5 Cloud Computing Stocks to Buy According to Cathie Wood

2. UiPath Inc. (NYSE:PATH)

Number of Hedge Fund Holders: 27

In Q3, ARK Investment Management increased its stake in UiPath Inc. (NYSE:PATH) by 102% and currently holds a stake worth $1.2 billion. The company’s cloud-based SaaS solution aids in managing automation work and resources in one place, making it one of the best cloud computing stocks to buy according to Cathie Wood.

In Q3, UiPath Inc. (NYSE:PATH) posted an EPS of $0.00, beating the estimates by $0.04. The company’s revenue for the quarter stood at $220.8 million, experiencing a 49.4% growth from the prior-year quarter. Following the company’s solid earnings, recently, Morgan Stanley upgraded UiPath Inc. (NYSE:PATH) to Overweight, with a $74 price target.

As of Q3, the number of hedge funds tracked by Insider Monkey having stakes in UiPath Inc. (NYSE:PATH) decreased to 27, from 46 in the previous quarter. However, the total value of these stakes stood at $3.62 billion in Q3, up from $3.45 billion in the preceding quarter. Apart from Cathie Wood’s hedge fund, Alkeon Capital Management was one of the prominent stakeholders of UiPath Inc. (NYSE:PATH) in Q3, holding over 12.5 million shares.

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.”