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

Shares of GitLab Inc. (NASDAQ:GTLB - Get Free Report) gapped up prior to trading on Wednesday following a stronger than expected earnings report. 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 traded.

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

Wall Street Analysts Forecast Growth

GTLB has been the topic of several recent research reports. DA Davidson reaffirmed a "neutral" rating and set a $50.00 target price on shares of GitLab in a research note on Thursday, August 29th. Royal Bank of Canada increased their price objective on GitLab from $55.00 to $60.00 and gave the company an "outperform" rating in a research note on Wednesday. Needham & Company LLC reissued a "hold" rating on shares of GitLab in a research note on Wednesday. KeyCorp cut their price target on GitLab from $70.00 to $62.00 and set an "overweight" rating on the stock in a report on Tuesday, June 4th. Finally, TD Cowen lifted their price objective on GitLab from $58.00 to $63.00 and gave the company a "buy" rating in a research note on Wednesday. Four equities research analysts have rated the stock with a hold rating, twenty-two have assigned a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $65.63.

Insiders Place Their Bets

In other GitLab news, CFO Brian G. Robins sold 23,332 shares of the firm's stock in a transaction dated Thursday, August 1st. The shares were sold at an average price of $49.24, for a total transaction 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 approximately $12,758,527.16. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, CFO Brian G. Robins sold 23,332 shares of the business's stock in a transaction on 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 of the company's stock, valued at $12,758,527.16. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Karen Blasing sold 4,430 shares of the stock in a transaction on Wednesday, July 17th. The shares were sold at an average price of $56.25, for a total value of $249,187.50. Following the sale, the director now directly owns 150,983 shares in the company, valued at approximately $8,492,793.75. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 140,275 shares of company stock worth $6,848,847. 21.36% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On GitLab

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Fiera Capital Corp boosted its holdings in GitLab by 0.5% in the fourth quarter. Fiera Capital Corp now owns 1,199,817 shares of the company's stock valued at $75,540,000 after acquiring an additional 5,446 shares during the last quarter. Charles Schwab Investment Management Inc. grew its stake in GitLab by 10.7% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 531,731 shares of the company's stock worth $33,478,000 after buying an additional 51,612 shares during the period. Blair William & Co. IL increased its holdings in GitLab by 55.3% in the 1st quarter. Blair William & Co. IL now owns 41,382 shares of the company's stock valued at $2,413,000 after purchasing an additional 14,738 shares in the last quarter. Banque Cantonale Vaudoise purchased a new stake in shares of GitLab in the first quarter worth about $58,000. Finally, Balyasny Asset Management L.P. grew its stake in shares of GitLab by 520.6% in the fourth quarter. Balyasny Asset Management L.P. now owns 748,636 shares of the company's stock valued at $47,134,000 after buying an additional 627,999 shares in the last quarter. Hedge funds and other institutional investors own 91.72% of the company's stock.

GitLab Stock Performance

The stock has a fifty day simple moving average of $48.75 and a two-hundred day simple moving average of $53.11. The stock has a market cap of $8.64 billion, a PE ratio of -19.67 and a beta of 0.46.

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.