5 Best IPO Stocks to Buy Now

3. UiPath Inc. (NYSE: PATH)

IPO Date: April 21, 2021
Number of Hedge Fund Holders: 46

UiPath Inc. (NYSE: PATH) is a global software company that facilitates other companies to automate their business processes. The company offers an end-to-end automation platform while combining the robotic process automation (RPA) solution. UiPath Inc. (NYSE: PATH) has over 8,500 customers located worldwide.

UiPath Inc. (NYSE: PATH) went public on April 21, 2021, and raised $1.34 billion. The shares of the company started selling at $56 per share on its first trading day, compared with its expected price of $52 per share. The IPO of UiPath Inc. (NYSE: PATH) will be the third-biggest for U.S. software company, following Snowflake Inc. (NYSE: SNOW) and a Utah-based software company, Qualtrics. In Q2 2021, UiPath Inc. (NYSE: PATH) posted an EPS of $0.02, beating the consensus by $0.07. The revenue also presented a 64% year-over-year growth at $186.2 million. In June, BMO capital lifted its price target on UiPath Inc. (NYSE: PATH) to $85, with a ‘Market Perform’ rating on the shares.

As of Q2 2021, 46 hedge funds tracked by Insider Monkey have positions in UiPath Inc. (NYSE: PATH), worth $3.45 billion.

ClearBridge Investments released its Q2 2021 investor letter and mentioned UiPath Inc. (NYSE: PATH) in it. Here is what the firm has to say:

“We participated in the IPO of UiPath, a developer of software for robotic process automation that uses AI, natural language processing and design to streamline complex processes across a variety of technology environments. The company is an industry leader with a superior solution for leveraging software to optimize workloads. Organizations around the world are beginning to understand the power of automation, with momentum picking up toward fully automating business processes, a $60 billion market today that could grow to $200 billion or more by 2030. UiPath has a unique pricing model, broad partner ecosystem and thoughtful management team supporting one of the strongest growth profiles in technology. Risks we are watching include a partial cloud transition ahead and increased competition from larger software platforms over time.”