Truist downgraded GitLab (GTLB) to Hold from Buy with a price target of $44, down from $55. Truist sees the company facing low visibility and heightened execution risk in the face of a business model transition that is being forced by secular changes in the developer tools landscape, the analyst tells investors in a research note. GitHub’s enterprise tier remains priced well below GitLab’s at $29/seat, making it difficult for customers to justify paying an ever-expanding premium in what is a best-of-breed approach to DevOps, the firm adds.
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