GitLab (NASDAQ:GTLB) Releases Q2 2027 Earnings Guidance

Key Points

• GitLab raised its Q2 2027 guidance, forecasting EPS of 0.170-0.180 versus the 0.130 consensus estimate and revenue of $272.0 million-$274.0 million versus the $273.4 million forecast.
• The company recently beat expectations in its last earnings report, posting $0.23 EPS on revenue of $264.16 million, both above analyst estimates.
• Shares fell 5.8% despite the guidance update, and the stock has also seen notable insider selling, including large share sales by directors in recent months.

GitLab (NASDAQ:GTLB - Get Free Report) updated its second quarter 2027 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 0.170-0.180 for the period, compared to the consensus estimate of 0.130. The company issued revenue guidance of $272.0 million-$274.0 million, compared to the consensus revenue estimate of $273.4 million.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on GTLB. DA Davidson set a $24.00 price objective on shares of GitLab in a report on Thursday, March 5th. Barclays decreased their price objective on shares of GitLab from $29.00 to $25.00 and set an "underweight" rating for the company in a report on Wednesday, March 4th. Mizuho decreased their price objective on shares of GitLab from $30.00 to $26.00 and set a "neutral" rating for the company in a report on Tuesday, May 12th. BTIG Research decreased their price objective on shares of GitLab from $32.00 to $30.00 and set a "buy" rating for the company in a report on Wednesday, March 4th. Finally, Royal Bank Of Canada cut shares of GitLab from an "outperform" rating to a "sector perform" rating and decreased their price objective for the stock from $33.00 to $25.00 in a report on Monday, April 20th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, eighteen have given a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $37.08.

GitLab Trading Down 5.8%

GitLab stock traded down $1.95 on Tuesday, reaching $31.84. 11,319,285 shares of the stock were exchanged, compared to its average volume of 5,049,984. The stock has a market cap of $5.42 billion, a PE ratio of -90.96 and a beta of 0.96. GitLab has a twelve month low of $18.73 and a twelve month high of $52.38. The firm has a fifty day moving average price of $23.30 and a two-hundred day moving average price of $30.43.

GitLab (NASDAQ:GTLB - Get Free Report) last released its earnings results on Tuesday, June 2nd. The company reported $0.23 earnings per share for the quarter, topping analysts' consensus estimates of $0.20 by $0.03. The firm had revenue of $264.16 million during the quarter, compared to analyst estimates of $254.23 million. GitLab had a negative net margin of 5.86% and a negative return on equity of 1.73%. GitLab has set its Q2 2027 guidance at 0.170-0.180 EPS. Equities analysts anticipate that GitLab will post -0.33 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Matthew Jacobson sold 700,109 shares of the company's stock in a transaction dated Thursday, March 19th. The shares were sold at an average price of $22.95, for a total transaction of $16,067,501.55. Following the completion of the transaction, the director owned 325 shares of the company's stock, valued at approximately $7,458.75. This represents a 99.95% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Sytse Sijbrandij sold 116,200 shares of the company's stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $24.85, for a total transaction of $2,887,570.00. Following the transaction, the director directly owned 15,018,251 shares of the company's stock, valued at $373,203,537.35. This represents a 0.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 1,392,308 shares of company stock valued at $31,654,249. Company insiders own 10.64% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the stock. Allworth Financial LP raised its position in shares of GitLab by 124.1% during the third quarter. Allworth Financial LP now owns 558 shares of the company's stock valued at $25,000 after buying an additional 309 shares during the last quarter. Utah Retirement Systems raised its position in shares of GitLab by 6.6% during the fourth quarter. Utah Retirement Systems now owns 7,407 shares of the company's stock valued at $278,000 after buying an additional 460 shares during the last quarter. Larson Financial Group LLC raised its position in shares of GitLab by 92.7% during the third quarter. Larson Financial Group LLC now owns 1,000 shares of the company's stock valued at $45,000 after buying an additional 481 shares during the last quarter. Quarry LP raised its position in shares of GitLab by 72.5% during the fourth quarter. Quarry LP now owns 1,202 shares of the company's stock valued at $45,000 after buying an additional 505 shares during the last quarter. Finally, MetLife Investment Management LLC raised its position in shares of GitLab by 6.1% during the fourth quarter. MetLife Investment Management LLC now owns 9,018 shares of the company's stock valued at $338,000 after buying an additional 516 shares during the last quarter. Institutional investors and hedge funds own 95.04% of the company's stock.

GitLab Company Profile

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.

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