Atlassian (TEAM) Fell Amid Concerns Over AI Dominance

3 days ago 8

Soumya Eswaran

Thu, November 27, 2025 astatine 7:22 AM CST 3 min read

Sands Capital, an concern absorption company, released its “Sands Capital Select Growth Strategy” Q3 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. U.S. large-cap maturation equities continued to retrieve from a crisp sell-off successful aboriginal April. Strong firm earnings, capitalist enthusiasm astir artificial quality (AI), and increasing expectations for Federal Reserve argumentation easing drove the robust gains. The portfolio returned 6.3% (net) successful the quarter, compared to the benchmark's 10.5% gain. You tin cheque the fund’s apical 5 holdings to cognize much astir its champion picks for 2025.

In its third-quarter 2025 capitalist letter, Sands Capital Select Growth Strategy highlighted stocks specified arsenic Atlassian Corporation (NASDAQ:TEAM). Atlassian Corporation (NASDAQ:TEAM) is simply a starring collaboration bundle supplier that enables organizations to link each teams done a strategy of enactment that unlocks productivity astatine scale. The one-month instrumentality of Atlassian Corporation (NASDAQ:TEAM) was -7.06%, and its shares mislaid 43.60% of their worth implicit the past 52 weeks. On November 26, 2025, Atlassian Corporation (NASDAQ:TEAM) banal closed astatine $148.03 per share, with a marketplace capitalization of $38.966 billion.

Sands Capital Select Growth Strategy stated the pursuing regarding Atlassian Corporation (NASDAQ:TEAM) successful its 3rd 4th 2025 capitalist letter:

"Atlassian Corporation (NASDAQ:TEAM) is simply a starring software-application vendor that creates tools to heighten squad collaboration and productivity. Shares proceed to look the overhang of concerns that AI could constrain developer headcount maturation oregon trim the request for workflow absorption software. These fears basal successful opposition to beardown concern results, arsenic year-over-year income maturation reaccelerated supra its two-year average, driven by robust endeavor adoption, expanding paid seats, and much predominant upgrades. Atlassian besides reported 2.3 cardinal monthly progressive users of its AI products, with level interactions expanding 20 times compared with a twelvemonth ago."

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Atlassian Corporation (NASDAQ:TEAM) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 64 hedge money portfolios held Atlassian Corporation (NASDAQ:TEAM) astatine the extremity of the 2nd quarter, compared to 82 successful the erstwhile quarter. In the archetypal 4th of fiscal 2026, Atlassian Corporation’s (NASDAQ:TEAM) revenue grew 21% year-over-year to $1.4 billion. While we admit the imaginable of Atlassian Corporation (NASDAQ:TEAM) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.