Earnings Report - GitLab Inc. is set to release its first-quarter earnings results on June 10, with expected earnings of 15 cents per share, an increase from 3 cents per share in the same period last year [1] - The projected quarterly revenue for GitLab is $213.21 million, compared to $169.19 million a year earlier [1] Recent Performance - On March 3, GitLab reported quarterly earnings of 33 cents per share, surpassing the analyst consensus estimate of 23 cents [2] - GitLab shares experienced a slight decline of 0.3%, closing at $48.64 on the preceding Monday [2] Analyst Ratings - Wells Fargo analyst Michael Turrin maintained an Overweight rating but reduced the price target from $85 to $65 [4] - Keybanc analyst Eric Heath also maintained an Overweight rating, lowering the price target from $80 to $60 [4] - DA Davidson analyst Gil Luria kept a Neutral rating and cut the price target from $60 to $45 [4] - Truist Securities analyst Joel Fishbein maintained a Buy rating while slashing the price target from $90 to $80 [4] - JP Morgan analyst Pinjalim Bora maintained a Neutral rating and reduced the price target from $65 to $62 [4]

Group 1: Cognyte Software (CGNT) - Cognyte is positioned strongly with a significant number of large, multi-million dollar contracts, supporting fiscal 2026 revenue guidance of approximately $392 million [2] - The revenue visibility from Cognyte's cRPO balance exiting fiscal 2025 is around 86%, a decrease from 89% in fiscal 2025 and 94% in fiscal 2024 [2] - Cognyte announced over $40 million in total contract value recently, with projected fiscal first-quarter revenue and adjusted EPS estimates of $94.2 million and $0.02, compared to consensus estimates of $94 million and $0.01 [3][7] Group 2: GitLab Inc (GTLB) - GitLab is expected to report sustained revenue outperformance and improving operating margins, with a potential 'catch-up trade' due to recent underperformance relative to other Data Infrastructure vendors [4] - Investor concerns focus on GitLab's competitive position against GitHub, seat growth for the Premium SKU, and long-term growth sustainability after the Premium price increase [4] - The upcoming launch of GitLab 18 in May 2025 allows Premium SKU customers to purchase Duo Enterprise without upgrading to the Ultimate SKU, raising questions about the success of up-tiering to Ultimate [5] - Management has demonstrated success in driving First Orders with Ultimate, despite investor concerns regarding the durability and pricing of AI-native capabilities in the DevSecOps ecosystem [6]

Core Insights - GitLab (GTLB) is expected to report first-quarter fiscal 2026 results on June 10, 2025, with anticipated revenues between $212 million and $213 million, reflecting a year-over-year growth of 25-26% [1][9] - Non-GAAP earnings are projected to be between 14 cents and 15 cents per share, with the Zacks Consensus Estimate for revenues at $212.52 million, indicating a 25.61% increase from the previous year [1][2] Revenue Growth Drivers - The expected performance in the first quarter is attributed to ongoing investments in innovation within GitLab's core DevOps platform, security, and AI-driven solutions [3] - The expansion of GitLab Dedicated, which grew nearly 90% year-over-year in the prior quarter, is likely to have contributed to revenue growth, appealing to customers seeking secure, single-tenant SaaS solutions [4][9] Client Expansion and Partnerships - GitLab's growing customer base, including notable clients such as Delta AirLines, NatWest Group, Alphabet, and Amazon, is anticipated to drive growth in the first quarter [5][9] - Delta AirLines' adoption of GitLab Dedicated is expected to enhance product adoption and recurring revenues [6] - NatWest Group's expanded use of GitLab Ultimate and GitLab Dedicated reflects rising demand for secure solutions in regulated sectors, likely aiding revenue momentum [7] Collaborative Initiatives - GitLab's collaboration with Amazon Q to launch an AI-powered DevSecOps solution is designed to improve the developer experience and is expected to positively impact customer engagement [8][10] - Continued collaboration with Alphabet's Google Cloud platform aims to enhance GitLab's scalability and intelligence in its offerings, further increasing customer engagement [10]

Software development facilitator GitLab (GTLB 2.89%) was facilitating some handsome returns for shareholders on Thursday, thanks in no small part to an optimistic new analyst note. In late-session trading the company's share price was up by almost 4%, and doing much better than the slumping S&P 500 index with its 0.2% decline.Bullish pundit take reiteratedThat note was published in anticipation of the release of GitLab's earnings for the fiscal first quarter of 2026, which is scheduled for next Tuesday, Jun ...

