UiPath (NYSE:PATH) Downgraded by Wall Street Zen to Buy

Key Points

• UiPath has been downgraded from a "strong-buy" to a "buy" rating by Wall Street Zen, impacting investor perception of the stock.
• Despite recent earnings exceeding estimates, the company has faced a negative return on equity and a consensus rating of "Hold" from analysts.
• Insider trading activities included significant stock sales by CEO Daniel Dines and CFO Ashim Gupta, indicating possible concerns among top executives about the company's future performance.

UiPath (NYSE:PATH - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research note issued to investors on Sunday.

PATH has been the subject of several other research reports. Needham & Company LLC reiterated a "hold" rating on shares of UiPath in a report on Friday, May 30th. Morgan Stanley increased their target price on UiPath from $12.00 to $15.00 and gave the stock an "equal weight" rating in a research note on Monday, June 2nd. DA Davidson raised UiPath to a "hold" rating in a research note on Tuesday, July 22nd. Royal Bank Of Canada increased their price target on shares of UiPath from $13.00 to $15.00 and gave the company a "sector perform" rating in a report on Friday, May 30th. Finally, Scotiabank raised their price target on shares of UiPath from $12.00 to $13.00 and gave the company a "sector perform" rating in a research report on Friday, May 30th. Two equities research analysts have rated the stock with a sell rating, twelve have given a hold rating and three have issued a buy rating to the stock. According to data from MarketBeat.com, UiPath has a consensus rating of "Hold" and an average price target of $13.83.

UiPath Trading Down 5.4%

Shares of UiPath stock opened at $11.11 on Friday. The firm has a market capitalization of $5.94 billion, a P/E ratio of -92.58, a price-to-earnings-growth ratio of 14.55 and a beta of 1.03. The business's fifty day simple moving average is $12.63 and its 200 day simple moving average is $12.37. UiPath has a 12 month low of $9.38 and a 12 month high of $15.93.

UiPath (NYSE:PATH - Get Free Report) last announced its earnings results on Thursday, May 29th. The company reported $0.11 earnings per share for the quarter, topping analysts' consensus estimates of $0.10 by $0.01. The business had revenue of $356.62 million for the quarter, compared to analyst estimates of $332.17 million. UiPath had a negative return on equity of 3.05% and a negative net margin of 4.65%. The company's quarterly revenue was up 6.4% compared to the same quarter last year. During the same period in the prior year, the company earned $0.13 EPS. Analysts predict that UiPath will post -0.17 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Daniel Dines sold 45,000 shares of UiPath stock in a transaction on Wednesday, July 16th. The stock was sold at an average price of $12.43, for a total value of $559,350.00. Following the completion of the sale, the chief executive officer owned 5,058,376 shares of the company's stock, valued at $62,875,613.68. The trade was a 0.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Ashim Gupta sold 56,322 shares of UiPath stock in a transaction on Wednesday, July 2nd. The stock was sold at an average price of $12.72, for a total value of $716,415.84. Following the completion of the sale, the chief financial officer directly owned 859,991 shares of the company's stock, valued at $10,939,085.52. The trade was a 6.15% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 831,310 shares of company stock worth $10,428,922. Corporate insiders own 23.19% of the company's stock.

Institutional Trading of UiPath

Several hedge funds have recently bought and sold shares of PATH. Versant Capital Management Inc grew its holdings in UiPath by 198.6% during the first quarter. Versant Capital Management Inc now owns 2,962 shares of the company's stock valued at $31,000 after purchasing an additional 1,970 shares during the period. AdvisorNet Financial Inc grew its holdings in UiPath by 320.4% during the second quarter. AdvisorNet Financial Inc now owns 2,476 shares of the company's stock valued at $32,000 after purchasing an additional 1,887 shares during the period. CX Institutional bought a new stake in UiPath during the first quarter valued at about $36,000. GAMMA Investing LLC grew its holdings in UiPath by 48.0% during the second quarter. GAMMA Investing LLC now owns 2,989 shares of the company's stock valued at $38,000 after purchasing an additional 969 shares during the period. Finally, IFP Advisors Inc lifted its position in shares of UiPath by 508.0% in the second quarter. IFP Advisors Inc now owns 3,283 shares of the company's stock valued at $42,000 after acquiring an additional 2,743 shares in the last quarter. Institutional investors own 62.50% of the company's stock.

UiPath Company Profile

UiPath Inc provides an end-to-end automation platform that offers a range of robotic process automation (RPA) solutions primarily in the United States, Romania, the United Kingdom, the Netherlands, and internationally. The company offers a suite of interrelated software to build, manage, run, engage, measure, and govern automation within the organization.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.