Shares of UiPath Inc (PATH  ) Thursday traded higher in the pre-market, despite a class action lawsuit by Robbins LLP.

UiPath filed its quarterly results on Wednesday, amid an exciting earnings season. Here are some key analyst takeaways from the earnings release.

  • RBC Capital Markets analyst Matthew Hedberg maintained a Sector Perform rating, while raising the price target from $18 to $19.
  • BMO Capital Markets analyst Keith Bachman reiterated a Market Perform rating, while lifting the price target from $18 to $19.
RBC Capital Markets: UiPath reported strong quarterly results, with 25% ARR (average recurring revenue) growth and 19% revenue growth, "along with impressive profitability gains as the FY/24 guide was raised across the board," Hedberg said in a note.

"At a high level, AI continues to be an integral piece of the long-term thesis as management believes that success thus far is reflected in this quarter's 30%+ $1M+ customer growth," the analyst wrote. "There has also been good progress around GTM enhancements and a healthy pipeline building into 2H/24."

BMO Capital Markets: UiPath's margin performance and guidance were "particularly strong," Bachman said. Management's ARR guidance "appears achievable and conservative."

Although the company delivered steady results for the past few quarters, concerns around the longer-term impact of GenAI and competition from Microsoft Corp (MSFT  ) could keep shares range bound, the analyst further stated.

PATH Price Action: Shares of UiPath rose by 1.23% to $16.42 at the time of publication Thursday.