UiPath (NYSE:PATH) Stock Price Down 8.5% – Should You Sell?

UiPath, Inc. (NYSE:PATH)’s share price traded down 8.5% during mid-day trading on Tuesday . The company traded as low as $10.99 and last traded at $11.0960. 9,222,207 shares traded hands during trading, a decline of 73% from the average session volume of 34,143,063 shares. The stock had previously closed at $12.13.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Zacks Research cut shares of UiPath from a “strong-buy” rating to a “hold” rating in a research report on Friday, February 6th. TD Cowen reduced their price objective on UiPath from $16.00 to $13.00 and set a “hold” rating for the company in a research report on Thursday, March 12th. Wall Street Zen raised UiPath from a “buy” rating to a “strong-buy” rating in a report on Saturday, March 14th. Morgan Stanley upgraded UiPath from an “equal weight” rating to a “positive” rating in a research report on Friday, March 13th. Finally, Wells Fargo & Company cut their target price on UiPath from $14.00 to $13.00 and set an “equal weight” rating on the stock in a research note on Thursday, March 12th. Three investment analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, UiPath currently has an average rating of “Hold” and a consensus price target of $14.07.

UiPath Trading Down 1.6%

The company has a market cap of $5.83 billion, a price-to-earnings ratio of 20.95, a P/E/G ratio of 1.81 and a beta of 1.09. The business has a 50-day moving average price of $12.20 and a 200 day moving average price of $14.04.

UiPath (NYSE:PATH) last issued its earnings results on Wednesday, March 11th. The company reported $0.30 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.25 by $0.05. UiPath had a return on equity of 5.69% and a net margin of 17.53%.The business had revenue of $481.11 million for the quarter, compared to analysts’ expectations of $464.81 million. During the same period in the previous year, the firm posted $0.26 EPS. The company’s quarterly revenue was up 13.4% on a year-over-year basis. On average, analysts anticipate that UiPath, Inc. will post -0.17 earnings per share for the current year.

Insider Activity at UiPath

In other news, CEO Daniel Dines sold 45,000 shares of the stock in a transaction on Thursday, January 22nd. The stock was sold at an average price of $15.02, for a total value of $675,900.00. Following the completion of the sale, the chief executive officer owned 27,983,585 shares in the company, valued at $420,313,446.70. This represents a 0.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Ashim Gupta sold 67,468 shares of the firm’s stock in a transaction on Monday, January 5th. The stock was 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 of the company’s stock, valued at approximately $8,968,150.80. This trade represents a 10.80% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 562,468 shares of company stock worth $9,132,685. Corporate insiders own 23.19% of the company’s stock.

Institutional Investors Weigh In On UiPath

Hedge funds have recently bought and sold shares of the business. Noble Wealth Management PBC acquired a new position in shares of UiPath in the 4th quarter valued at about $25,000. HighMark Wealth Management LLC acquired a new stake in shares of UiPath during the fourth quarter worth approximately $25,000. Raleigh Capital Management Inc. purchased a new position in UiPath during the fourth quarter valued at approximately $26,000. TD Waterhouse Canada Inc. increased its stake in UiPath by 1,270.8% in the 4th quarter. TD Waterhouse Canada Inc. now owns 1,782 shares of the company’s stock valued at $29,000 after buying an additional 1,652 shares during the period. Finally, Twin Peaks Wealth Advisors LLC acquired a new position in UiPath in the 2nd quarter valued at approximately $28,000. 62.50% of the stock is owned by hedge funds and other institutional investors.

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.