Atlassian Has Been Crushed—But the Setup Into Earnings Is Shifting

Core Viewpoint - Atlassian Corp's stock has significantly declined, trading around $130 after starting the year above $160, marking a drop of over 60% from a year ago, making it the worst-performing large-cap stock of 2026 so far [2][3] Group 1: Stock Performance - Atlassian's shares have hit multi-year lows, reflecting a lack of investor confidence despite the S&P 500 index rising over 1% during the same period [2][3] - The stock's extreme pessimism has led to oversold conditions, with some analysts suggesting a potential upside of up to 75% [5][6] Group 2: Analyst Sentiment - Multiple firms have maintained Buy or equivalent ratings on Atlassian, with Mizuho setting a price target of $225, Citigroup at $210, and other firms like Piper Sandler and BTIG Research also expressing bullish views [4] - Analysts believe that concerns regarding AI and automation's impact on Atlassian's growth are exaggerated, suggesting that AI will enhance rather than disrupt the company's core value proposition [5]