue streams.

While Atlassian continues to navigate regulatory and competitive challenges, its AI and cloud strategies are driving steady revenue streams. The company’s subscription-based business model and pending FedRAMP Moderate Authorization further support its top-line growth potential. Investors are advised to hold onto Atlassian stock (TEAM) for now, given its long-term growth prospects.



Read more at Nasdaq: Is TEAM Stock Still Worth Holding Despite Falling 28% in a Month?