UiPath (PATH) AI Stock Analysis

• Market Cap: $5.83B
• Dividend Yield: N/A
• Average Volume (3M): 11.89M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.58
• Revenue Growth: 7.21%
• EPS Growth: 23.13%
• Country: US
• Employees: 3,868
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Infrastructure
• EPS (TTM): 0.15
• Shares Outstanding: 457,586,100
• 10 Day Avg. Volume: 8,808,448
• 30 Day Avg. Volume: 11,893,946
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.87
• Enterprise Value/Revenue: 3.50
• Enterprise Value/Gross Profit: 5.62
• Enterprise Value/Ebitda: -44.52
• 1Y Price Target: $12.86
• Price Target Upside: 18.53% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 17

• Rating: 65 Neutral
• Price Target: $12.00 ▲(10.60% Upside)

UiPath's overall stock score reflects strong revenue growth and cash flow generation, as highlighted in the earnings call. However, persistent net losses, negative valuation metrics, and bearish technical indicators weigh down the score. The company's strategic focus on automation and AI integration positions it well for future improvement, but current financial challenges and market conditions present risks.

Positive Factors

Financial Performance

UiPath reported solid first-quarter results that outperformed consensus estimates on all key metrics, with revenue growth of 6% against expectations of a 1% decline.

Partnerships

UiPath expanded its partnership with Microsoft through a new bidirectional integration with Microsoft Copilot Studio, showing solid progress against partner initiatives.

Product Launch

The launch of UiPath's Agentic Automation Platform is considered one of the most important and successful product launches in the firm's history.

Negative Factors

Macroeconomic Factors

Concerns about inflation and interest rates influence the Market Perform rating, suggesting challenges in multiple expansion for long duration cash flow assets like UiPath.

Market Competition

Sentiment on stock is low, with little perceived chance of success competing in the agentic arena versus newer peers like OpenAI and Anthropic.

RPA Market Challenges

AI budgets could cannibalize the RPA end market to some extent or stall new projects at a minimum.

UiPath Business Overview & Revenue Model

Company Description

UiPath (PATH) is a leading company in the field of robotic process automation (RPA), specializing in software that enables organizations to automate repetitive, rule-based tasks. Founded in 2005, UiPath provides a comprehensive platform that combines RPA with artificial intelligence, machine learning, and analytics, allowing businesses across various sectors—including finance, healthcare, and manufacturing—to enhance productivity and efficiency. The company's core products include the UiPath Studio for designing automation workflows, UiPath Orchestrator for managing robots, and UiPath Robots that execute the automation tasks.

How the Company Makes Money

UiPath generates revenue primarily through a subscription-based model, offering licenses for its software products, including RPA tools and cloud services. The company has different pricing tiers based on the features and number of robots required by a customer. Key revenue streams include software licenses, professional services for implementation and support, and cloud-based offerings. Additionally, UiPath has established significant partnerships with major technology providers, which helps expand its market reach and drive sales. The increasing demand for automation solutions in various industries also contributes positively to its earnings.

UiPath Financial Statement Overview

Summary

UiPath's financial performance reflects strong revenue growth and solid cash flow generation. Despite persistent net losses and negative profitability ratios, the company maintains a strong balance sheet with low leverage and ample liquidity.

Income Statement

UiPath has demonstrated consistent revenue growth with a substantial increase of approximately 34.5% from 2023 to 2024 and 9.3% from 2024 to 2025. Despite this growth, the company remains unprofitable with a negative net profit margin of -5.2% in 2025, although this has improved from previous years. The gross profit margin is strong at 82.7%, indicating effective cost management on direct expenses. However, negative EBIT and EBITDA margins suggest challenges in covering operating expenses.

Balance Sheet

The balance sheet shows a healthy equity position, with an equity ratio of 64.4% in 2025, indicating financial stability. The debt-to-equity ratio is low at 0.04, suggesting minimal leverage risk. However, the return on equity is negative, reflecting ongoing net losses. The company has significant cash reserves, providing a buffer against financial uncertainties.

Cash Flow

UiPath has shown a positive trend in operating cash flows, with a robust operating cash flow to net income ratio exceeding 4 in 2025, indicating good cash generation relative to reported losses. Free cash flow has also improved, showing positive growth. The company's ability to generate cash flow despite net losses is a key strength.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.43B	1.31B	1.06B	892.25M	607.64M
Gross Profit	1.18B	1.11B	878.53M	723.38M	541.79M
EBITDA	-145.34M	-141.70M	-329.56M	-486.24M	-90.72M
Net Income	-73.69M	-89.88M	-328.35M	-525.59M	-92.39M
Balance Sheet
Total Assets	2.87B	2.95B	2.74B	2.57B	866.46M
Cash, Cash Equivalents and Short-Term Investments	1.63B	1.88B	1.76B	1.87B	460.52M
Total Debt	77.82M	67.07M	63.44M	51.40M	20.08M
Total Liabilities	1.02B	938.64M	815.05M	650.53M	1.67B
Stockholders Equity	1.85B	2.02B	1.92B	1.92B	-803.70M
Cash Flow
Free Cash Flow	305.64M	291.74M	-33.80M	-68.02M	25.98M
Operating Cash Flow	320.56M	299.08M	-9.98M	-54.96M	29.18M
Investing Cash Flow	-45.50M	-439.57M	-289.14M	-35.44M	-125.99M
Financing Cash Flow	-450.51M	-196.90M	-60.67M	1.47B	250.42M

UiPath Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PATH, the sentiment is Negative. The current price of 10.85 is below the 20-day moving average (MA) of 10.92, below the 50-day MA of 11.80, and below the 200-day MA of 12.48, indicating a bearish trend. The MACD of -0.21 indicates Negative momentum. The RSI at 41.70 is Neutral, neither overbought nor oversold. The STOCH value of 26.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PATH.

UiPath Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACIW	74 Outperform	$5.12B	21.01	19.09%	―	11.22%	40.85%
MDB	73 Outperform	$25.90B	―	-3.65%	―	21.90%	67.81%
VRNS	72 Outperform	$6.37B	―	-25.73%	―	14.29%	-14.42%
PATH	65 Neutral	$5.83B	―	-3.62%	―	7.21%	23.13%
S	65 Neutral	$5.91B	―	-27.34%	―	25.39%	-42.90%
Sector *	61 Neutral	$35.51B	8.11	-11.05%	1.89%	8.55%	-8.72%
CFLT	57 Neutral	$6.40B	―	-32.18%	―	23.02%	21.01%

UiPath Corporate Events

UiPath CEO Plans Significant Share Sale

On September 4, 2025, UiPath announced that IceVulcan Investments Ltd., controlled by CEO Daniel Dines, adopted a trading plan to sell up to 5 million shares of Class A common stock by April 2026. This move, part of Dines’s long-term investment strategy, involves converting Class B shares to Class A, representing less than 5% of his holdings. UiPath also reported strong financial results for Q2 fiscal 2026, with a 14% increase in revenue year-over-year to $362 million and an 11% growth in ARR to $1.723 billion. The company highlighted its strategic collaborations and leadership in agentic automation, positioning itself for continued growth and transformation in the industry.

UiPath Stockholders Approve Key Proposals at Annual Meeting

On June 26, 2025, UiPath, Inc. held its annual stockholders meeting where 94.53% of voting power was represented. During the meeting, stockholders approved three key proposals: the election of eight directors, a non-binding advisory vote on executive compensation, and the ratification of KPMG LLP as the independent auditor for the fiscal year ending January 31, 2026.