Automation software company UiPath (NYSE:PATH) will be announcing earnings results tomorrow after market close. Here's what to look for.
Last quarter UiPath reported revenues of $308.5 million, up 6.51% year on year, beating analyst revenue expectations by 10.7%. It was a very strong quarter for the company, with an impressive beat of analyst estimates and a full year guidance beating analysts' expectations.
Is UiPath buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting UiPath's revenue to grow 10.7% year on year to $271.2 million, slowing down from the 31.6% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.02 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 6.28%.
Looking at UiPath's peers in the productivity software segment, some of them have already reported Q1 earnings results, giving us a hint what we can expect. Appian delivered top-line growth of 18.4% year on year, beating analyst estimates by 2.96% and Jamf reported revenues up 22.1% year on year, exceeding estimates by 2.19%. Appian traded up 3.67% on the results, Jamf traded flat on the results. Read our full analysis of Appian's results here and Jamf's results here.
There has been positive sentiment among investors in the software segment, with the stocks up on average 6.38% over the last month. UiPath is up 14.3% during the same time, and is heading into the earnings with analyst price target of $19.5, compared to share price of $17.19.
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The author has no position in any of the stocks mentioned.