RBC Capital Maintains Hold Rating on UiPath Inc. (PATH) with a Price Target of $12.00

RBC Capital maintains a Hold rating on UiPath Inc. (NYSE:PATH) with a price target of $12.00. The company reported a 6% YoY growth in Q1 2026 revenue to $357 million and a 12% YoY increase in ARR to $1.693 billion. However, the analyst believes certain AI stocks offer greater upside potential and carry less downside risk.

UiPath Inc. (NYSE:PATH), a leading provider of robotic process automation (RPA) and low-code development solutions, has received a Hold rating from RBC Capital with a price target of $12.00. The rating was issued on August 12 by Matthew Hedberg, an analyst at RBC Capital [1]. Despite the company's strong performance in the first quarter of fiscal year 2026, the analyst believes certain AI stocks offer greater upside potential and carry less downside risk.

UiPath reported a 6% year-over-year (YoY) growth in revenue for Q1 2026, reaching $357 million. The company's annual recurring revenue (ARR) also saw a 12% YoY increase, reaching $1.693 billion. The company's non-GAAP adjusted free cash flow reached $117 million, while cash flow from operations was $119 million [1].

The company's UiPath Platform™ allows robots, AI agents, people, and models to collaborate, revolutionizing industries and enhancing human potential. UiPath offers a range of automation solutions, including claims processing, payable automation, finance and accounting automation, and contact center automation [1].

RBC Capital's Hedberg acknowledges UiPath's potential as an investment but suggests that other AI stocks may offer greater upside potential and carry less downside risk. The analyst's report does not provide specific recommendations for alternative AI stocks but encourages investors to consider the company's free report on the best short-term AI stock [1].

References:
[1] https://finance.yahoo.com/news/rbc-capital-maintains-hold-uipath-035708590.html
[2] https://www.business-standard.com/markets/capital-market-news/r-systems-intl-sizzles-after-inking-pact-to-acquire-novigo-solutions-125082200313_1.html