Core Viewpoint - GitLab's stock is expected to potentially break out in 2026, despite a significant decline in share price over the past two years, with a drop of over 10% in 2024 and an additional 33% in 2025 [1] Company Overview - GitLab operates a DevSecOps platform, transitioning towards an end-to-end software development life cycle (SDLC) platform that incorporates AI agents to assist developers throughout the software development process [2] - The company has a market capitalization of $6.0 billion, with a current stock price of $34.98, and a gross margin of 88.01% [2] Financial Performance - GitLab has experienced consistent revenue growth between 25% and 35% over the past two years, driven by both new customer acquisition and expansion among existing customers [4] - The company boasts a dollar-based net retention rate of 119% over the past 12 months, primarily due to seat expansion and upgrades to higher-tier services [4] Pricing Model and Revenue Generation - GitLab is shifting to a hybrid seat-plus-usage-based pricing model, which is expected to enhance average revenue per user (ARPU) [3] - The platform's value proposition is reinforced by its role as a secure repository for source code and data, which is critical in the context of AI development [5] Market Trends and Challenges - Concerns exist regarding the impact of AI on the demand for programmers, which some believe could negatively affect GitLab's business model [5] - However, the rise of AI is also leading to increased software creation, suggesting that GitLab may benefit from this trend as secure environments for code storage remain essential [6] Valuation and Investment Potential - GitLab's stock is currently trading at a forward price-to-sales (P/S) multiple of approximately 5.5 and a forward price-to-earnings (P/E) ratio of 24.5, indicating a potentially attractive valuation [7] - The overall sentiment suggests that AI presents more opportunities than risks for GitLab, positioning the stock for potential upside [7]

Core Viewpoint - GitLab Inc. (NASDAQ:GTLB) is facing downgrades from multiple financial institutions due to concerns over growth potential and competition, particularly from AI startups, despite its position in the software industry [2][3][4]. Group 1: Downgrades and Price Objectives - Morgan Stanley downgraded GitLab from Overweight to Equal Weight, reducing its price target from $55 to $42, citing exaggerated concerns about competition and a transition year ahead [2]. - Barclays also downgraded GitLab from Equal Weight to Underweight, lowering its price target from $42 to $34, indicating expectations of slowed growth despite solid IT spending and low valuations [3]. Group 2: Market and Competitive Landscape - The company operates an advanced DevSecOps platform for software innovation, but there are concerns that AI stocks may offer better investment opportunities with less downside risk [4]. - The changing market dynamics and frequent management changes are complicating the establishment of GitLab's stock value [3].

产品上市时间 软件行业大放异彩的时机到了吗？ 本周末，X 平台上的软件股支持者们纷纷发声，他们的观点主要基于周五晚间摩根大通举办的 IT行业电话 会议内容。 摩根大通 IT电话会议核心观点（来自 X 平台用户总结） 软件行业大放异彩的时机到了吗？ 本周末，X 平台上的软件股支持者们纷纷发声，他们的观点主要基于周五晚间摩根大通举办的 IT行业电话 会议内容。 摩根大通 IT电话会议核心观点（来自 X 平台用户总结） 实际情况与 X 平台上的部分言论截然相反：企业倾向于依赖现有软件供应商提供人工智能功能升级，并愿意为 此付费。 实际情况与 X 平台上的部分言论截然相反：企业倾向于依赖现有软件供应商提供人工智能功能升级，并愿意为 此付费。 产品上市时间（Timeto Market）是关键因素，企业希望将内部开发资源聚焦于推动营收增长和核心业务发展， 而非重新开发第三方应用。 企业没有替换现有软件供应商的计划，相反，在供应商续约时，企业的支出规模还在持续增长。 企业并未下调任何软件供应商的评级，将头部 SaaS 供应商视为关键任务型软件提供商。 企业对自主开发软件并承担维护工作的想法嗤之以鼻，更愿意依赖第三方供应商， ...

