Whetstone Capital Fully Exits GitLab Position
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 26 2026
0mins
Should l Buy GTLB?
Source: NASDAQ.COM
- Share Sale Details: Whetstone Capital Advisors sold all 192,532 shares of GitLab, with an estimated transaction value of $8.68 million, reflecting a significant decline in confidence towards GitLab, resulting in a quarter-end position value drop to zero.
- Asset Management Impact: This transaction represented 2.7% of Whetstone's 13F reportable AUM, down from 2.4% previously, indicating a notable shift in the fund's investment strategy regarding GitLab.
- Market Performance Analysis: As of February 12, 2026, GitLab shares were priced at $29.58, down 57.6% over the past year and lagging the S&P 500 by 70.5 percentage points, suggesting low market expectations for its future growth.
- Strategic Development Challenges: As a leading provider of DevOps lifecycle software, GitLab faces pressures from AI-assisted coding and the need for enterprises to simplify fragmented toolchains, necessitating a conversion of AI integration and customer engagement into sustained enterprise growth while maintaining operational leverage.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy GTLB?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on GTLB
Wall Street analysts forecast GTLB stock price to rise
24 Analyst Rating
13 Buy
10 Hold
1 Sell
Moderate Buy
Current: 22.360
Low
34.00
Averages
50.86
High
72.00
Current: 22.360
Low
34.00
Averages
50.86
High
72.00
About GTLB
GitLab Inc. provides DevSecOps Platform, is built on a single codebase, unified data model, and user interface. The Company offers customers flexible deployment options, including a self-managed offering, as well as multi-tenant and single-tenant (GitLab Dedicated) software-as-a-service (SaaS) solutions. It offers the DevSecOps Platform in three different subscription tiers, namely Free, Premium and Ultimate. The DevSecOps Platform enables its customers to move their DevOps workflow across any hybrid or multi-cloud environment. Its subscription plans are available as a self-managed offering that customers download to run in their own on-premises environment or hybrid cloud environments, and also a SaaS offering, which is offered as either multi-tenant or single-tenant (called GitLab Dedicated). The Company also provides related training and professional services. Its SaaS products provide access to hosted software as well as support.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Bank of America Adjusts Ratings on Twilio and GitLab
- Twilio Upgrade: Bank of America upgraded Twilio from Underperform to Buy, citing the company's potential as a key infrastructure player for AI-driven voice and messaging applications, with projected gross profit growth of 10% year-over-year for FY28E, indicating strong growth prospects.
- Cash Flow Improvement: Analysts expect Twilio's free cash flow margin to expand to 21.9% in FY28E from 18.6% in FY26E, demonstrating ongoing improvements in profitability and cash flow management, which could enhance investor confidence.
- GitLab Downgrade: Bank of America downgraded GitLab from Buy to Neutral, indicating that the risk-reward profile is now balanced until there is strong evidence that its orchestration software development strategy is effective, reflecting market caution regarding its growth outlook.
- Price Target Adjustments: Twilio's price target was raised from $110 to $190, reflecting analysts' optimism about its future performance, while GitLab's target was lowered from $58 to $27, highlighting concerns about its growth trajectory.
See More
GITLAB INC: BOFA GLOBAL RESEARCH Downgrades to Neutral from Buy; Lowers Price Target to $27 from $58
Company Announcement: GitLab has announced a significant reduction in its workforce, impacting its global research team.
Financial Update: The company has also lowered its price objective for its stock from $58 to $27.
See More
Stock Futures Edge Up as GitLab Shares Surge on AWS Partnership
- GitLab Partnership Expansion: GitLab shares surged 5% after expanding its partnership with Amazon Web Services, allowing customers to run the GitLab Duo Agent Platform through existing AWS accounts, which simplifies AI adoption and strengthens GitLab's position in enterprise AI workflows.
- Adobe Buyback Authorization: Adobe's stock rose 3% following the announcement of a new $25 billion share repurchase authorization through April 2030, signaling confidence in its cash flow strength and long-term growth strategy while supporting investments in AI-driven innovation.
- Target Hospitality Stock Plunge: Target Hospitality shares fell 10% after pricing a 7 million share secondary offering at $14 per share, with all proceeds going to selling shareholders, raising concerns about supply overhang and lack of direct capital benefit to the business, pressuring the stock.
