Barclays Turns Cautious on GitLab Inc. (GTLB) Amid Growth and Competitive Concerns

On January 12, Barclays expert Raimo Lenschow downgraded GitLab Inc. (NASDAQ:GTLB) to Underweight from Equal Weight and lowered the firm’s terms people to $34 from $42 arsenic portion of its 2026 bundle assemblage outlook. While Barclays sees a broadly favorable backdrop for bundle successful 2026—supported by unchangeable macro conditions, dependable IT spending, and compressed valuations—the steadfast expects GitLab to look company-specific headwinds. These see maturation deceleration arsenic anterior pricing actions are lapped, alongside concerns astir absorption turnover and an progressively competitory and fast-evolving DevSecOps landscape, which Barclays believes could measurement connected the stock’s near-term setup.

Operationally, GitLab Inc. (NASDAQ:GTLB) continued to present coagulated results successful the astir caller quarter. During its 3rd 4th fiscal twelvemonth 2026 net call, the institution reported gross of $244 million, representing 25% year-over-year maturation and exceeding the apical extremity of its guidance by 2 percent points. The show highlights ongoing lawsuit request for GitLab’s unified DevSecOps platform, adjacent arsenic the institution navigates a much normalized maturation situation pursuing respective years of elevated expansion.

GitLab is an all-remote bundle institution founded successful 2011 and headquartered successful San Francisco, offering an open-core level that integrates planning, development, security, and operations into a azygous application. While Barclays’ downgrade reflects expectations for moderating maturation and execution risks, GitLab Inc. (NASDAQ:GTLB)’s quality to consistently outperform guidance suggests the concern remains fundamentally resilient.

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