Morgan Stanley Forecasts Strong Price Appreciation for GitLab (NASDAQ:GTLB) Stock

Key Points

• Morgan Stanley raised its target price for GitLab (NASDAQ:GTLB) from $56.00 to $60.00, indicating a potential upside of 28.33% from the current stock price, coupled with an "overweight" rating.
• Other analysts have given mixed assessments, with Raymond James lowering their target from $60.00 to $55.00 while Canaccord Genuity decreased theirs from $76.00 to $70.00, yet many maintain a "buy" rating overall.
• Insider trading revealed significant stock sales, with over 1.2 million shares sold by insiders in the last 90 days, representing a notable decrease in their ownership.

GitLab (NASDAQ:GTLB - Get Free Report) had its target price hoisted by equities researchers at Morgan Stanley from $56.00 to $60.00 in a report released on Monday,Benzinga reports. The firm currently has an "overweight" rating on the stock. Morgan Stanley's target price suggests a potential upside of 28.33% from the company's current price.

GTLB has been the topic of a number of other reports. Raymond James Financial dropped their price objective on shares of GitLab from $60.00 to $55.00 and set an "outperform" rating on the stock in a research note on Thursday, September 4th. Piper Sandler lowered their price objective on GitLab from $85.00 to $70.00 and set an "overweight" rating for the company in a research report on Thursday, September 4th. Canaccord Genuity Group decreased their price target on GitLab from $76.00 to $70.00 and set a "buy" rating for the company in a research note on Thursday, September 4th. Rosenblatt Securities restated a "buy" rating and set a $58.00 price objective on shares of GitLab in a report on Thursday, September 4th. Finally, Mizuho dropped their price target on GitLab from $55.00 to $52.00 and set an "outperform" rating on the stock in a research note on Friday, September 5th. One analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, GitLab currently has an average rating of "Moderate Buy" and an average price target of $58.83.

GitLab Price Performance

Shares of NASDAQ GTLB traded down $0.16 during midday trading on Monday, reaching $46.75. 327,422 shares of the stock traded hands, compared to its average volume of 3,828,719. The company's 50 day moving average is $45.99 and its 200 day moving average is $45.93. GitLab has a one year low of $37.90 and a one year high of $74.18. The stock has a market capitalization of $7.79 billion, a PE ratio of -1,170.23 and a beta of 0.73.

Insider Activity at GitLab

In related news, CAO Simon Mundy sold 5,191 shares of the firm's stock in a transaction dated Wednesday, October 1st. The shares were sold at an average price of $43.99, for a total value of $228,352.09. Following the completion of the sale, the chief accounting officer owned 53,507 shares in the company, valued at $2,353,772.93. This trade represents a 8.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Sytse Sijbrandij sold 108,600 shares of the company's stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $45.16, for a total transaction of $4,904,376.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 1,224,362 shares of company stock worth $59,723,796. 16.37% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Cullen Frost Bankers Inc. boosted its stake in GitLab by 174.9% in the 1st quarter. Cullen Frost Bankers Inc. now owns 525 shares of the company's stock worth $25,000 after buying an additional 334 shares during the last quarter. Cloud Capital Management LLC purchased a new stake in GitLab in the first quarter valued at approximately $29,000. Twin Tree Management LP purchased a new position in GitLab during the first quarter worth approximately $29,000. Harbour Investments Inc. grew its stake in shares of GitLab by 447.6% during the 1st quarter. Harbour Investments Inc. now owns 898 shares of the company's stock valued at $42,000 after buying an additional 734 shares during the period. Finally, GAMMA Investing LLC raised its stake in shares of GitLab by 114.2% in the 1st quarter. GAMMA Investing LLC now owns 919 shares of the company's stock valued at $43,000 after acquiring an additional 490 shares during the period. Institutional investors and hedge funds own 95.04% of the company's stock.

About GitLab

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.

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