GitLab (NASDAQ:GTLB) Shares Gap Up After Better-Than-Expected Earnings

GitLab Inc. (NASDAQ:GTLB) shares gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $44.68, but opened at $50.43. GitLab shares last traded at $52.85, with a volume of 3,661,205 shares.

The company reported $0.15 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.05. The business had revenue of $182.58 million for the quarter, compared to analysts’ expectations of $176.86 million. GitLab had a negative return on equity of 19.14% and a negative net margin of 68.52%. The company’s revenue was up 30.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted ($0.29) EPS.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the company. UBS Group upped their price target on GitLab from $62.00 to $65.00 and gave the stock a “buy” rating in a report on Wednesday. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $55.00 target price on shares of GitLab in a research note on Monday, August 19th. Baird R W raised GitLab to a “strong-buy” rating in a research note on Tuesday, August 27th. BTIG Research upped their target price on GitLab from $58.00 to $63.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, DA Davidson reaffirmed a “neutral” rating and issued a $50.00 target price on shares of GitLab in a research note on Thursday, August 29th. Four investment analysts have rated the stock with a hold rating, twenty-two have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, GitLab has a consensus rating of “Moderate Buy” and an average target price of $65.63.

Insider Buying and Selling

In related news, CFO Brian G. Robins sold 23,332 shares of GitLab stock in a transaction dated Thursday, August 1st. The stock was sold at an average price of $49.24, for a total value of $1,148,867.68. Following the completion of the transaction, the chief financial officer now directly owns 259,109 shares in the company, valued at $12,758,527.16. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other GitLab news, Director Karen Blasing sold 4,430 shares of the firm’s stock in a transaction dated Wednesday, July 17th. The shares were sold at an average price of $56.25, for a total value of $249,187.50. Following the transaction, the director now owns 150,983 shares of the company’s stock, valued at $8,492,793.75. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Brian G. Robins sold 23,332 shares of GitLab stock in a transaction that occurred on Thursday, August 1st. The shares were sold at an average price of $49.24, for a total value of $1,148,867.68. Following the sale, the chief financial officer now directly owns 259,109 shares in the company, valued at approximately $12,758,527.16. The disclosure for this sale can be found here. Over the last three months, insiders sold 140,275 shares of company stock worth $6,848,847. Corporate insiders own 21.36% of the company’s stock.

Institutional Investors Weigh In On GitLab

A number of hedge funds have recently made changes to their positions in GTLB. Norges Bank bought a new stake in shares of GitLab during the fourth quarter valued at approximately $222,591,000. Capital Research Global Investors raised its holdings in shares of GitLab by 78.5% during the first quarter. Capital Research Global Investors now owns 7,040,410 shares of the company’s stock valued at $410,597,000 after buying an additional 3,096,437 shares during the last quarter. 1832 Asset Management L.P. bought a new stake in shares of GitLab during the fourth quarter valued at approximately $76,918,000. Vanguard Group Inc. raised its holdings in shares of GitLab by 12.9% during the fourth quarter. Vanguard Group Inc. now owns 9,388,440 shares of the company’s stock valued at $591,096,000 after buying an additional 1,070,994 shares during the last quarter. Finally, Westfield Capital Management Co. LP bought a new stake in shares of GitLab during the first quarter valued at approximately $49,196,000. Institutional investors own 91.72% of the company’s stock.

GitLab Stock Up 21.6 %

The firm has a market cap of $8.64 billion, a price-to-earnings ratio of -19.67 and a beta of 0.46. The stock’s 50 day moving average is $48.75 and its 200 day moving average is $53.11.

GitLab Company Profile

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.