GitLab (NASDAQ:GTLB) Price Target Raised to $57.00 at Morgan Stanley

GitLab (NASDAQ:GTLB) had its price target hoisted by stock analysts at Morgan Stanley from $30.00 to $57.00 in a research report issued on Wednesday, Benzinga reports. The brokerage presently has an “equal weight” rating on the stock. Morgan Stanley’s price target points to a potential upside of 26.41% from the stock’s previous close.

A number of other analysts have also recently issued reports on GTLB. Robert W. Baird increased their target price on GitLab from $47.00 to $59.00 and gave the stock an “outperform” rating in a research note on Wednesday. UBS Group upped their price target on shares of GitLab from $35.00 to $40.00 and gave the company a “neutral” rating in a report on Friday, August 21st. TD Cowen increased their price objective on shares of GitLab from $29.00 to $42.00 and gave the stock a “hold” rating in a research report on Thursday, August 27th. Rosenblatt Securities raised their price objective on shares of GitLab from $43.00 to $55.00 and gave the stock a “buy” rating in a report on Wednesday. Finally, Piper Sandler raised their price objective on shares of GitLab from $28.00 to $52.00 and gave the stock a “neutral” rating in a report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, eighteen have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $47.76.

GitLab Trading Down 3.1%

NASDAQ:GTLB opened at $45.09 on Wednesday. GitLab has a 1 year low of $18.73 and a 1 year high of $52.38. The stock has a market cap of $7.62 billion, a price-to-earnings ratio of -281.81 and a beta of 0.99. The stock has a 50-day moving average price of $36.06 and a two-hundred day moving average price of $28.83.

GitLab (NASDAQ:GTLB) last announced its quarterly earnings results on Tuesday, September 1st. The company reported $0.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.06. GitLab had a positive return on equity of 0.31% and a negative net margin of 2.49%.The company had revenue of $286.25 million during the quarter, compared to the consensus estimate of $273.13 million. During the same period in the prior year, the company earned $0.24 earnings per share. The company’s revenue for the quarter was up 21.3% compared to the same quarter last year. 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 forecast that GitLab will post -0.18 earnings per share for the current year.

Insider Buying and Selling

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

Hedge Funds Weigh In On GitLab

Large investors have recently modified their holdings of the business. Allworth Financial LP increased its position in shares of GitLab by 124.1% in the third quarter. Allworth Financial LP now owns 558 shares of the company’s stock valued at $25,000 after acquiring an additional 309 shares during the last quarter. Quarry LP acquired a new position in GitLab during the third quarter valued at approximately $31,000. Tsfg LLC bought a new position in GitLab in the second quarter valued at approximately $31,000. Larson Financial Group LLC grew its stake in GitLab by 92.7% in the third quarter. Larson Financial Group LLC now owns 1,000 shares of the company’s stock valued at $45,000 after purchasing an additional 481 shares in the last quarter. Finally, Advisory Services Network LLC acquired a new position in shares of GitLab during the 3rd quarter worth approximately $48,000. 95.04% of the stock is currently owned by institutional investors and hedge funds.

GitLab News Summary

Here are the key news stories impacting GitLab this week:

• Positive Sentiment: GitLab reported quarterly earnings of $0.24 per share, exceeding the $0.18 analyst consensus, while revenue reached $286.25 million versus expectations of $273.13 million. Revenue grew 21.3% year over year, providing evidence of continued demand for the company’s DevSecOps platform. GitLab Inc. Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: The company issued fiscal 2027 EPS guidance of $0.85-$0.87, well above the $0.61 consensus, and third-quarter EPS guidance of $0.19-$0.20 versus expectations of $0.12. Revenue guidance was broadly in line with estimates, suggesting that the earnings benefit is being driven primarily by improved profitability. GitLab Rallies After Record Bookings and Strong Guidance
• Positive Sentiment: Management highlighted record bookings and strong AI demand, which reinforced the growth outlook and helped drive the post-earnings rally. GitLab’s Q2 2027 Earnings
• Positive Sentiment: BTIG raised its price target from $36 to $52 and maintained a “buy” rating. Cantor Fitzgerald raised its target to $50, while DA Davidson lifted its target to $45. BTIG Research Forecasts Strong Price Appreciation
• Positive Sentiment: Unusually heavy call-option activity ahead of the earnings release reflected increased bullish speculation, with call volume approximately 210% above its average daily level.
• Neutral Sentiment: Despite the improved outlook, GitLab remains unprofitable on a net-income basis, and its shares are trading well above both their 50-day and 200-day moving averages.
• Negative Sentiment: Barron’s cautioned investors against chasing the rally because the stock had already gained substantially over the prior three months. The elevated valuation and recent momentum increase the risk of profit-taking or disappointment if future results do not exceed the newly raised expectations. GitLab Stock Soars After Earnings

About GitLab

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.