Morgan Stanley has revised its price target for GitLab (GTLB, Financial), lowering it from $77 to $53. Despite this adjustment, the firm maintains an Overweight rating for the company's shares.
The decision to alter GitLab's price target is part of a broader strategy employed by Morgan Stanley, as they evaluate the risk and reward balance for various software companies. This reassessment is driven by uncertainties surrounding tariff risks and their potential effects, which have become increasingly significant for investors. The adjustment reflects the potential impact of these risks and the extent to which they may already be factored into stock valuations.
The revised target and ongoing Overweight rating suggest that Morgan Stanley still sees potential in GitLab despite current market challenges, hinting at confidence in the company's long-term prospects.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 26 analysts, the average target price for GitLab Inc (GTLB, Financial) is $76.70 with a high estimate of $90.00 and a low estimate of $58.00. The average target implies an upside of 79.33% from the current price of $42.77. More detailed estimate data can be found on the GitLab Inc (GTLB) Forecast page.
Based on the consensus recommendation from 29 brokerage firms, GitLab Inc's (GTLB, Financial) average brokerage recommendation is currently 1.9, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for GitLab Inc (GTLB, Financial) in one year is $93.56, suggesting a upside of 118.75% from the current price of $42.77. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the GitLab Inc (GTLB) Summary page.
