Mizuho Securities analyst Siti Panigrahi has reiterated their neutral stance on PATH stock, giving a Hold rating yesterday.
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Siti Panigrahi has given his Hold rating due to a combination of factors impacting UiPath’s performance. The company’s fourth-quarter revenue fell slightly short of expectations, partly due to foreign exchange challenges and difficulties in the public sector influenced by administrative changes. Furthermore, the guidance for fiscal year 2026 suggests a slower growth rate than anticipated, reflecting broader economic uncertainties affecting deal closures.
Siti Panigrahi also noted that while UiPath is making strategic moves towards AI and has acquired Peak, there are lingering concerns about the long-term demand for robotic process automation amidst potential disruptions. The current economic climate poses challenges for UiPath to enhance its growth trajectory, leading to a maintained Neutral rating and a reduced price target of $12, which implies lower valuation multiples compared to industry medians.
In another report released yesterday, TD Cowen also maintained a Hold rating on the stock with a $12.00 price target.