UiPath (NYSE:PATH) Downgraded by DA Davidson to "Underperform"

Key Points

• DA Davidson downgraded UiPath to “Underperform” from “Neutral” and set a $10 price target, implying roughly 19% downside from the cited $12.34 share price.
• Analyst sentiment remains cautious: UiPath has a consensus “Hold” rating and an average target price of $15.69, with 15 Hold, four Buy and two Sell ratings.
• UiPath’s latest quarterly results met EPS expectations and exceeded revenue estimates, with revenue rising 13.3% year over year; however, insiders sold about $24.7 million of stock over the past 90 days.

UiPath (NYSE:PATH - Get Free Report) was downgraded by equities researchers at DA Davidson from a "neutral" rating to an "underperform" rating in a report issued on Monday, MarketBeat reports. They currently have a $10.00 price objective on the stock. DA Davidson's price target indicates a potential downside of 18.98% from the stock's current price.

Several other analysts have also recently issued reports on PATH. KeyCorp reaffirmed a "sector weight" rating on shares of UiPath in a research report on Thursday, September 24th. Royal Bank Of Canada reissued an "outperform" rating on shares of UiPath in a research report on Wednesday, September 23rd. Weiss Ratings upgraded UiPath from a "hold (c-)" rating to a "hold (c)" rating in a research note on Wednesday, September 9th. Mizuho lifted their target price on UiPath from $12.00 to $14.00 and gave the company a "neutral" rating in a research note on Friday, September 4th. Finally, Oppenheimer reiterated a "market perform" rating on shares of UiPath in a report on Friday, September 4th. Four analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $15.69.

UiPath Stock Performance

UiPath stock traded up $0.15 during midday trading on Monday, hitting $12.34. 36,177,211 shares of the company's stock were exchanged, compared to its average volume of 46,961,734. The company has a market cap of $6.43 billion, a PE ratio of 18.42, a P/E/G ratio of 1.17 and a beta of 1.02. The firm has a 50-day moving average of $14.53 and a two-hundred day moving average of $12.24. UiPath has a 12 month low of $9.20 and a 12 month high of $19.84.

UiPath (NYSE:PATH - Get Free Report) last posted its quarterly earnings results on Thursday, September 3rd. The company reported $0.15 EPS 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 business had revenue of $410.26 million during the quarter, compared to analyst estimates of $397.77 million. During the same quarter in the previous year, the business posted $0.15 EPS. The company's quarterly revenue was up 13.3% compared to the same quarter last year. As a group, equities analysts expect that UiPath will post 0.49 earnings per share for the current year.

Insider Buying and Selling at UiPath

In other news, COO Ashim Gupta sold 117,339 shares of the business's 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 sale, the chief operating officer owned 2,037,377 shares in the company, valued at approximately $28,217,671.45. The trade was a 5.45% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Daniel Dines sold 1,402,347 shares of the company's stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $16.07, for a total transaction of $22,535,716.29. Following the transaction, the chief executive officer owned 26,491,238 shares in the company, valued at approximately $425,714,194.66. This trade represents a 5.03% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 1,560,150 shares of company stock worth $24,727,357. 22.44% of the stock is owned by insiders.

Institutional Trading of UiPath

Several large investors have recently bought and sold shares of PATH. Trifecta Capital Advisors LLC acquired a new stake in shares of UiPath during the second quarter worth $27,000. AdvisorNet Financial Inc increased its position in shares of UiPath by 750.0% in the 1st quarter. AdvisorNet Financial Inc now owns 3,400 shares of the company's stock valued at $38,000 after acquiring an additional 3,000 shares during the period. REAP Financial Group LLC acquired a new position in shares of UiPath in the 4th quarter valued at $44,000. Global Retirement Partners LLC purchased a new position in UiPath in the 2nd quarter worth $57,000. Finally, EverSource Wealth Advisors LLC raised 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. Hedge funds and other institutional investors own 62.50% of the company's stock.

Key Headlines Impacting UiPath

Here are the key news stories impacting UiPath this week:

• Positive Sentiment: Expanded BDO partnership supports enterprise AI strategy. UiPath and BDO USA are collaborating on agentic AI and business-orchestration solutions, including continuous monitoring and testing for important enterprise functions. The agreement could improve UiPath’s ability to monetize AI capabilities and win larger corporate customers. UiPath and BDO Expand Partnership to Build Agentic Solution Accelerators for Continuous Monitoring and Testing
• Positive Sentiment: New Cartographer capabilities highlight product development. UiPath’s Cartographer agent interviews employees to map how businesses operate, potentially helping customers identify automation opportunities and strengthening the company’s broader AI platform offering. UiPath’s Cartographer agent interviews staff to map how businesses run
• Neutral Sentiment: High investor search interest increases visibility but is not a fundamental catalyst. Zacks reported unusually strong user attention toward PATH, although the coverage did not announce new financial results or materially change the company’s outlook. Investors Heavily Search UiPath, Inc. (PATH): Here is What You Need to Know
• Negative Sentiment: DA Davidson downgraded UiPath from Hold to Strong Sell and assigned a $10 price target. The firm cited concerns about AI pricing, implying roughly 19% downside from the referenced $12.34 share price. The downgrade is the clearest immediate reason for weakness in PATH. UiPath Stock Rating Cut to Strong Sell at DA Davidson
• Negative Sentiment: Higher Treasury yields and oil prices pressured software stocks. Rising benchmark yields increased concerns about additional Federal Reserve rate hikes, which generally weighs on valuation-sensitive technology and enterprise software companies. DigitalOcean, UiPath, nCino, BlackLine, and Pegasystems Stocks Trade Down

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.