GitLab rises after upbeat Q2 results

Shares of software development firm GitLab GTLB.O rise ~17% to $53 in extended trading after the company reported stronger-than-expected second-quarter results.

• Reports Q2 revenue of $286.3 million, compared with analysts' estimate of $273.1 million.
• Posts Q2 adjusted earnings per share of 24 cents, above analysts' average expectations of 18 cents.
• CEO Bill Staples said the growing use of AI in software development is increasing demand for GitLab's security, governance and control tools.
• Expects full-year adjusted earnings per share in the range of 85 cents to 87 cents.
• Median PT of 29 brokerages covering the stock is $40, according to data compiled by LSEG.
• Up to last close, stock was up ~20% year to date.