Reddit’s WallStreetBets is Buying These 5 Stocks in September

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In this article, we will look at the 5 stocks that Redditors of WallStreetBets are buying in September. If you want to explore more stocks that Redditors are bullish on in September, you can also take a look at Reddit’s WallStreetBets is Buying These 10 Stocks in September.

5. GitLab Inc. (NASDAQ:GTLB)

Number of Hedge Fund Holders: 36

GitLab Inc. (NASDAQ:GTLB) is a DevOps company that has operations in the United States, Europe, and the Asia Pacific. Redditors are buying GitLab Inc. (NASDAQ:GTLB) in September and see potential in the company to “take off”, after it reported a market-beating quarter on September 6, when it announced earnings for the second quarter of fiscal 2023. The company generated a revenue of $101 million and beat analyst expectations by $6.6 million. GitLab Inc. (NASDAQ:GTLB) reported a loss per share of $0.15 but outperformed Wall Street consensus by $0.08.

On September 7, Needham analyst Mike Cikos revised his price target on GitLab Inc. (NASDAQ:GTLB) to $60 from $70 and reiterated a Buy rating on the shares. The analyst noted that the company reported a strong quarter and showed resilience to the broader economic downturn.

At the close of Q2 2022, 36 hedge funds were long GitLab Inc. (NASDAQ:GTLB) and held stakes worth $718 million in the company. This is compared to 30 positions in the previous quarter with stakes worth $640 million. The hedge fund sentiment for the stock is positive.

As of June 30, HMI Capital is the largest shareholder in GitLab Inc. (NASDAQ:GTLB) and owns over 2.6 million shares of the company. The fund’s stakes are valued at $141.8 million.

Here is what Baron Funds had to say about GitLab Inc. (NASDAQ:GTLB) in its second-quarter 2022 investor letter:

“Shares of GitLab Inc., a leading software tools development platform, outperformed in the quarter after reporting strong quarterly results with 75% year-over-year revenue growth while raising annual guidance to over 58% growth. The results were driven by robust net new customer wins with base customers growing 64% year-over-year while existing customers continue expanding rapidly. We continue to believe GitLab’s easy-to-use and open development platform, combined with its disruptive pricing model, position the company well for continued market share gains.”

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