UiPath (NYSE:PATH) surged Thursday after reporting fourth-quarter adjusted earnings per share of 15 cents, beating the StreetAccount estimate of six cents per share. Revenue came in at $308.5 million, well above the $278.6 million expected.
Analyst Kingsley Crane moved the firm's rating on UiPath shares to buy from hold and raised the per-share price target to $19 from $14.50, noting the company has made "significant strides" since co-CEO Rob Enslin took over last year, as the company has realigned its sales force, introduced differentiated technology and has recast its platform as a business automation platform instead of focusing on robotic process automation.
"When we look at PATH's revenue scale, product set, and target market, we fundamentally see more opportunity on the horizon than in the rear view," Crane wrote in an investor note, adding the company's business is likely to become a "rule of 30" candidate next year.
For the fourth-quarter, UiPath earned an adjusted 15 cents per share as revenue rose 6.5% year-over-year to $308.5 million. Analysts were expecting adjusted earnings of seven cents per share on $278.69 million in revenue.
Looking to the first-quarter of fiscal 2024, UiPath expects revenue to be between $270 Million and $272 Million, topping the $269.55 Million analysts were expecting. For the full-year, UiPath, expects revenue to be between $1.253 Billion and $1.258 Billion, with adjusted operating income of approximately $120M.
PATH shares zoomed $2.69, or 18.4%, to $17.33.
