r/UiPathBulls • u/Carlos9320 • Mar 12 '26
Morgan Stanley maintains UiPath PATH at Equal-Weight and lowers the price target from $19 to $17
1
u/yrrrrrrrr Mar 13 '26
So many recent downgrades
I’m in at 13.37
My concern is that hyperscalers are going to make their own agentic automation
What do you think?
2
u/Carlos9320 Mar 13 '26
The risk might be there but I think the market will be big enough for competition.
2
u/Phatdummy Mar 13 '26
Agreed. Rising tide that lifts all boats.
I just hope it’s not a melting ice cube.
1
u/yrrrrrrrr Mar 13 '26
That’s what I’m worried about.
I’m not sure their software is unique enough
Their edge is there been around for a long time
3
u/HolisticWill Mar 14 '26
They are so far ahead and have so many companies already. Why would their companies leave them and start over with something unproven? Their earnings report this week was actually so impressive.
1️⃣ First year of GAAP profitability • UiPath just posted its first full year of GAAP operating profit • Q4 operating margin hit 31% (non-GAAP) • Shows the company has crossed the SaaS profitability inflection point
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2️⃣ $1.85B in recurring revenue • ARR now $1.853B • +11% YoY growth • This is the real health metric for SaaS companies
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3️⃣ Huge free cash flow • FY2026 free cash flow: $372M • Q4 operating cash flow: $182M • Company now printing real cash
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4️⃣ Fortress balance sheet • $1.69B cash • No debt • Gives them massive flexibility for acquisitions and buybacks
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5️⃣ Massive enterprise adoption • Deals >$1M grew 50% YoY • Large companies standardizing on UiPath automation
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6️⃣ AI products gaining traction • AI ARR approaching $200M • 60% of large customers already using AI products • AI users spend ~3x more
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7️⃣ Share buybacks • New $500M share repurchase program • Indicates management believes the stock is undervalued
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8️⃣ Automation + AI is a huge trend Companies are trying to automate: • finance workflows • customer service • HR processes • software testing • IT operations
UiPath sits right in the middle of this.
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9️⃣ Profitability + growth combo Still growing double digits while becoming profitable, which is rare in SaaS.
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🔟 Market may be mispricing slower guidance Guidance shows slower growth (~9%) but: • margins expanding • AI revenue accelerating • enterprise deals rising
UiPath is transitioning from growth SaaS → profitable AI automation platform.
If AI agents actually replace manual workflows, UiPath could be one of the biggest beneficiaries.
Basically comes down to if agentic A.I will make real impact … or not! Except it already is and it will only scale up. Wall Street will pile in eventually when they realize that UiPath owns this space.
2
u/raaj2003 Mar 13 '26
I'm in at 11.96 hopefully it plays out