Analysts Slash Price Targets After GitLab’s Weak FY2027 Growth Guidance
GitLab posted upbeat earnings for the fourth quarter, with both revenue and earnings per share exceeding analysts’ expectations. The company guided fiscal 2027 revenue growth to mid-single digits, prompting major brokerages to slash price targets and trim forward earnings estimates by double-digit percentages.
1. Fourth-Quarter Results
GitLab posted upbeat earnings for the fourth quarter, with both revenue and earnings per share exceeding analysts’ expectations.
2. Fiscal 2027 Outlook
The company guided fiscal 2027 revenue growth to mid-single digits, signaling a marked slowdown from its recent high-growth trajectory.
3. Analyst Revisions
In response to the softer outlook, major brokerages slashed price targets and trimmed forward earnings estimates by double-digit percentages.
4. Stock Reaction
Shares declined in extended trading, deepening the stock’s slide as investors reassess growth prospects amid broader AI-driven sector pressures.