Unlocking Enterprise Tech's Future: GitLab, SailPoint, and Meta's AGI Playbook

As enterprises accelerate their digital transformations, two critical themes dominate: identity security and AI-driven innovation. Companies like GitLab (GTLB), SailPoint (SAIL), and Meta Platforms (META) are at the forefront of these trends, but their valuations and near-term challenges present asymmetric opportunities. Let's dissect the data to uncover why these stocks could thrive in 2025—and why now might be the time to act.

GitLab: A Buying Opportunity in the Open-Source Cloud Era

GitLab's Q1 FY2026 results reflect strong execution, with $214.5 million in revenue up 27% year-over-year. Subscription revenue (its core business) grew 28.6%, while non-GAAP operating margins turned positive at 12%, a stark improvement from -2% in 2024. The company's $955.1 million in RPO (Revenue Performance Obligation) signals robust customer commitments, particularly among enterprises, where >$100,000 ARR customers rose 26% year-over-year.

Yet shares fell 13% post-earnings due to cautious guidance: Q2 revenue is projected at $226–227 million (24–25% growth), and full-year revenue at $936–942 million (+22% growth). This moderation reflects macroeconomic risks and a declining net retention rate (122% vs. 129% in 2024), hinting at potential enterprise budget constraints.

Why buy now?
- Margin expansion: Non-GAAP operating income is expected to hit $117–121 million for 2026, up from $26.1 million in Q1.
- Strategic differentiation: GitLab 18's AI-native features and FedRAMP compliance for government cloud offerings open new markets.
- Valuation: At $11.2 billion market cap, GitLab trades at just 12.2x 2026E revenue—cheap relative to peers like Atlassian (TSLF) or Twilio (TWLO).

Risk: If customer retention weakens further, growth could slow.

SailPoint: The Undervalued Leader in Identity-Driven Cybersecurity

SailPoint's Q1 results underscore its strategic shift to SaaS, with total ARR hitting $925 million (+30% YoY), driven by $574 million in SaaS ARR (up 39%). The company's focus on high-value enterprise customers—those with >$1 million ARR grew 62% YoY—highlights a flywheel of upselling and retention.

Despite GAAP losses (due to stock-based compensation and IPO-related costs), adjusted operating income rose to $24 million (10% of revenue), matching prior-year margins. Full-year guidance calls for $1.095–1.105 billion in ARR (+25–26% YoY) and $1.034–1.044 billion in revenue (+20–21% YoY).

Why SailPoint is underappreciated:
- Margin stability: Adjusted margins are on track to hit 15–16% in 2026, suggesting profitability is sustainable.
- Market tailwinds: Identity security is a $50 billion+ market, growing at 15% CAGR as enterprises prioritize zero-trust frameworks.
- Stock value: At $12.5 billion market cap, SailPoint trades at 13.5x 2026E revenue—reasonable given its ARR growth and enterprise dominance.

Risk: GAAP losses may deter short-term traders, but non-GAAP metrics tell the real story.

Meta's $10B Scale AI Bet: AGI's Coming-of-Age Moment

Meta's potential $10–15 billion investment in Scale AI—a leader in data labeling for AI training—signals a bold pivot toward artificial general intelligence (AGI). The deal would value Scale AI at ~$28 billion and give Meta a 49% stake, avoiding regulatory hurdles of a full acquisition.

Strategic significance:
- Scale AI's role: Data labeling is foundational for training robust AI models. Meta's AGI lab, led by Scale's co-founder Alexandr Wang, aims to build systems capable of reasoning across tasks, not just specific functions.
- Competitive edge: Meta is racing to counter OpenAI and DeepSeek in the AGI race. This deal positions it to control data pipelines and accelerate innovation.
- Market ripple effects: Meta's move could spark a wave of corporate investments in AI infrastructure, benefiting companies like NVIDIA (NVDA) and C3.ai (AI).

Why this matters for investors:
- Long-term upside: AGI could redefine industries from healthcare to logistics. Meta's early bets could pay dividends in the next decade.
- Near-term catalyst: The deal's announcement alone could stabilize Meta's stock, which has lagged peers amid ad revenue headwinds.

The Investment Thesis: Enterprise Tech Resilience + AI Innovation = Asymmetric Risk-Reward

• GitLab: Buy dips below $25. Its margin expansion and product roadmap justify a 20–25% upside to $31–35 by year-end.
• SailPoint: Hold for the long term. Even if GAAP losses persist, its SaaS transition and enterprise moat make it a $15–18 stock by 2026.
• Meta: Accumulate on weakness below $220. The Scale AI deal is a strategic win, and its core ad business could stabilize in H2.

Final Take: These stocks represent critical pillars of the digital economy's future. GitLab and SailPoint are solving today's enterprise pain points, while Meta's AGI bet could define tomorrow's tech landscape. For investors willing to look past near-term noise, 2025 is the year to build positions in companies that are redefining security and intelligence in the cloud era.

Invest wisely—this is a time to bet on the builders.