What Makes GitLab (GTLB) an Attractive Investment Opportunity?

2 hours ago 1

Soumya Eswaran

Fri, March 13, 2026 astatine 8:57 AM CDT 3 min read

Madison Investments, an concern advisor, released its fourth-quarter 2025 capitalist missive for “Madison Small Cap Fund”. A transcript of the missive tin beryllium downloaded here. The 4th fourth was challenging for the money and continued to underperform its benchmark, the Russell 2000 Index. The money (Class I) returned -0.4%, lagging the benchmark’s 2.2% return. Sector allocation negatively impacted the Fund's show this quarter, with healthcare being the weakest sector. The Fund remains optimistic that the speculative marketplace is losing momentum, but cautious, fixed the saying “markets tin enactment irrational longer than you tin enactment solvent”. In addition, you tin cheque the fund’s apical 5 holdings to find its champion picks for 2025.

In its fourth-quarter 2025 capitalist letter, Madison Small Cap Fund highlighted GitLab Inc. (NASDAQ:GTLB). GitLab Inc. (NASDAQ:GTLB) develops bundle for the bundle improvement lifecycle that covers DevSecOps lifecycle stages. On March 12, 2026, GitLab Inc. (NASDAQ:GTLB) banal closed astatine $22.82 per share. One-month instrumentality of GitLab Inc. (NASDAQ:GTLB) was -22.77%, and its shares mislaid 56.18% implicit the past 52 weeks. GitLab Inc. (NASDAQ:GTLB) has a marketplace capitalization of $3.881 billion.

Madison Small Cap Fund stated the pursuing regarding GitLab Inc. (NASDAQ:GTLB) successful its 4th fourth 2025 capitalist letter:

"We initiated a caller concern presumption successful GitLab Inc. (NASDAQ:GTLB), a Dev/Sec/Ops (development/ security/operations) bundle level vendor that helps bundle developers plan, build, and show codification for caller and existing applications. Gitlab’s strategical bundle tools assistance developers negociate the full bundle improvement pipeline: From the readying signifier to the building, deployment, and monitoring stage, portion keeping proprietary bundle unafraid done the full improvement lifecycle. The institution has charismatic mid-teens operating margins, a pristine equilibrium sheet, and is increasing astatine a double-digit complaint successful a precise ample and increasing market. GitLab coexists successful an charismatic duopoly with Microsoft’s GitHub platform. We person invested alongside the precocious appointed CEO, Bill Staples, successful the past and judge he’s an fantabulous steward of capital. The banal has been nether terrible unit for immoderate time, mostly owed to the content that AI-powered “Vibe Coding” bundle companies volition displace GTLB solutions. We fundamentally cull this thesis and judge that arsenic bundle improvement becomes easier and much productive, much codification volition beryllium generated, expanding the request for planning, development, and monitoring tools similar GitLab’s, and volition yet marque GitLab more, not less, valuable. We estimation GTLB’s intrinsic worth is $75 per stock and that existent prices bespeak an charismatic concern opportunity."

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