Needham analyst Scott Berg has maintained their neutral stance on PATH stock, giving a Hold rating today.
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Scott Berg has given his Hold rating due to a combination of factors surrounding UiPath’s strategic direction and market positioning. The company is transitioning its focus from smaller, team-level automation to more comprehensive, end-to-end automation solutions. This shift is supported by their emerging agentic orchestration strategy, which aims to enhance competitive differentiation over time.
However, this strategic pivot is expected to extend sales cycles in the short term as it involves larger deals and more proof of concepts (POCs). With over 200 customer POCs currently underway, there is potential for significant monetization of their Agentic framework by 2026, contingent on budget expansions. These factors contribute to a cautious outlook, justifying the Hold rating as the company navigates this transitional phase.
Berg covers the Technology sector, focusing on stocks such as Monday.com, Workday, and SPS Commerce. According to TipRanks, Berg has an average return of -2.1% and a 42.89% success rate on recommended stocks.