Analyst Derrick Wood from TD Cowen reiterated a Buy rating on Gitlab (GTLB – Research Report) and keeping the price target at $82.00.
Derrick Wood has given his Buy rating due to a combination of factors including Gitlab’s impressive financial performance and strategic initiatives. The company reported a robust revenue growth of 29% in the fourth quarter, surpassing the market’s expectations of 26%. This growth was driven by strong performance in the enterprise segment and significant contributions from their Ultimate SKU and GTLB Dedicated offerings.
Furthermore, Gitlab’s management has outlined strategic initiatives aimed at sustaining long-term growth. These include a focus on acquiring new customers, accelerating time-to-value, and enhancing platform innovation, particularly in DevSecOps and Duo/GenAI. These efforts are expected to support Gitlab’s expansion and potentially drive revenue growth to $1 billion. Given these positive indicators and the company’s strategic direction, Derrick Wood reiterates a Buy rating with a price target of $82.
In another report released on February 28, Robert W. Baird also maintained a Buy rating on the stock with a $76.00 price target.
Based on the recent corporate insider activity of 91 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of GTLB in relation to earlier this year.