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UiPath (PATH) Rises Higher Than Market: Key Facts

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UiPath (PATH - Free Report) ended the recent trading session at $13.53, demonstrating a +1.27% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.02%. At the same time, the Dow added 0.11%, and the tech-heavy Nasdaq lost 0.26%.

Shares of the enterprise automation software developer witnessed a gain of 3.81% over the previous month, trailing the performance of the Business Services sector with its gain of 8.97% and outperforming the S&P 500's gain of 2.99%.

Investors will be eagerly watching for the performance of UiPath in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on December 5, 2024. It is anticipated that the company will report an EPS of $0.07, marking a 41.67% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $347.65 million, showing a 6.67% escalation compared to the year-ago quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $0.41 per share and a revenue of $1.42 billion, representing changes of -24.07% and +8.74%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for UiPath. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. At present, UiPath boasts a Zacks Rank of #3 (Hold).

Digging into valuation, UiPath currently has a Forward P/E ratio of 32.85. Its industry sports an average Forward P/E of 25.63, so one might conclude that UiPath is trading at a premium comparatively.

Also, we should mention that PATH has a PEG ratio of 1.46. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. PATH's industry had an average PEG ratio of 1.55 as of yesterday's close.

The Technology Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 70, finds itself in the top 28% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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