GitLab (NASDAQ:GTLB) Cut to “Hold” at TD Cowen

TD Cowen downgraded shares of GitLab (NASDAQ:GTLB) from a buy rating to a hold rating in a research note published on Monday, Marketbeat.com reports. They currently have $29.00 price target on the stock.

Several other research analysts have also commented on the stock. Morgan Stanley set a $38.00 price objective on shares of GitLab in a report on Thursday, February 19th. Canaccord Genuity Group reaffirmed a “buy” rating and set a $70.00 target price on shares of GitLab in a research note on Wednesday, December 3rd. Rosenblatt Securities reissued a “buy” rating and issued a $58.00 price target on shares of GitLab in a research note on Monday, December 1st. Wolfe Research restated an “outperform” rating and issued a $50.00 price objective on shares of GitLab in a report on Wednesday, December 3rd. Finally, Sanford C. Bernstein reaffirmed an “outperform” rating on shares of GitLab in a research report on Wednesday, December 3rd. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, fourteen have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $40.19.

GitLab Stock Down 6.2%

NASDAQ GTLB opened at $25.05 on Monday. The company has a 50-day simple moving average of $32.89 and a two-hundred day simple moving average of $40.70. GitLab has a 12-month low of $23.10 and a 12-month high of $64.42. The firm has a market cap of $4.22 billion, a price-to-earnings ratio of -71.57 and a beta of 0.79.

GitLab (NASDAQ:GTLB) last announced its quarterly earnings results on Tuesday, March 3rd. The company reported $0.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.23 by $0.07. GitLab had a negative return on equity of 1.79% and a negative net margin of 5.86%.The company had revenue of $260.40 million for the quarter, compared to the consensus estimate of $252.31 million. During the same quarter in the previous year, the business earned $0.33 EPS. GitLab’s revenue was up 23.2% compared to the same quarter last year. Equities analysts expect that GitLab will post -0.31 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Matthew Jacobson sold 334,827 shares of the stock in a transaction dated Friday, December 19th. The shares were sold at an average price of $38.08, for a total transaction of $12,750,212.16. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO James Shen sold 2,538 shares of the firm’s stock in a transaction dated Wednesday, December 31st. The shares were sold at an average price of $38.08, for a total transaction of $96,647.04. Following the sale, the chief financial officer owned 52,284 shares of the company’s stock, valued at approximately $1,990,974.72. This represents a 4.63% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 603,744 shares of company stock valued at $22,536,495. 16.37% of the stock is currently owned by insiders.

Institutional Investors Weigh In On GitLab

Institutional investors have recently made changes to their positions in the company. Harel Insurance Investments & Financial Services Ltd. purchased a new stake in shares of GitLab during the third quarter valued at $2,029,000. Nordea Investment Management AB boosted its holdings in shares of GitLab by 85.5% during the 3rd quarter. Nordea Investment Management AB now owns 1,132,977 shares of the company’s stock valued at $51,392,000 after acquiring an additional 522,075 shares during the last quarter. HMI Capital Management L.P. grew its stake in shares of GitLab by 32.3% in the second quarter. HMI Capital Management L.P. now owns 5,858,626 shares of the company’s stock worth $264,283,000 after acquiring an additional 1,430,151 shares during the period. Penserra Capital Management LLC raised its holdings in shares of GitLab by 740.7% during the third quarter. Penserra Capital Management LLC now owns 88,556 shares of the company’s stock valued at $3,991,000 after purchasing an additional 78,023 shares during the last quarter. Finally, iA Global Asset Management Inc. bought a new position in GitLab during the third quarter valued at approximately $6,406,000. Hedge funds and other institutional investors own 95.04% of the company’s stock.

Key Headlines Impacting GitLab

Here are the key news stories impacting GitLab this week:

• Positive Sentiment: Q4 results beat expectations — revenue grew ~23% YoY and adjusted EPS topped consensus, showing strong SaaS growth and improved operating margins. Read More.
• Positive Sentiment: Shareholder-friendly moves — board authorized up to $400M for repurchases and management flagged surpassing $1B ARR, both supportive of per‑share value and a potential buying catalyst on dips. Read More.
• Positive Sentiment: Bull case on AI and cash flow — bullish analysts/commentary argue the sell‑off is overdone, citing GitLab’s AI roadmap, cash flow, and institutional ownership as a setup for a rebound once uncertainty abates. Read More.
• Neutral Sentiment: Mixed guidance — management gave FY27 EPS guidance that, on the EPS line, is stronger than street estimates but revenue guidance was roughly flat-to-miss versus consensus; this creates ambiguity (better earnings leverage vs. near‑term growth pace). Read More.
• Negative Sentiment: Market punished weak FY27 outlook and AI uncertainty — investors focused on the company’s cautious forward tone around AI-driven monetization and growth cadence, triggering the selloff despite the beat. Read More. and Read More.
• Negative Sentiment: Widespread analyst price‑target cuts — multiple firms trimmed targets (several notable cuts reported), reflecting lower near‑term expectations and amplifying selling pressure. Read More.
• Negative Sentiment: High intraday volume and new 52‑week lows — heavy trading and the stock hitting year‑low levels increased volatility and likely triggered stop orders and momentum selling. Read More.

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.