- Sonoco Cautious Outlook: Sonoco's stock slid 7% after delivering in-line Q1 results but signaling a more cautious outlook, as management guided toward the low end of its full-year profit range, indicating growing macro pressure despite maintaining sales and cash flow guidance.
See More
GitLab Expands AI Capabilities Through AWS Partnership
- AI Capability Expansion: GitLab has strengthened its position in the DevSecOps landscape by integrating with Amazon Web Services (AWS), allowing joint customers to run GitLab Duo on existing AWS infrastructure without adding new vendors, thus optimizing cloud budget utilization.
- Stock Downgrade Impact: RBC Capital downgraded GitLab's stock rating to 'neutral' and cut the price target from $33 to $25, citing macroeconomic and competitive pressures that are expected to negatively impact near-term performance.
- Revenue Growth Slowdown: GitLab's revenue growth forecast for FY2027 has been lowered to 15%-17% from 26% in FY2026, leading to a 17% drop in stock price in March, reflecting investor concerns about the company's outlook.
- Market Sentiment Shift: Despite a premarket gain of over 4% on Wednesday, retail sentiment around GitLab shifted from 'bullish' to 'neutral', with a 66% increase in message volume within 24 hours, indicating cautious market sentiment regarding the company's future prospects.
See More
GitLab Stock Plummets Over 40% Amid Analyst Downgrades and AI Concerns
- Stock Performance: GitLab's stock has plummeted over 40% year-to-date, despite its platform being favored for securely creating and storing software code, indicating market concerns about its future growth prospects.
- Analyst Rating Changes: UBS initiated coverage with a neutral rating on GitLab, noting no signs of customers wanting to switch platforms, reflecting analysts' worries about the AI disruption narrative until growth estimates are revised upward.
- Financial Metrics Analysis: Despite GitLab projecting a revenue growth of 15% to 17% this year, its forward price-to-sales ratio stands at only 3 times, with cash constituting a third of its market cap, indicating severe undervaluation, as its EV/S multiple is just 2 times, well below SaaS industry averages.
- Stable Customer Base: GitLab primarily serves large clients in highly regulated sectors like banking, manufacturing, and government, which prioritize security and compliance, significantly reducing the likelihood of AI disruption, while the company remains deeply entrenched within its customer base, suggesting future growth potential.
See More
GitLab Stock Plummets Amid AI Disruption Concerns
- Stock Performance Decline: GitLab's stock has plummeted over 40% year-to-date, despite a projected 19% revenue growth this year, indicating a pessimistic market sentiment that could undermine investor confidence and financing capabilities.
- Analyst Downgrade: Guggenheim downgraded GitLab from buy to neutral, despite its impressive 90% gross margin and 15% to 17% revenue growth forecast, reflecting concerns over the potential disruptive impact of AI, which may lead investors to adopt a cautious outlook on its future performance.
- Stable Customer Base: GitLab primarily serves large clients in heavily regulated industries such as banking, manufacturing, and government, which prioritize security and compliance, resulting in a business model focused on on-premises deployment that mitigates the likelihood of AI disruption, showcasing its competitive advantage in specific markets.
- Strong Cash Flow Position: With over a third of its market capitalization in cash and an enterprise value-to-sales ratio of only 2 times, significantly below the SaaS industry average, GitLab demonstrates financial health and growth potential that remains attractive to investors.
See More
Bank of America Adjusts Ratings on Twilio and GitLab
- Twilio Upgrade: Bank of America upgraded Twilio from Underperform to Buy, citing the company's potential as a key infrastructure player for AI-driven voice and messaging applications, with projected gross profit growth of 10% year-over-year for FY28E, indicating strong growth prospects.
- Cash Flow Improvement: Analysts expect Twilio's free cash flow margin to expand to 21.9% in FY28E from 18.6% in FY26E, demonstrating ongoing improvements in profitability and cash flow management, which could enhance investor confidence.
- GitLab Downgrade: Bank of America downgraded GitLab from Buy to Neutral, indicating that the risk-reward profile is now balanced until there is strong evidence that its orchestration software development strategy is effective, reflecting market caution regarding its growth outlook.
- Price Target Adjustments: Twilio's price target was raised from $110 to $190, reflecting analysts' optimism about its future performance, while GitLab's target was lowered from $58 to $27, highlighting concerns about its growth trajectory.
See More
GITLAB INC: BOFA GLOBAL RESEARCH Downgrades to Neutral from Buy; Lowers Price Target to $27 from $58
Company Announcement: GitLab has announced a significant reduction in its workforce, impacting its global research team.
