TLDR
- UiPath stock jumped 11.86% after announcing new partnerships with Nvidia, Alphabet, Snowflake, and OpenAI to expand its AI automation capabilities.
- The company is shifting from basic robotic process automation to agentic automation, where its platform orchestrates humans, bots, and AI agents working together.
- UiPath’s Q2 results showed annual recurring revenue grew 11% to $1.72 billion, beating guidance, while cloud ARR jumped 25% to over $1 billion.
- The company trades at a forward P/S ratio of 4.1 times expected 2026 revenue, which is relatively cheap for a business showing improved fundamentals.
- More than 450 customers are already building AI agents on UiPath’s platform, with 95% of new customers adopting its core automation products.
UiPath stock surged on October 4, 2025, climbing 11.86% to $14.43 per share. The rally came after the company announced several key partnerships with tech giants including Nvidia, Alphabet, Snowflake, and OpenAI.
The market cap now sits at $7 billion. Trading volume hit nearly 1 million shares, well below its average daily volume of 14.4 million shares.
UiPath is moving away from its original identity as a robotic process automation company. The company now focuses on agentic automation. This new approach coordinates humans, software bots, and various AI agents all working together.
The partnership announcements signal UiPath’s intent to become a central platform for enterprise AI deployment. Each collaboration brings different capabilities to the table.
The Nvidia deal targets high-security industries like healthcare and fraud detection. UiPath will use Nvidia’s Nemotron models and NIM microservices to power AI agents that run on-premises. This matters for regulated environments where data cannot leave secure systems.
The Alphabet partnership integrates Gemini models into UiPath’s platform. Users will be able to control automation through voice commands. This makes the technology more accessible to non-technical users.
The Snowflake collaboration connects Snowflake’s Cortex AI to UiPath’s orchestration platform. This combination helps customers act on data insights in real time. The setup could offer an alternative to Palantir for data-driven automation.
The OpenAI partnership adds a ChatGPT connector. Customers can integrate large language models into their workflows without rebuilding existing systems.
Recent Financial Performance Shows Improvement
UiPath reported solid results in its most recent quarter. Annual recurring revenue grew 11% to reach $1.72 billion. This beat the high end of company guidance.
Cloud ARR jumped 25% and crossed the $1 billion threshold. The cloud migration is progressing faster than expected. Net revenue retention stabilized at 108% after declining for several quarters.
The public sector business is recovering after freezing earlier in the year. Adjusted operating margins expanded to 17%. Previous cost cuts and restructuring efforts are showing up in the bottom line.
Gross margin stands at 82.91%, showing the company maintains strong unit economics. The business generates healthy profits on each dollar of revenue.
Founder Daniel Dines returned as CEO. His return has brought clearer focus on the agentic automation vision. More than 450 customers are already building AI agents on the platform.
New customer adoption remains strong, with 95% taking up core automation products. This suggests AI tools complement rather than replace traditional offerings.
The stock trades at a forward price-to-sales ratio of 4.1 times expected 2026 revenue. UiPath’s 52-week range spans from $9.38 to $15.93 per share.
The company is positioning itself as vendor-neutral in the AI space. Customers can choose whichever models they prefer without getting locked into one provider. This approach appeals to enterprises wary of vendor dependencies.
