GitLab Stock Drops on Conservative Guidance. Here's Why This Pullback Looks Like a Buying Opportunity.
Shares of GitLab (NASDAQ: GTLB) sank after the company issued conservative guidance. The stock is now down more than 20% on the year.However, the sell-off looks overdone for a company that has consistently delivered strong revenue growth and increasing profitability.For those unfamiliar with GitLab, it operates a DevSecOps (development, security, and operations) platform that helps customers develop software while embedding cybersecurity features into all stages of the process. The company has been an artificial intelligence (AI) beneficiary, as AI has led to customers increasing their software development. The company has also been seeing customers flock to upgrade to higher-tier platforms and GitLab Duo, an AI assistant that provides coding suggestions and automation to help speed up development.Continue reading
Shares of GitLab (NASDAQ: GTLB) sank after the company issued conservative guidance. The stock is now down more than 20% on the year.
However, the sell-off looks overdone for a company that has consistently delivered strong revenue growth and increasing profitability.
For those unfamiliar with GitLab, it operates a DevSecOps (development, security, and operations) platform that helps customers develop software while embedding cybersecurity features into all stages of the process. The company has been an artificial intelligence (AI) beneficiary, as AI has led to customers increasing their software development. The company has also been seeing customers flock to upgrade to higher-tier platforms and GitLab Duo, an AI assistant that provides coding suggestions and automation to help speed up development.
