UiPath (NYSE:PATH) Shares Gap Down After Analyst Downgrade

UiPath, Inc. (NYSE:PATH) shares gapped down before the market opened on Thursday after TD Cowen lowered their price target on the stock from $16.00 to $13.00. The stock had previously closed at $12.38, but opened at $10.95. TD Cowen currently has a hold rating on the stock. UiPath shares last traded at $11.5670, with a volume of 35,997,746 shares traded.

A number of other equities research analysts also recently issued reports on PATH. Bank of America reduced their price target on UiPath from $14.00 to $12.00 and set an “underperform” rating on the stock in a research report on Thursday. Truist Financial dropped their price objective on UiPath from $17.00 to $12.00 and set a “hold” rating for the company in a report on Thursday. Royal Bank Of Canada set a $14.00 target price on UiPath in a report on Wednesday, February 11th. BMO Capital Markets raised their price target on UiPath from $13.00 to $17.00 and gave the stock a “market perform” rating in a research report on Thursday, December 4th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of UiPath in a research note on Monday, December 29th. Two research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, UiPath has a consensus rating of “Hold” and an average target price of $14.27.

Insider Buying and Selling at UiPath

In related news, CEO Daniel Dines sold 45,000 shares of the company’s stock in a transaction on Monday, January 26th. The stock was sold at an average price of $15.01, for a total transaction of $675,450.00. Following the completion of the sale, the chief executive officer directly owned 27,893,585 shares in the company, valued at $418,682,710.85. This represents a 0.16% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Ashim Gupta sold 67,468 shares of the firm’s stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $16.10, for a total value of $1,086,234.80. Following the completion of the sale, the chief financial officer directly owned 557,028 shares in the company, valued at $8,968,150.80. This trade represents a 10.80% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 787,468 shares of company stock valued at $12,862,285 over the last 90 days. Corporate insiders own 23.19% of the company’s stock.

Key Stories Impacting UiPath

Here are the key news stories impacting UiPath this week:

• Positive Sentiment: Q4 beat and first full‑year GAAP profitability — Revenue $481.1M (+13% YoY) and EPS $0.30 beat consensus; ARR and margins improved, and management highlighted accelerating enterprise AI adoption. Q4 Results Release
• Positive Sentiment: Share‑repurchase program and cash generation — Company announced a new $500M buyback and reported strong free cash flow (management cited robust FCF conversion), which supports capital returns and EPS upside. Buyback & Analysis
• Positive Sentiment: Product/partner catalysts — Continued push into agentic AI (platform shift), plus an expanded strategic alliance with Deloitte to launch an Agentic ERP offering, which could accelerate enterprise adoption and upsells. Deloitte Alliance
• Neutral Sentiment: Guidance is mixed — Q1 revenue guide was roughly in line (midpoint slightly above Street) but FY‑27 revenue guidance implies materially slower growth (~10% top‑line growth), leaving investors uncertain on near‑term cadence. Guidance Coverage
• Neutral Sentiment: Options and technical activity — Unusual call buying and heavy intraday volume suggest active positioning around the print; some commentators view the pullback as a potential buying opportunity if adoption accelerates. Market Activity
• Negative Sentiment: Market reaction: shares declined after hours and into the session as the slower full‑year growth outlook offset the beat and first full‑year profit, prompting sellers. Market Reaction
• Negative Sentiment: Analyst price‑target trims and cautious notes — Multiple firms trimmed targets/ratings (Mizuho, TD Cowen, Truist, Wells Fargo, DA Davidson and others), increasing near‑term downside risk from sentiment and forcing re‑rating debates. Analyst Coverage
• Negative Sentiment: Short‑term risk: decelerating revenue growth expectations — Street commentary notes that agentic‑AI upside is real but may take quarters to translate into faster ARR growth and higher valuations, keeping pressure on multiple expansion near term. Barron’s Take

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in PATH. Noble Wealth Management PBC bought a new stake in shares of UiPath during the 4th quarter valued at approximately $25,000. HighMark Wealth Management LLC bought a new position in UiPath in the 4th quarter valued at approximately $25,000. Raleigh Capital Management Inc. acquired a new stake in UiPath in the fourth quarter valued at approximately $26,000. Twin Peaks Wealth Advisors LLC acquired a new stake in UiPath in the second quarter valued at approximately $28,000. Finally, TD Waterhouse Canada Inc. grew its stake in shares of UiPath by 1,270.8% during the fourth quarter. TD Waterhouse Canada Inc. now owns 1,782 shares of the company’s stock worth $29,000 after buying an additional 1,652 shares during the last quarter. Institutional investors own 62.50% of the company’s stock.

UiPath Stock Down 7.9%

The business’s 50 day simple moving average is $13.05 and its two-hundred day simple moving average is $13.98. The stock has a market cap of $6.10 billion, a P/E ratio of 21.92, a PEG ratio of 1.69 and a beta of 1.09.

UiPath (NYSE:PATH) last announced its quarterly earnings results on Wednesday, March 11th. The company reported $0.30 EPS for the quarter, beating analysts’ consensus estimates of $0.25 by $0.05. UiPath had a return on equity of 5.95% and a net margin of 17.53%.The company had revenue of $481.11 million during the quarter, compared to analysts’ expectations of $464.81 million. During the same period in the prior year, the company earned $0.26 EPS. UiPath’s revenue was up 13.4% compared to the same quarter last year. As a group, research analysts forecast that UiPath, Inc. will post -0.17 earnings per share for the current fiscal year.

About UiPath

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. Its platform's embedded AI, ML, and NLP capabilities improve decisioning and information processing; emulate human behavior allows organizations to address a myriad of use cases; emulate human behavior allows organizations to address a myriad of use cases; multi-tenant platform enterprise deployment with security and governance and Automation Cloud, which enables customers to begin automating without the need to provision infrastructure, install applications, or perform additional configurations; intuitive interface and low-code, drag-and-drop functionality; signed to enable people and automations to work together; and tracks, measures, and forecasts the performance of automations, enables customers to gain powerful insights and generate key performance indicators with actionable metric.