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GitLab

GTLB
32
Software - Application · Technology
Price
$32.72
+0.96 (+3.04%)
Market Cap
$5.53B
Exchange
NASDAQ
Winston Score
32
Winston is serious
Below-average fundamentals — multiple weak pillars.

Share count rising — dilution

+14.6% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 144.7M (2022) → 165.8M (2026)

GitLab Inc., through its subsidiaries, develops software for the software development lifecycle in the United States, Europe, and the Asia Pacific. The company offers GitLab, a DevOps platform, which is a single application that leads to faster cycle time and allows visibility throughout and control over various stages of the DevOps lifecycle. It helps organizations to plan, build, secure, and deploy software to drive business outcomes. The company also provides related training and professional

Winston Score History

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Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+23.2% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

-122.0% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$275M/ year

Rising (+15% vs prior year)

28.7% of revenue

1.9x the sector average (15%)

Investing heavily in future products and technology

Insider Activity

16.8%ownership

Insiders own a meaningful stake in the company

Cash Position

Cash flow positive

$230M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Heavy R&D investment

GitLab is putting 29% of revenue into R&D and that number is rising. That's 1.9x the sector average. And they're generating enough cash to self-fund it.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
86.6%
Premium pricing power — 86.6% gross margin
Operating Margin
-1.3%
Losing money on operations — -1.3%
ROCE
-0.3%
Weak — -0.3% return on capital

Negative ROIC means the business is losing money on every dollar invested in it.

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Growth

Sales YoY
+25.8%
Fast-growing sales (25.8% YoY)
EPS YoY
N/A
Data not available
EPS Consistency
2/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
N/A
Data not available
FCF Margin
18.8%
Converts sales into free cash efficiently (18.8%)

FCF margin between 10% and 20%. Every $100 in sales becomes $10 to $20 in real cash.

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Stability

Debt / Equity
N/A
Data not available
Interest Cover
N/A
Data not available

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Valuation

P/E Ratio (TTM)
N/M
Negative earnings — P/E not meaningful
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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