UBS Group Has Lowered Expectations for UiPath (NYSE:PATH) Stock Price

Key Points

• UBS lowered UiPath’s price target from $19 to $15 and maintained a “Neutral” rating, implying roughly 13% upside from the stock’s current price.
• Analyst sentiment remains cautious, with a consensus “Hold” rating and average price target of $16.56; 16 analysts recommend holding the stock, compared with three Buy ratings and one Sell rating.
• UiPath’s latest results exceeded revenue expectations, with revenue rising 13.3% year over year to $410.26 million, though insiders sold about $24.7 million of stock over the past three months.

UiPath (NYSE:PATH - Get Free Report) had its price objective cut by research analysts at UBS Group from $19.00 to $15.00 in a note issued to investors on Wednesday, Benzinga reports. The firm currently has a "neutral" rating on the stock. UBS Group's target price suggests a potential upside of 13.11% from the stock's current price.

A number of other research analysts have also recently commented on PATH. Canaccord Genuity Group restated a "hold" rating and issued a $17.00 price target (up from $15.00) on shares of UiPath in a research report on Friday, September 4th. Wells Fargo & Company upped their target price on UiPath from $13.00 to $15.00 and gave the stock an "equal weight" rating in a research note on Friday, September 4th. Oppenheimer reiterated a "market perform" rating on shares of UiPath in a research note on Friday, September 4th. Bank of America upped their price objective on shares of UiPath from $13.00 to $15.00 and gave the stock an "underperform" rating in a research report on Friday, September 4th. Finally, Barclays raised their target price on shares of UiPath from $14.00 to $17.00 and gave the company an "equal weight" rating in a research report on Friday, September 4th. Three analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $16.56.

UiPath Stock Performance

UiPath stock opened at $13.26 on Wednesday. The stock has a 50-day simple moving average of $14.49 and a 200 day simple moving average of $12.22. The stock has a market capitalization of $6.91 billion, a P/E ratio of 19.79, a PEG ratio of 1.33 and a beta of 1.02. UiPath has a 52 week low of $9.20 and a 52 week high of $19.84.

UiPath (NYSE:PATH - Get Free Report) last released its quarterly earnings results on Thursday, September 3rd. The company reported $0.15 earnings per share for the quarter, meeting the consensus estimate of $0.15. UiPath had a net margin of 21.03% and a return on equity of 9.70%. The firm had revenue of $410.26 million for the quarter, compared to analysts' expectations of $397.77 million. During the same period in the prior year, the firm earned $0.15 EPS. The business's revenue was up 13.3% on a year-over-year basis. Research analysts forecast that UiPath will post 0.47 earnings per share for the current year.

Insider Buying and Selling

In other UiPath news, COO Ashim Gupta sold 117,339 shares of UiPath stock in a transaction dated Friday, September 11th. The stock was sold at an average price of $13.85, for a total transaction of $1,625,145.15. Following the transaction, the chief operating officer directly owned 2,037,377 shares of the company's stock, valued at approximately $28,217,671.45. The trade was a 5.45% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Daniel Dines sold 1,402,347 shares of the firm's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $16.07, for a total value of $22,535,716.29. Following the transaction, the chief executive officer owned 26,491,238 shares of the company's stock, valued at $425,714,194.66. This trade represents a 5.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 1,560,150 shares of company stock valued at $24,727,357 in the last three months. Insiders own 22.44% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Trifecta Capital Advisors LLC purchased a new position in UiPath during the 2nd quarter valued at about $27,000. AdvisorNet Financial Inc grew its position in shares of UiPath by 750.0% during the 1st quarter. AdvisorNet Financial Inc now owns 3,400 shares of the company's stock valued at $38,000 after purchasing an additional 3,000 shares in the last quarter. REAP Financial Group LLC bought a new stake in UiPath during the fourth quarter valued at $44,000. Global Retirement Partners LLC purchased a new position in UiPath during the second quarter worth about $57,000. Finally, EverSource Wealth Advisors LLC increased its stake in UiPath by 36.5% in the 4th quarter. EverSource Wealth Advisors LLC now owns 4,968 shares of the company's stock worth $81,000 after acquiring an additional 1,329 shares during the last quarter. 62.50% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about UiPath

Here are the key news stories impacting UiPath this week:

• Positive Sentiment: Needham reaffirmed its “Buy” rating and $22 price target, implying substantial upside from recent trading levels. The bullish view provides support for PATH and reflects confidence in UiPath’s long-term growth prospects. Benzinga analyst rating article
• Positive Sentiment: Some valuation analysis suggests UiPath may be undervalued based on its cash-flow potential. The company also trades at a lower earnings multiple than the S&P 500 median despite its software growth profile. UiPath stock valuation article
• Positive Sentiment: Technical commentary points to a potential breakout after recent consolidation below $14, while UiPath’s agentic automation and enterprise RPA positioning continue to attract investor attention. UiPath breakout signal article
• Neutral Sentiment: UiPath’s Analyst/Investor Day slideshow offers investors additional information on its strategy and outlook, but the available report does not identify a specific new financial catalyst. UiPath Analyst Investor Day slideshow
• Negative Sentiment: Investors remain concerned that artificial intelligence could eventually pressure UiPath’s traditional automation business, even though current operating results have not yet shown a material impact. The stock has pulled back sharply from its recent high, increasing focus on this risk. UiPath AI risk and valuation article
• Negative Sentiment: CTO Raghavendra Malpani sold 40,464 shares for approximately $566,000, reducing his direct ownership by 2.49%. While the sale is modest relative to his remaining stake, insider selling can weigh on sentiment. UiPath insider sale report

About UiPath

UiPath Inc NYSE: PATH develops enterprise automation software designed to help organizations automate repetitive, rules-based and increasingly complex business processes. Its platform combines robotic process automation (RPA), artificial intelligence, workflow orchestration and process intelligence to support automation across areas such as finance, customer service, human resources, information technology and operations.

The UiPath Platform includes tools for discovering and analyzing business processes, building and managing software robots, processing documents, testing applications and coordinating automated workflows.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.