GitLab (NASDAQ:GTLB) Sets New 12-Month Low Following Analyst Downgrade

GitLab Inc. (NASDAQ:GTLB)’s share price reached a new 52-week low during mid-day trading on Thursday after Guggenheim downgraded the stock from a buy rating to a neutral rating. The stock traded as low as $20.09 and last traded at $19.8490, with a volume of 1008261 shares. The stock had previously closed at $21.34.

Other equities research analysts have also issued research reports about the stock. Needham & Company LLC lowered their target price on shares of GitLab from $50.00 to $32.00 and set a “buy” rating for the company in a report on Wednesday, March 4th. Wells Fargo & Company decreased their price objective on shares of GitLab from $45.00 to $26.00 and set an “equal weight” rating for the company in a report on Wednesday, March 4th. Sanford C. Bernstein decreased their price objective on shares of GitLab from $70.00 to $60.00 and set an “outperform” rating for the company in a report on Wednesday, March 4th. DA Davidson set a $24.00 price objective on shares of GitLab in a report on Thursday, March 5th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of GitLab in a report on Monday, December 22nd. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, fourteen have given a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $39.62.

Insider Transactions at GitLab

In other GitLab news, Director Matthew Jacobson sold 700,109 shares of the company’s stock in a transaction dated Thursday, March 19th. The shares were sold at an average price of $22.95, for a total value of $16,067,501.55. Following the transaction, the director owned 325 shares of the company’s stock, valued at $7,458.75. This represents a 99.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Sytse Sijbrandij sold 54,300 shares of the company’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $28.41, for a total transaction of $1,542,663.00. The disclosure for this sale is available in the SEC filing. Insiders sold 1,268,508 shares of company stock worth $29,848,496 in the last ninety days. 16.37% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On GitLab

Several hedge funds have recently added to or reduced their stakes in GTLB. Vanguard Group Inc. grew its position in GitLab by 9.2% in the 3rd quarter. Vanguard Group Inc. now owns 15,281,775 shares of the company’s stock valued at $688,902,000 after buying an additional 1,285,881 shares during the last quarter. Eminence Capital LP raised its stake in GitLab by 6.9% in the 4th quarter. Eminence Capital LP now owns 7,702,226 shares of the company’s stock valued at $289,065,000 after purchasing an additional 494,497 shares during the last quarter. HMI Capital Management L.P. raised its stake in GitLab by 32.3% in the 2nd quarter. HMI Capital Management L.P. now owns 5,858,626 shares of the company’s stock valued at $264,283,000 after purchasing an additional 1,430,151 shares during the last quarter. Atreides Management LP raised its stake in GitLab by 38.9% in the 3rd quarter. Atreides Management LP now owns 5,470,305 shares of the company’s stock valued at $246,601,000 after purchasing an additional 1,532,107 shares during the last quarter. Finally, AQR Capital Management LLC raised its stake in GitLab by 766.3% in the 4th quarter. AQR Capital Management LLC now owns 5,433,375 shares of the company’s stock valued at $203,915,000 after purchasing an additional 4,806,163 shares during the last quarter. 95.04% of the stock is currently owned by hedge funds and other institutional investors.

GitLab Trading Down 6.8%

The stock has a market cap of $3.38 billion, a price-to-earnings ratio of -56.61 and a beta of 0.85. The firm’s 50 day moving average is $25.96 and its two-hundred day moving average is $36.35.

GitLab (NASDAQ:GTLB) last posted its quarterly earnings results on Tuesday, March 3rd. The company reported $0.30 EPS for the quarter, beating the consensus estimate of $0.23 by $0.07. The company had revenue of $260.40 million during the quarter, compared to analysts’ expectations of $252.31 million. GitLab had a negative return on equity of 1.73% and a negative net margin of 5.86%.The firm’s revenue was up 23.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.33 EPS. As a group, equities analysts expect that GitLab Inc. will post -0.31 EPS for the current fiscal year.

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.