Does GitLab’s Agentic AI Pivot and Pricing Shift Reframe The Bull Case For GTLB?

• In early February 2026, GitLab Inc. hosted its GitLab Transcend virtual event and related calls to showcase how its Intelligent Orchestration and agentic AI capabilities can automate software delivery while preserving security, compliance, and governance.
• The company also launched initiatives such as an AI agent hackathon and a forthcoming assessment program, underscoring a broader shift toward AI-led workflows and away from traditional seat-based models that many analysts now see as critical to its long-term business model.
• We’ll now examine how GitLab’s push into agentic AI and reduced reliance on seat-based pricing could reshape its existing investment narrative.

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GitLab Investment Narrative Recap

To own GitLab today, you really need to believe its all-in-one DevSecOps platform can stay relevant as AI reshapes software development and pricing models. The near term hinge point is whether GitLab’s Duo Agent Platform and Intelligent Orchestration can drive meaningful AI usage without relying on traditional seat-based pricing, while the biggest risk remains intensifying AI competition from larger platforms like GitHub. Recent analyst target cuts highlight concern, but do not fundamentally change that core debate.

The GitLab Transcend event is especially relevant here because it put agentic AI and usage-based monetization at center stage through Intelligent Orchestration, the Duo Agent Platform, and an AI agent hackathon. These initiatives speak directly to the key catalyst of AI-led workflows potentially boosting adoption of higher value tiers and usage credits, even as the company works through execution risk from new pricing models and a refreshed leadership team.

Yet beneath this AI story, investors should also be aware of how growing AI tool fragmentation could quietly weaken GitLab’s pricing power and platform stickiness over time...

Read the full narrative on GitLab (it's free!)

GitLab's narrative projects $1.4 billion revenue and $189.5 million earnings by 2028. This requires 21.6% yearly revenue growth and an earnings increase of about $176.5 million from $13.0 million today.

Uncover how GitLab's forecasts yield a $51.15 fair value, a 73% upside to its current price.

Exploring Other Perspectives

Some of the most cautious analysts were already assuming about US$1.4 billion of revenue and US$189.9 million of earnings by 2028, which shows how different your view can be on whether AI competition fragments the toolchain or reinforces GitLab’s unified platform story as new events like Transcend play out.

Explore 22 other fair value estimates on GitLab - why the stock might be worth over 5x more than the current price!

Build Your Own GitLab Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your GitLab research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free GitLab research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate GitLab's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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