ARK Invest Stock Portfolio: Top 5 Picks

4. UiPath Inc. (NYSE:PATH)

Number of Hedge Fund Holders: 24

UiPath Inc. (NYSE:PATH) is a New York-based company that provides an end-to-end automation platform offering a range of robotic process automation (RPA) solutions primarily in the United States, Romania, and Japan. Cathie Wood raised her stake in UiPath Inc. (NYSE:PATH) by 23% in Q3 2022, holding over 46 million shares worth $581 million, representing 4.05% of the total 13F securities. 

On October 18, Barclays analyst Raimo Lenschow downgraded UiPath Inc. (NYSE:PATH) to Equal Weight from Overweight and trimmed the price target to $15 from $17. UiPath Inc. (NYSE:PATH) is in a “digestive phase” from leadership changes and its go-to market restructuring that will create hindrances for the company in terms of becoming a notable outperformer in the short-term, the analyst told investors in a research note. 

According to Insider Monkey’s Q2 data, 24 hedge funds held stakes worth $1.26 billion in UiPath Inc. (NYSE:PATH), compared to 33 funds in the prior quarter worth $1.31 billion. Alkeon Capital Management is a prominent stakeholder of the company, with 15.5 million shares valued at $281.6 million. 

Here is what ClearBridge Investments has to say about UiPath Inc. (NASDAQ:PATH) in its Q2 2021 investor letter:

“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.”