On Thursday, traders engaged in notable options activity surrounding UiPath, Inc. (NYSE:PATH), purchasing a total of 126,927 call options. This marks a significant increase of approximately 91% compared to the average volume of 66,602 call options. Such a spike in trading volume suggests heightened interest in the company’s stock, indicating potential bullish sentiment among investors.
In related news, insider trading activity at UiPath has recently drawn attention. On October 22, 2023, Chief Accounting Officer Hitesh Ramani sold 5,000 shares of the company’s stock at an average price of $15.47, amounting to a total value of $77,350. Following this transaction, Ramani owns 182,776 shares valued at approximately $2,827,544.72, representing a 2.66% decrease in his position.
Additionally, Daniel Dines, the company’s CEO, sold 45,000 shares on November 5, 2023, at an average price of $15.07, resulting in proceeds of $678,150. After this sale, Dines retains 29,288,585 shares, valued at around $441,378,975.95, reflecting a minor decrease of 0.15% in his ownership. These transactions have been disclosed in regulatory filings with the U.S. Securities and Exchange Commission (SEC).
Institutional investors have also been adjusting their positions in UiPath recently. Inspire Investing LLC acquired a new stake in the second quarter, investing approximately $891,000. Meanwhile, AlphaQuest LLC significantly increased its holdings by 863.9%, owning 42,847 shares worth $548,000 after purchasing an additional 38,402 shares. Other notable transactions include Bank of Nova Scotia, which invested $3,907,000, and Jump Financial LLC, with a new stake valued at $11,016,000. Institutional investors collectively hold 62.50% of UiPath’s stock.
Analyst perspectives on UiPath’s stock have been mixed recently. Wall Street Zen upgraded the rating from “buy” to “strong-buy” on November 15, 2023. Conversely, Zacks Research downgraded the rating from “strong-buy” to “hold” shortly before. Barclays adjusted its target price for UiPath from $14.00 to $16.00, maintaining an “equal weight” rating. In contrast, Needham & Company LLC reaffirmed a “hold” rating, while Mizuho increased its price target from $14.00 to $15.00 with a “neutral” rating. Currently, two analysts have rated the stock as a buy, fourteen as hold, and two as sell, leading to a consensus rating of “hold” with a price target of $15.64, according to MarketBeat.
Shares of UiPath opened at $18.50 on Friday, reflecting a 24.5% increase following the recent trading activity. The company’s fifty-day simple moving average stands at $14.80, while the two-hundred-day average is $13.03. Over the past year, UiPath’s stock has fluctuated, with a low of $9.38 and a high of $18.74. The firm currently boasts a market capitalization of $9.83 billion, a P/E ratio of 44.05, and a price-to-earnings-growth ratio of 5.50.
UiPath recently announced its earnings results on December 3, 2023, reporting earnings per share (EPS) of $0.16, surpassing the consensus estimate of $0.14 by $0.02. The company recorded revenue of $411.11 million, exceeding analyst expectations of $392.46 million. The firm achieved a return on equity of 3.83% and a net margin of 14.79%, with revenues increasing by 15.9% compared to the same quarter last year. Analysts project that UiPath will post an EPS of -0.17 for the current fiscal year.
Founded to provide comprehensive automation solutions, UiPath specializes in robotic process automation (RPA) across various international markets, including the United States, Romania, the United Kingdom, and the Netherlands. The company’s platform offers an integrated suite of software tools designed to enhance operational efficiency within organizations.
