UiPath stock jumps 14% after ‘solid’ results
2023.12.01 05:54
© Reuters. UiPath stock jumps 13% following Q3 beat
(Updated – December 1, 2023 5:35 AM EST)
UiPath (NYSE:) shares surged more than 14% after-hours today after the AI company reported better-than-expected results for the third quarter.
EPS of $0.12 came in better than the consensus estimate of $0.07. Revenue grew 24% year-over-year to $326 million, beating the consensus estimate of $315.61M.
“I am pleased with our strong third quarter results with ARR growing 24 percent year-over-year to $1.378 billion, driven by the team’s execution and the transformational results we deliver,” said Co-Chief Executive Officer Rob Enslin.
For Q4/24, the company expects revenue in the range of $381-$386M, compared to the consensus estimate of $383M.
Bank of America analysts raised the price target by $4 to $26 per share.
“We expect to see a healthy reacceleration in key growth metrics such as ARR and NRR (net revenue retention), in Q1 when we reach easier comparisons in the small business segment,” they said.
Oppenheimer analysts said the results were “solid.” Still, they reiterated a Perform rating, citing rich valuation.
“In our view, management is executing well on its repositioning and improving efficiency strategy, and the business is delivering better consistency in the quarterly results.”
Additional reporting by Senad Karaahmetovic
