On September 2, GitLab, Inc. surged 20.72% in regular trading, trading at $52.5/share, with turnover of $143 million. The rally was driven by the company's FY2027 Q2 earnings report, which comprehensively beat market expectations while management raised full-year guidance.

GitLab reported Q2 revenue of $286.3 million, up 21.3% year-over-year, exceeding consensus estimates by approximately $13 million. Adjusted EPS came in at $0.24, beating the $0.18 estimate by 33%. Net ARR growth exceeded 40%, and gross bookings hit an all-time record, with management calling the quarter a significant inflection point. On the AI front, the Duo Agent Platform's paid CRR grew 50% quarter-over-quarter, while GitLab Orbit's public beta attracted over 2,200 organizations, up 70% in four weeks.

The company raised its full-year FY2027 revenue guidance to $1.129–1.133 billion, above the prior Street estimate of $1.115 billion, and lifted adjusted EPS guidance to $0.85–0.87 versus the $0.81 consensus. Multiple analysts subsequently raised price targets, with Truist lifting its target to $48 and William Blair upgrading the stock.

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