Core Viewpoint - Software stocks have been perceived as untouchable recently, but GitLab (GTLB) is recommended as a potential investment opportunity due to its undervaluation and growth potential [1]. Group 1: Company Analysis - GitLab is highlighted as a stock with strong growth prospects, supported by a solid balance sheet and effective management [1]. - The investment strategy focuses on identifying companies with long growth runways and a high probability of delivering significant alpha compared to the S&P 500 [1]. Group 2: Analyst's Approach - The analyst employs a combination of growth-oriented principles and strict valuation criteria to enhance the margin of safety in investment decisions [1]. - The investment group led by the analyst offers exclusive access to high-conviction stock picks, comprehensive research reports, real-time trade alerts, and macro market analysis [1].

Core Viewpoint - GitLab Inc. (GTLB) shares experienced a significant rally of 12.8%, closing at $37.4, driven by strong enterprise demand for its AI-native DevSecOps platform, despite a prior 11.6% loss over the past four weeks [1]. Company Summary - GitLab is expected to report quarterly earnings of $0.23 per share, reflecting a year-over-year decline of 30.3%, while revenues are projected to reach $251.41 million, an increase of 18.9% from the same quarter last year [1]. - The consensus EPS estimate for GitLab has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3]. Industry Context - GitLab operates within the Zacks Internet - Software industry, where another company, Affirm Holdings (AFRM), saw a 1.5% increase in its stock price, closing at $72.84, but has returned -5.6% over the past month [3]. - Affirm Holdings' consensus EPS estimate has decreased by 8.7% over the past month to $0.28, which is a 21.7% increase compared to the previous year [4].

GitLab stock has crashed in the past few months, mirroring the performance of other software companies. GTLB stock dropped to the current $37, down by 50% from its highest level in 2025. ...

Gitlab seemed to lose the AI plot last year.Shares of GitLab (GTLB 3.22%), the cloud-based DevSecOps platform, struggled last year as a combination of slowing revenue growth, a high valuation, and concerns about lower customer retention weighed on the stock, and investors seemed to take a wait-and-see approach to its AI strategy.By the end of the year, the stock had fallen 33%, according to data from S&P Global Market Intelligence, a disappointing performance during a year in which tech stocks largely soare ...

Core Viewpoint - The software-as-a-service (SaaS) sector is experiencing significant turmoil due to fears of disruption from artificial intelligence (AI), but these fears may be exaggerated, presenting potential investment opportunities in select software stocks. Group 1: AppLovin - AppLovin has seen a stock price increase of 71% over the past year, yet it currently trades nearly 22% below its 52-week high [2][3] - The company is experiencing rapid revenue growth, particularly from its AI-powered Axon-2 adtech platform, which grew 68% year over year last quarter, enhancing gross margins and profitability [3] - Management plans to expand the platform beyond mobile gaming and introduce a self-serve ad manager, which are expected to be growth catalysts [3] Group 2: Salesforce - Salesforce aims to lead in agentic AI by launching Data Cloud (now Data 360) and acquiring Informatica, positioning itself as the master record of organizational data [4][5] - The stock has decreased by about 28% over the past year, attributed to concerns over slowing core growth and increased competition, making it relatively cheap with a forward P/S multiple below 5 and a forward P/E ratio of 18 [5] Group 3: Workday - Workday claims to have the "largest and cleanest" human resource and finance database, which is crucial in the AI era [6] - The company is introducing AI agents and tools for finance, legal, and HR, and has acquired Paradox to enhance its hiring process [7] - Workday's stock has fallen nearly 24% over the past year, but it is trading at a forward P/S ratio below 5 and a forward P/E of 18, indicating it is undervalued [7] Group 4: GitLab - GitLab operates a DevSecOps platform and has seen its stock decline about 45% over the past year due to fears that AI may reduce the need for coders [9] - Despite these concerns, the company has consistently grown its revenue by 25% or more, driven by an increasing enterprise customer count [10] - The launch of its Duo Agent solution and a new hybrid pricing model could serve as growth catalysts, with the stock trading at a forward P/S multiple under 5.5 [10] Group 5: UiPath - UiPath's stock has decreased about 24% from its 52-week high, but the company is transitioning to become an AI orchestration platform [11] - The Maestro platform is designed to manage AI agents and software bots, addressing the need for governance and compliance as AI agents proliferate [13] - The stock is attractively valued, with a forward P/S multiple below 5 and a forward P/E around 20 [14]

