Oppenheimer Survey Reveals UiPath Inc. (PATH) Offers 2:1 Upside/Downside Scenario

Oppenheimer analyst Brian Schwartz reiterated an Outperform rating and $56.00 price target on UiPath Inc. (NYSE: PATH) after conducting an enterprise-survey to assess UiPath and RPA demand, opportunities and risks. Key points include:
1) Healthy current demand and fertile area for selling UiPath's business efficiency tools
2) CIO customers see UiPath as a large 2022 IT budget share gainer
3) RPA is a solution for the Great Resignation challenges
4) Competition is strengthening
5) CIOs perceive RPA products as discretionary
6) front-office adoption is slow

The analyst stated "We believe the RPA market is early in evolution and PATH is the best asset in the category to own for the future. Strong positioning, an expanding solution portfolio, and growing enterprise distribution capability supports our $2.13B ARR forecast by FY25 (33% CAGR). While we believe UiPath can sustain a mid-30% CAGR through FY25, this durable growth is not fully reflected in the multiple." "We see a 2:1 upside/downside ratio and ~ $43M upside to FY23 ARR consensus. Our CIO survey work reveals a healthy operating environment. Nearly 90% of UiPath's installed-base CIOs surveyed plan to increase RPA usage in 2022. The healthy demand for UiPath is being driven by a focus and prioritization on business efficiency products to support enterprise digital transformations in 2022."

For an analyst ratings summary and ratings history on UiPath Inc. click here. For more ratings news on UiPath Inc. click here.

Shares of UiPath Inc. closed at $28.30 yesterday.

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