GitLab (NASDAQ:GTLB) Stock Price Down 9.4% After Analyst Downgrade

GitLab Inc. (NASDAQ:GTLB)’s stock price traded down 9.4% during mid-day trading on Thursday after Barclays lowered their price target on the stock from $47.00 to $44.00. Barclays currently has an equal weight rating on the stock. GitLab traded as low as $42.20 and last traded at $42.51. 7,779,733 shares traded hands during trading, an increase of 113% from the average session volume of 3,656,900 shares. The stock had previously closed at $46.91.

A number of other research firms have also issued reports on GTLB. Wells Fargo & Company lowered their target price on GitLab from $60.00 to $55.00 and set an “overweight” rating on the stock in a report on Thursday. JPMorgan Chase & Co. dropped their price target on GitLab from $58.00 to $52.00 and set a “neutral” rating on the stock in a research note on Wednesday, June 11th. Raymond James Financial dropped their price target on GitLab from $60.00 to $55.00 and set an “outperform” rating on the stock in a research note on Thursday. KeyCorp dropped their price target on GitLab from $60.00 to $53.00 and set an “overweight” rating on the stock in a research note on Thursday. Finally, DA Davidson dropped their price target on GitLab from $50.00 to $45.00 and set a “neutral” rating on the stock in a research note on Thursday. Nineteen analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $58.39.

Insider Activity at GitLab

In related news, Director Karen Blasing sold 3,250 shares of the business’s stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $45.00, for a total transaction of $146,250.00. Following the transaction, the director directly owned 103,889 shares of the company’s stock, valued at approximately $4,675,005. The trade was a 3.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Matthew Jacobson sold 129,400 shares of the business’s stock in a transaction that occurred on Wednesday, June 25th. The shares were sold at an average price of $42.32, for a total transaction of $5,476,208.00. Following the transaction, the director directly owned 551,997 shares in the company, valued at $23,360,513.04. The trade was a 18.99% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 464,950 shares of company stock valued at $20,025,356. Corporate insiders own 16.37% of the company’s stock.

Institutional Investors Weigh In On GitLab

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Dimensional Fund Advisors LP lifted its holdings in shares of GitLab by 30.0% during the fourth quarter. Dimensional Fund Advisors LP now owns 85,949 shares of the company’s stock worth $4,843,000 after buying an additional 19,846 shares during the last quarter. Northern Trust Corp lifted its holdings in shares of GitLab by 20.2% during the fourth quarter. Northern Trust Corp now owns 650,369 shares of the company’s stock worth $36,648,000 after buying an additional 109,182 shares during the last quarter. Mercer Global Advisors Inc. ADV lifted its holdings in shares of GitLab by 89.6% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 7,800 shares of the company’s stock worth $440,000 after buying an additional 3,686 shares during the last quarter. BNP Paribas Financial Markets lifted its holdings in shares of GitLab by 0.6% during the fourth quarter. BNP Paribas Financial Markets now owns 63,232 shares of the company’s stock worth $3,563,000 after buying an additional 355 shares during the last quarter. Finally, Benjamin Edwards Inc. acquired a new position in shares of GitLab during the fourth quarter worth approximately $541,000. 95.04% of the stock is currently owned by institutional investors and hedge funds.

GitLab Price Performance

The company has a market capitalization of $7.55 billion, a price-to-earnings ratio of -1,143.25 and a beta of 0.75. The business has a fifty day moving average price of $44.79 and a 200 day moving average price of $47.35.

GitLab (NASDAQ:GTLB) last issued its earnings results on Tuesday, June 10th. The company reported $0.17 EPS for the quarter, beating analysts’ consensus estimates of $0.15 by $0.02. GitLab had a negative return on equity of 2.80% and a negative net margin of 0.55%.The business had revenue of $214.51 million during the quarter, compared to analyst estimates of $213.21 million. During the same period in the prior year, the company posted $0.03 earnings per share. GitLab’s revenue was up 26.8% on a year-over-year basis. GitLab has set its FY 2026 guidance at 0.740-0.750 EPS. Q2 2026 guidance at 0.160-0.17 EPS. As a group, sell-side analysts predict that GitLab Inc. will post -0.31 earnings per share for the current fiscal year.

About GitLab

GitLab Inc, through its subsidiaries, develops software for the software development lifecycle in the United States, Europe, and the Asia Pacific. It offers GitLab, a DevOps platform, which is a single application that leads to faster cycle time and allows visibility throughout and control over various stages of the DevOps lifecycle.