Why Is GitLab (GTLB) Stock Down 32% Today?


  • GitLab (GTLB) stock is falling alongside its latest earnings report.
  • The company posted poor revenue outlooks in that report.
  • That’s despite strong earnings per share and revenue beats for the quarter.
GTLB Stock - Why Is GitLab (GTLB) Stock Down 32% Today?

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GitLab (NASDAQ:GTLB) stock is taking a beating on Tuesday following the release of the software company’s earnings report for its fiscal fourth quarter of 2023.

The bad news pulling down GTLB stock today is the company’s latest revenue outlooks. Starting with its outlook for the first quarter of fiscal 2024, it expects revenue to range from $117 million to $118 million. That would see it missing Wall Street’s estimate of $126.18 million for the quarter.

Next up is GitLab’s revenue estimate of $529 million to $533 million for the full year of fiscal 2024. Yet again, that doesn’t look good next to analysts’ revenue estimate of $586.42 million for the period.

More GLTB Stock Earnings News

That poor revenue guidance is holding down GTLB stock despite other positives today. That includes its earnings per share outlooks for fiscal Q1 2024 and the full year of 2024 being above Wall Street’s estimates.

It’s also worth noting that GTLB reported adjusted EPS of -3 cents on revenue of $122.9 million in its latest earnings report. Both of these beat out analysts’ estimates of -14 cents per share and revenue of $119.59 million for the quarter. Those were also both improvements over the -16 cents per share and $77.8 million in revenue reported in the same period of the year prior.

GTLB stock is down 32.2% in pre-market trading on Tuesday!

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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Article printed from InvestorPlace Media, https://investorplace.com/2023/03/why-is-gitlab-gtlb-stock-down-32-today/.

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