UiPath (NYSE:PATH) Stock Rating Cut to "Strong Sell" at DA Davidson

Key Points

• DA Davidson downgraded UiPath to “strong sell” from “hold,” while the broader analyst consensus remains “hold” with a $15.69 target price.
• UiPath opened at $12.23, below its 50-day moving average of $14.53, despite reporting quarterly revenue of $410.26 million—above estimates—and 13.3% year-over-year growth.
• Insiders sold 1.56 million shares worth $24.7 million over the past 90 days, while institutional investors own 62.5% of the company.

UiPath (NYSE:PATH - Get Free Report) was downgraded by research analysts at DA Davidson from a "hold" rating to a "strong sell" rating in a report issued on Monday, Zacks reports.

PATH has been the topic of a number of other research reports. Mizuho upped their price target on shares of UiPath from $12.00 to $14.00 and gave the company a "neutral" rating in a research note on Friday, September 4th. BMO Capital Markets lowered their price objective on shares of UiPath from $18.00 to $15.00 and set a "market perform" rating for the company in a research note on Thursday, September 24th. Weiss Ratings raised shares of UiPath from a "hold (c-)" rating to a "hold (c)" rating in a report on Wednesday, September 9th. Bank of America upped their target price on UiPath from $13.00 to $15.00 and gave the company an "underperform" rating in a research report on Friday, September 4th. Finally, TD Cowen restated a "hold" rating and issued a $16.00 target price on shares of UiPath in a research note on Wednesday, September 23rd. Four analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $15.69.

UiPath Stock Performance

Shares of NYSE PATH opened at $12.23 on Monday. UiPath has a fifty-two week low of $9.20 and a fifty-two week high of $19.84. The company has a market cap of $6.37 billion, a PE ratio of 18.25, a P/E/G ratio of 1.17 and a beta of 1.02. The business has a 50-day simple moving average of $14.53 and a two-hundred day simple moving average of $12.24.

UiPath (NYSE:PATH - Get Free Report) last announced its quarterly earnings data on Thursday, September 3rd. The company reported $0.15 EPS for the quarter, meeting the consensus estimate of $0.15. The firm had revenue of $410.26 million during the quarter, compared to analyst estimates of $397.77 million. UiPath had a net margin of 21.03% and a return on equity of 9.70%. UiPath's revenue was up 13.3% on a year-over-year basis. During the same period last year, the firm posted $0.15 EPS. On average, sell-side analysts predict that UiPath will post 0.49 earnings per share for the current fiscal year.

Insider Buying and Selling at UiPath

In other news, insider Raghavendra Malpani sold 40,464 shares of the stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $14.00, for a total value of $566,496.00. Following the sale, the insider owned 1,582,213 shares in the company, valued at $22,150,982. This represents a 2.49% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Ashim Gupta sold 117,339 shares of the stock in a transaction on 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 completion of the sale, the chief operating officer owned 2,037,377 shares in the company, valued at $28,217,671.45. The trade was a 5.45% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 1,560,150 shares of company stock worth $24,727,357. Company insiders own 22.44% of the company's stock.

Institutional Investors Weigh In On UiPath

Several hedge funds have recently added to or reduced their stakes in PATH. Pasadena Private Wealth LLC lifted its stake in UiPath by 9.0% in the first quarter. Pasadena Private Wealth LLC now owns 12,750 shares of the company's stock valued at $142,000 after buying an additional 1,050 shares during the last quarter. Allworth Financial LP grew its position in shares of UiPath by 5.2% during the second quarter. Allworth Financial LP now owns 23,537 shares of the company's stock worth $256,000 after acquiring an additional 1,160 shares during the last quarter. EverSource Wealth Advisors LLC grew its position in shares of UiPath by 36.5% during the fourth 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. Corient Private Wealth LLC increased its holdings in shares of UiPath by 5.6% in the 4th quarter. Corient Private Wealth LLC now owns 27,283 shares of the company's stock valued at $447,000 after acquiring an additional 1,455 shares during the period. Finally, Wedbush Securities Inc. raised its position in UiPath by 14.0% in the 2nd quarter. Wedbush Securities Inc. now owns 11,920 shares of the company's stock valued at $130,000 after purchasing an additional 1,465 shares during the last quarter. 62.50% of the stock is owned by hedge funds and other institutional investors.

UiPath Company Profile

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.

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