UiPath Stock Sinks 6% - But It Could Still Be the Next Palantir

"Revenue came in at $411 million, up 15.9% year-over-year, beating the consensus estimate of $392.87 million. Non-GAAP EPS of $0.16 beat the $0.146 estimate. The profitability story is what stands out. UiPath posted GAAP operating income of $13 million, compared to a loss of $43 million in the same quarter last year. Non-GAAP operating income nearly doubled to $88 million, with non-GAAP operating margin expanding to 21% from 14% a year ago."

"Annual recurring revenue reached $1.782 billion, up 11% year-over-year, with a dollar-based net retention rate of 107%. That retention figure means existing customers are spending more, not less. Moreover, Q4 guidance calls for revenue of $462 to $467 million and non-GAAP operating income of approximately $140 million."

"Enterprises are accelerating their AI and automation strategies, and they're looking for a unified platform rather than standalone tools. Our ability to bring deterministic automation, agentic automation, and orchestration together in one trusted, governed system is a true di"

UiPath delivered strong Q4 FY2026 results with $411 million revenue (15.9% YoY growth), beating consensus estimates, and achieved a major profitability milestone with $13 million GAAP operating income versus a $43 million loss year-over-year. Non-GAAP operating income nearly doubled to $88 million with 21% operating margin expansion. Annual recurring revenue reached $1.782 billion with a 107% dollar-based net retention rate, indicating existing customers are increasing spending. Despite these achievements, the stock declined 6% and is down 29% year-to-date. The disconnect suggests the market may not be fully pricing in the transformative potential of agentic AI automation transitioning from enterprise experimentation to standard practice, similar to Palantir's eventual market recognition.

Read at 24/7 Wall St.