GitLab (NASDAQ:GTLB) Issues FY 2027 Earnings Guidance

GitLab (NASDAQ:GTLB) updated its FY 2027 earnings guidance on Tuesday. The company provided earnings per share guidance of 0.850-0.870 for the period, compared to the consensus estimate of 0.610. The company issued revenue guidance of $1.1 billion-$1.1 billion, compared to the consensus revenue estimate of $1.1 billion. GitLab also updated its Q3 2027 guidance to 0.190-0.200 EPS.

GitLab Trading Down 3.1%

Shares of NASDAQ:GTLB traded down $1.45 on Tuesday, reaching $45.09. 8,970,852 shares of the company traded hands, compared to its average volume of 5,759,207. GitLab has a 52 week low of $18.73 and a 52 week high of $52.38. The business’s 50-day simple moving average is $35.70 and its 200 day simple moving average is $28.72. The stock has a market capitalization of $7.62 billion, a P/E ratio of -281.81 and a beta of 0.94.

GitLab (NASDAQ:GTLB) last announced its quarterly earnings results on Tuesday, September 1st. The company reported $0.24 EPS for the quarter, topping analysts’ consensus estimates of $0.18 by $0.06. The business had revenue of $286.25 million for the quarter, compared to analysts’ expectations of $273.13 million. GitLab had a positive return on equity of 0.31% and a negative net margin of 2.49%.GitLab has set its FY 2027 guidance at 0.850-0.870 EPS and its Q3 2027 guidance at 0.190-0.200 EPS. Sell-side analysts expect that GitLab will post -0.18 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the stock. BTIG Research upped their price objective on shares of GitLab from $36.00 to $52.00 and gave the company a “buy” rating in a research note on Monday. Wolfe Research reaffirmed an “outperform” rating and set a $36.00 price target on shares of GitLab in a research report on Wednesday, June 3rd. Royal Bank Of Canada lifted their price objective on GitLab from $29.00 to $46.00 and gave the stock a “sector perform” rating in a research report on Friday, August 14th. Needham & Company LLC raised their price target on GitLab from $32.00 to $38.00 and gave the stock a “buy” rating in a research note on Wednesday, June 3rd. Finally, Wells Fargo & Company lifted their price target on shares of GitLab from $26.00 to $40.00 and gave the company an “equal weight” rating in a report on Tuesday, August 25th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eighteen have given a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $42.25.

Insiders Place Their Bets

In other news, CAO Simon Mundy sold 8,725 shares of the company’s stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $38.00, for a total value of $331,550.00. Following the sale, the chief accounting officer directly owned 105,332 shares of the company’s stock, valued at $4,002,616. This represents a 7.65% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Sytse Sijbrandij sold 116,200 shares of the business’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $28.44, for a total transaction of $3,304,728.00. Following the sale, the director directly owned 14,902,051 shares in the company, valued at $423,814,330.44. The trade was a 0.77% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 10.64% of the company’s stock.

GitLab News Summary

Here are the key news stories impacting GitLab this week:

• Positive Sentiment: Unusually heavy call-option activity suggests some traders are taking bullish positions ahead of earnings. Investors purchased 28,069 call options, more than triple the average daily volume of 9,066 contracts.
• Positive Sentiment: BTIG Research raised its price target from $36 to $52 and maintained a “buy” rating, implying meaningful upside from recent trading levels. GitLab Gears Up For Q2 Print; Recent Forecast Changes
• Positive Sentiment: Cantor Fitzgerald increased its price target from $35 to $50, reflecting improved expectations for GitLab’s valuation, although it retained a “neutral” rating.
• Neutral Sentiment: DA Davidson lifted its target from $35 to $45 but kept a “neutral” rating, indicating that the firm sees limited upside after the stock’s recent rally.
• Neutral Sentiment: Wall Street expects GitLab to report quarterly earnings of approximately $0.18 per share. The earnings release is the key near-term catalyst, with results and management’s outlook likely to determine the next direction for GTLB.

Hedge Funds Weigh In On GitLab

Hedge funds have recently bought and sold shares of the company. AQR Capital Management LLC grew its holdings in shares of GitLab by 766.3% during the fourth quarter. AQR Capital Management LLC now owns 5,433,375 shares of the company’s stock valued at $203,915,000 after buying an additional 4,806,163 shares during the last quarter. Atreides Management LP boosted its stake in GitLab by 867.3% during the 2nd quarter. Atreides Management LP now owns 3,938,198 shares of the company’s stock valued at $177,652,000 after purchasing an additional 3,531,070 shares during the last quarter. FIL Ltd purchased a new position in shares of GitLab in the fourth quarter worth $36,460,000. Carmignac Gestion lifted its holdings in shares of GitLab by 95.5% during the fourth quarter. Carmignac Gestion now owns 1,310,000 shares of the company’s stock valued at $49,164,000 after purchasing an additional 640,000 shares in the last quarter. Finally, Manchester Global Management UK Ltd purchased a new stake in shares of GitLab during the second quarter valued at $26,254,000. Institutional investors own 95.04% of the company’s stock.

GitLab Company Profile

GitLab Inc (NASDAQ: GTLB) is a leading provider of a unified DevOps platform designed to streamline the software development lifecycle. Founded in 2011 by Dmitriy Zaporozhets and Sid Sijbrandij, the company initially gained recognition for its open-source Git repository manager. Over time, GitLab expanded its offerings to encompass planning, source code management, continuous integration/continuous deployment (CI/CD), security testing, and monitoring in a single application. This integrated approach enables development teams to collaborate efficiently, reduce toolchain complexity, and accelerate release cycles.

The GitLab platform is offered through both cloud-hosted and self-managed deployment models, catering to organizations of all sizes.