Group 1: AI Stock Performance - The strong performance in AI stocks has been primarily driven by large technology companies involved in AI infrastructure, but smaller AI stocks present overlooked growth potential [1] - There are three small AI stocks identified with significant potential for outsized growth [1] Group 2: UiPath - UiPath is positioned to capitalize on the emerging phase of agentic AI, which involves performing tasks rather than just generating content [3] - The company has a strong foundation in robotic process automation (RPA) and has developed an orchestration platform to manage AI agents from various vendors [4][5] - UiPath's stock is currently trading at a forward price-to-sales multiple of around 5, with accelerating revenue, indicating potential for significant growth if it leads in AI agent orchestration [5] Group 3: GitLab - GitLab has experienced revenue growth of 25% to 35% over the past two years, yet its stock valuation has fallen to a forward price-to-sales below 5.5 due to market perceptions of being an AI loser [6] - The company continues to add new customers and expand existing client subscriptions, countering fears that AI will replace coders [7] - GitLab has launched its own AI agents to assist programmers throughout the software development cycle and is transitioning to a hybrid model to enhance customer value [8]

Core View - Barclays has a positive outlook on the 2026 prospects for U.S. software stocks, citing stable macroeconomic conditions and IT spending, low valuation levels, and current market disfavor towards the sector [1] - The analysts expect significant revenue contributions from AI in application software and infrastructure software, which will help shift market sentiment [1] Software Stock Ratings and Target Price Adjustments - Barclays adjusted ratings and target prices for several software stocks, highlighting key changes: - CoreWeave: Hold, target price $90 - Datadog: Buy, target price $215 - Dynatrace: Buy, target price $62 - Elastic: Buy, target price $107 - Five9: Buy, target price $29 - HubSpot: Buy, target price $575 - Klaviyo: Buy, target price $43 - Microsoft: Buy, target price $610 - Monday.com: Buy, target price $202 - Paycom Software: Hold, target price $185 - Commerce.com: Reduce, target price $3 - Paylocity: Hold, target price $164 - Similarweb: Buy, target price $12 - Sprout: Buy, target price $26 - Workday: Buy, target price $280 - ZoomInfo Technologies: Hold, target price $12 - Appian: Reduce, target price $34 - Lightspeed Commerce: Hold, target price $14 - DigitalOcean: Buy, target price $63 - JFrog: Buy, target price $70 - MongoDB: Buy, target price $480 - Salesforce: Buy, target price $338 - Teradata: Reduce, target price $27 - UiPath: Hold, target price $16 [1] Cartesian Logistics Systems Group - Barclays upgraded Cartesian Logistics Systems Group from Hold to Buy, raising the target price from $106 to $105, citing a positive turning point in their Q3 2026 performance [2] - Analysts believe the company has overcome its most challenging period, with organic growth rates accelerating from a low point earlier in the fiscal year [3] Snowflake - Barclays downgraded Snowflake from Buy to Hold, lowering the target price from $290 to $250, while still recognizing it as a top software asset with strong revenue growth [2] - The analysts noted limited future upside potential despite a 42% stock price increase in 2025 [2] DoubleVerify - Barclays downgraded DoubleVerify from Buy to Hold, maintaining a target price of $12, citing significant underperformance compared to the software industry [4] - Analysts expressed concerns over the sustainability of revenue growth following a decline in Q3 growth [4] GitLab - Barclays downgraded GitLab from Hold to Reduce, lowering the target price from $42 to $34, attributing the downgrade to execution issues and a challenging macro environment [5] - Analysts noted that recent adjustments may take time to yield results, with expectations of underperformance in the current year [5]