| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 23 | — | 17.7x | Bottom tier | |
Growth | 66 | 23.0% | 7.1% | Around median | |
Quality | 48 | -10.6% | 4.5% | Around median | |
Safety | 81 | — | 2.6x | Top tier | |
Capital Return | 54 | — | 2.16% | Around median | |
Momentum | 85 | -13.6% | 2.1% | Top tier | |
Sentiment | 84 | 16 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
GitLab provides a unified platform for managing the software development lifecycle, bringing together source code, merge requests, continuous integration and delivery pipelines, vulnerabilities, policies, approvals, and deployment processes. Its core revenue model relies on seat-based Premium and Ultimate subscriptions, with new consumption-based revenue expansion through Flex, Duo Agent Platform, Secrets Manager, and Dedicated Runners; Ultimate represented 59% of annual recurring revenue in Q2 fiscal 2027.
Revenue for Q2 fiscal 2027 reached approximately $286.3 million, up 21% year over year from $235.96 million in the comparable period, and exceeded Wall Street estimates of $273.12 million. Gross profit under EDGAR was approximately $240.6 million, equivalent to a gross margin of about 84%, while the company reported an adjusted gross margin of 86.5%. Software as a service accounted for 34% of revenue and grew 36% year over year, driven by the performance of GitLab Dedicated and Duo.
GitLab recorded a GAAP net loss of $36.8 million, or $0.22 per share, in Q2 fiscal 2027, despite achieving adjusted earnings per share of $0.24 versus expectations of $0.18. Adjusted operating income reached $42.6 million at a 15% margin, compared with $39.6 million a year earlier, while adjusted free cash flow was $9.8 million at a 3% margin. On a trailing twelve-month basis within fiscal 2027, revenue totaled $1.1 billion and gross profit reached $904.8 million, with a net loss of $52.7 million.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $48.88, approximately 12% below the 52-week range high of $55.55, while the wide range of targets from $26 to $70 and the Neutral consensus reveal substantial disagreement about the sustainability of accelerating growth and the impact of Flex. No positive price-to-earnings multiple is available because of the $52.7 million net loss during the trailing twelve months within fiscal 2027, so the valuation depends more heavily on annual recurring revenue growth, the shift to consumption, and the company's ability to convert adjusted profitability into accounting profits. The 52-week range of $18.73–$55.55 remains evidence of the valuation's sensitivity to execution, particularly after the stock rose 21% following the September 1, 2026 results and some analysts warned about valuation after the jump.
Figures in the text are as of 2026-09-03; the live price is shown at the top of the page.
Revenue reached $286.3 million, up 21% year over year, exceeding Wall Street estimates of $273.12 million. The company achieved adjusted earnings of $0.24 per share versus expectations of $0.18, alongside adjusted operating income of $42.6 million and a 15% margin. The performance was supported by the highest total bookings in the company's history, 42% growth in net new annual recurring revenue, and an increase of more than 150% in deals worth $500 thousand or more.
Flex allows customers to commit to an annual or multiyear amount and then allocate it among Premium and Ultimate seats, GitLab credits, and usage-based products without renegotiating each time. During its first six weeks after launching in Q2 fiscal 2027, more than 130 customers committed more than $20 million, and the paid consumption revenue run rate rose to more than $40 million. However, the transition delays the recognition of some revenue, as the company estimates that approximately $5 million shifts to later periods for every $50 million of self-managed contracts converted to Flex.
Q2 fiscal 2027 metrics showed annual growth of 60% in secured repositories, 50% in code pushes, and more than 40% in continuous integration and delivery pipelines. The paid consumption revenue run rate for Duo Agent Platform grew by approximately 50% from the previous quarter, while a top-20 U.S. commercial bank increased its commitment to platform credits by nearly tenfold. GitLab Orbit also recorded more than 2,200 enabled organizations and more than 170 thousand queries, with approximately 80% of query volume coming from customers connecting it to external agents such as Claude Code and Code Llama.
The company expects annual revenue of between $1.129 and $1.133 billion, representing growth of approximately 18%–19%, and adjusted operating income of between $148 and $152 million. It also expects adjusted earnings of between $0.85 and $0.87 per share and a full-year gross margin of between 85% and 87%. For Q3 fiscal 2027, it expects revenue of between $281 and $283 million, adjusted operating income of between $35 and $37 million, and adjusted earnings of between $0.19 and $0.20 per share.
GitLab recorded a net loss of $36.8 million in Q2 fiscal 2027 despite adjusted operating profitability, while adjusted free cash flow reached $9.8 million at a 3% margin. Management also expects Q3 revenue growth to slow to 15%–16% and does not assume a repeat of the exceptional level of Q2 bookings. Flex adds risks related to the timing of revenue recognition, with a potential impact of up to $13 million in fiscal 2027, while quarterly restructuring charges reached $23.3 million.
The analyst consensus on GTLB stock is Neutral, with an average price target of $48.88. Targets range from $26 to $70, and Canaccord Genuity raised its target to $70 following the September 1, 2026 results, highlighting the wide divergence in assessments of the growth trajectory. There is no positive price-to-earnings multiple because net losses continue, while the 52-week range extends from $18.73 to $55.55, so the valuation case depends on achieving Flex targets, sustaining growth, and converting adjusted earnings into accounting profits.
