GitLab Inc GTLB shares are up nearly 18% Tuesday after the company reported third-quarter financial results and issued guidance above analyst estimates.
Q3 Results: GitLab said third-quarter revenue increased 69% year-over-year to $112.98 million, which beat average analyst estimates of $106.5 million, according to Benzinga Pro. The company reported a quarterly adjusted net loss of 10 cents per share, which beat estimates for a loss of 15 cents per share.
"Companies cannot afford to slow down their software innovation. In today's turbulent economic climate, they are turning to solutions like GitLab to reduce costs, drive efficiencies, fuel a fast pace of innovation, and meet customer demands," said Sid Sijbrandij, co-founder and CEO of GitLab.
Outlook: GitLab expects fourth-quarter revenue to be between $119 million and $120 million versus estimates of $119.28 million. The company anticipates a fourth-quarter earnings loss between 14 cents and 15 cents per share versus estimates for a loss of 17 cents per share.
GitLab expects full-year revenue to be between $420.5 million and $421.5 million versus estimates of $413.71 million. The company anticipates a full-year loss between 55 cents and 56 cents per share versus estimates for a loss of 65 cents per share.
Analyst Assessment: Multiple analysts adjusted price targets on the stock following the company's quarterly results.
- Keybanc analyst Michael Turits maintained GitLab with an Overweight and lowered the price target from $63 to $60.
- Piper Sandler analyst Rob Owens maintained GitLab with an Overweight and lowered the price target from $67 to $60.
- RBC Capital analyst Matthew Hedberg maintained GitLab with an Outperform and raised the price target from $55 to $60.
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GTLB Price Action: GitLab has a 52-week high of $97.82 and a 52-week low of $30.74.
The stock was up 17.3% at $44.96 at time of publication, according to Benzinga Pro.
Photo: courtesy of GitLab.
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