Core Insights - GitLab is expected to report Q1 results on June 10, with revenues projected at approximately $213 million, reflecting a 26% year-over-year increase, and earnings estimated at $0.15 per share, nearly five times higher than the previous year [2] - The company has a market capitalization of $7.4 billion, with total revenue over the past twelve months amounting to $759 million, and it reported an operational loss of $-143 million and a net income of $-6.3 million [2] - Historical data indicates a strong likelihood of positive stock performance post-earnings, with a 75% probability of a positive one-day return over the last three years [2][4] Earnings Performance - Over the last five years, GitLab has recorded 14 earnings data points, resulting in 10 positive and 4 negative one-day returns, leading to a 71% positive return rate, which increases to 75% when considering the last three years [4] - The median positive return for the 10 positive instances is 12%, while the median negative return for the 4 negative instances is -15% [4] Correlation with Peers - The performance of peer companies can influence GitLab's stock reactions following earnings announcements, with pricing potentially starting before the earnings are released [5] - Historical data shows a correlation between GitLab's post-earnings performance and that of its peers, which can provide insights for trading strategies [5]

Group 1 - Moretus Research provides high-quality equity research focused on U.S. public markets, aiming to deliver clarity, conviction, and alpha for serious investors [1] - The research framework identifies companies with durable business models, mispriced cash flow potential, and intelligent capital allocation, emphasizing a structured and repeatable approach [1] - Valuation methods are based on sector-relevant multiples tailored to each company's business model and capital structure, prioritizing comparability, simplicity, and relevance [1] Group 2 - Research coverage focuses on underappreciated companies experiencing structural changes or temporary dislocations, where disciplined analysis can yield asymmetric returns [1] - Moretus Research aims to elevate the standard for independent investment research by providing professional-grade insights and actionable valuation [1]

Core Viewpoint - GitLab's stock has underperformed in 2023, with a year-to-date decline of 14.8%, contrasting with the broader technology sector's slight decline and significant gains from industry peers [1][2] Financial Performance - For fiscal 2026, GitLab anticipates revenues between $936 million and $942 million, reflecting a year-over-year growth rate of 24% [5] - The Zacks Consensus Estimate for fiscal 2026 revenues stands at $936.51 million, indicating a growth of 23.35% year-over-year [5] - Non-GAAP earnings for fiscal 2026 are projected to be between 68 and 72 cents per share, with a consensus estimate of 70 cents, suggesting a year-over-year decline of 5.41% [6] Market Position and Product Development - GitLab's comprehensive DevSecOps platform, supported by a robust product portfolio, is driving enterprise adoption and enhancing developer efficiency [7] - The GitLab Ultimate subscription now constitutes 50% of total annual recurring revenue, driven by its security and compliance features appealing to large enterprises [8] - GitLab Duo offers AI-powered development capabilities, including smart code suggestions and test automation, with the recent launch of GitLab 18 enhancing AI integration [9] Strategic Partnerships - GitLab's partnerships with major companies like Amazon and Alphabet are pivotal for its growth [10] - The collaboration with Amazon Web Services (AWS) includes the integration of GitLab Duo with Amazon Q, enhancing developers' ability to produce secure code efficiently [11] - Expanded integrations with Google Cloud have strengthened GitLab's platform capabilities, positioning the company for continued success in fiscal 2026 [12] Investment Outlook - GitLab's strong enterprise demand, rapid AI-driven innovation, and deepening cloud partnerships highlight its competitive edge and potential for sustained growth [13]

A bearish note in an otherwise bullish industry research report led to a bit of an investor sell-off in GitLab (GTLB -4.99%) stock on Monday. The specialized tech company's shares took a nearly 5% hit as a result, on a day when the S&P 500 index basically traded sideways.Sold on softwareThat report, published in the morning and authored by RBC Capital analyst Matthew Hedberg, was an update of notable software stocks in advance of scheduled quarterly earnings reports from companies in the segment. According ...

Core Insights - GitLab (GTLB) is a smaller SaaS company that may attract investors with high-risk tolerances due to its unique offerings and operational metrics [1] Group 1: Company Overview - GitLab specializes in software as a service (SaaS) and has a distinctive "special sauce" that differentiates it in the market [1] - The company is demonstrating effective execution in the realm of artificial intelligence, which is a key area of focus for its growth strategy [1] Group 2: Operational Metrics - The article highlights GitLab's operating metrics, indicating that the company is performing well and has potential for future growth [1]

Core Viewpoint - GitLab Inc. is positioned to potentially continue its earnings-beat streak in the upcoming report, having surpassed earnings estimates significantly in the last two quarters [1]. Earnings Performance - In the last reported quarter, GitLab achieved earnings of $0.33 per share, exceeding the Zacks Consensus Estimate of $0.23 per share, resulting in a surprise of 43.48% [2]. - In the previous quarter, the company was expected to post earnings of $0.16 per share but delivered $0.23 per share, leading to a surprise of 43.75% [2]. Earnings Estimates and Predictions - Estimates for GitLab have been trending higher, influenced by its history of earnings surprises, and the stock currently has a positive Zacks Earnings ESP of +1.70%, indicating bullish sentiment among analysts [5][8]. - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) suggests a strong possibility of another earnings beat [8]. Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6]. - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7].