By Katherine Hamilton
UiPath shares fell after the company missed outlook expectations citing uncertainty in the U.S. economy.
The stock fell 15% to $10.05 Thursday morning, at one point hitting a 52-week low of $9.50. Shares have lost just over half their value during the past year.
UiPath said in its fourth-quarter earnings report Wednesday afternoon that it expects revenue between $330 million and $335 million during its current first quarter. That fell below analysts' expectations of $367.5 million.
The automation software company guided for full-year revenue of $1.525 billion to $1.53 billion, missing the $1.58 billion estimated by analysts.
Chief Financial Officer Ashim Gupta said the forecast reflects increasing global macroeconomic uncertainty, especially in the U.S. public sector.
There was an increase in customer uncertainty over the past two weeks, stemming from the U.S. Federal Government, which is a UiPath customer, and rippling into the private sector, D.A. Davidson analyst Gil Luria said in a note.
Commentary from management suggests that pressure could be more broad-based and unlikely to abate soon, Bank of America analysts led by Brad Sills said in a note. Growing artificial intelligence budgets could be encroaching on UiPath's robotic process automation end market, Sills added.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
March 13, 2025 11:24 ET (15:24 GMT)
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