Why UiPath Stock Soared 20% This Week
Shares of UiPath (NYSE: PATH) are up more than 20% this week as of this writing, according to data provided by S&P Global Market Intelligence, including an 11% after-hours pop on Thursday after the robotic-process automation (RPA) company released strong quarterly results.
UiPath stock had steadily climbed around 10% to start this week leading up to its earnings release late Thursday. But shares roared higher in after-hours trading today as the company announced third-quarter revenue grew 24% year over year to $325.9 million, translating to adjusted (non-GAAP) earnings of $69.1 million, or $0.12 per share. Analysts, on average, were only expecting earnings of $0.07 per share on revenue of $315.5 million.
UiPath also saw a healthy 24% increase in annual recurring revenue (ARR) to $1.378 billion exiting the quarter. Its dollar-based net-retention rate (DBNRR) remained steady at 121% as well, meaning existing customers spent an average of 21% more on UiPath's solutions after their first year.
Source Fool.com