Financial Update: The company has also lowered its price objective for its stock from $58 to $27.
See More
Stock Futures Edge Up as GitLab Shares Surge on AWS Partnership
- GitLab Partnership Expansion: GitLab shares surged 5% after expanding its partnership with Amazon Web Services, allowing customers to run the GitLab Duo Agent Platform through existing AWS accounts, which simplifies AI adoption and strengthens GitLab's position in enterprise AI workflows.
- Adobe Buyback Authorization: Adobe's stock rose 3% following the announcement of a new $25 billion share repurchase authorization through April 2030, signaling confidence in its cash flow strength and long-term growth strategy while supporting investments in AI-driven innovation.
- Target Hospitality Stock Plunge: Target Hospitality shares fell 10% after pricing a 7 million share secondary offering at $14 per share, with all proceeds going to selling shareholders, raising concerns about supply overhang and lack of direct capital benefit to the business, pressuring the stock.
- Sonoco Cautious Outlook: Sonoco's stock slid 7% after delivering in-line Q1 results but signaling a more cautious outlook, as management guided toward the low end of its full-year profit range, indicating growing macro pressure despite maintaining sales and cash flow guidance.
See More
GitLab Expands AI Capabilities Through AWS Partnership
- AI Capability Expansion: GitLab has strengthened its position in the DevSecOps landscape by integrating with Amazon Web Services (AWS), allowing joint customers to run GitLab Duo on existing AWS infrastructure without adding new vendors, thus optimizing cloud budget utilization.
- Stock Downgrade Impact: RBC Capital downgraded GitLab's stock rating to 'neutral' and cut the price target from $33 to $25, citing macroeconomic and competitive pressures that are expected to negatively impact near-term performance.
- Revenue Growth Slowdown: GitLab's revenue growth forecast for FY2027 has been lowered to 15%-17% from 26% in FY2026, leading to a 17% drop in stock price in March, reflecting investor concerns about the company's outlook.
- Market Sentiment Shift: Despite a premarket gain of over 4% on Wednesday, retail sentiment around GitLab shifted from 'bullish' to 'neutral', with a 66% increase in message volume within 24 hours, indicating cautious market sentiment regarding the company's future prospects.
See More
GitLab Stock Plummets Over 40% Amid Analyst Downgrades and AI Concerns
- Stock Performance: GitLab's stock has plummeted over 40% year-to-date, despite its platform being favored for securely creating and storing software code, indicating market concerns about its future growth prospects.
- Analyst Rating Changes: UBS initiated coverage with a neutral rating on GitLab, noting no signs of customers wanting to switch platforms, reflecting analysts' worries about the AI disruption narrative until growth estimates are revised upward.
- Financial Metrics Analysis: Despite GitLab projecting a revenue growth of 15% to 17% this year, its forward price-to-sales ratio stands at only 3 times, with cash constituting a third of its market cap, indicating severe undervaluation, as its EV/S multiple is just 2 times, well below SaaS industry averages.
- Stable Customer Base: GitLab primarily serves large clients in highly regulated sectors like banking, manufacturing, and government, which prioritize security and compliance, significantly reducing the likelihood of AI disruption, while the company remains deeply entrenched within its customer base, suggesting future growth potential.
See More
GitLab Stock Plummets Amid AI Disruption Concerns
- Stock Performance Decline: GitLab's stock has plummeted over 40% year-to-date, despite a projected 19% revenue growth this year, indicating a pessimistic market sentiment that could undermine investor confidence and financing capabilities.
- Analyst Downgrade: Guggenheim downgraded GitLab from buy to neutral, despite its impressive 90% gross margin and 15% to 17% revenue growth forecast, reflecting concerns over the potential disruptive impact of AI, which may lead investors to adopt a cautious outlook on its future performance.
- Stable Customer Base: GitLab primarily serves large clients in heavily regulated industries such as banking, manufacturing, and government, which prioritize security and compliance, resulting in a business model focused on on-premises deployment that mitigates the likelihood of AI disruption, showcasing its competitive advantage in specific markets.
- Strong Cash Flow Position: With over a third of its market capitalization in cash and an enterprise value-to-sales ratio of only 2 times, significantly below the SaaS industry average, GitLab demonstrates financial health and growth potential that remains attractive to investors.
See More
