UiPath’s AI Gold Rush: OpenAI, NVIDIA & Google Deals Ignite PATH’s Stock Rally!

Stock Surge (Sep 30, 2025): UiPath Inc. (NYSE: PATH) closed at $12.56 on Sept 29 (up ~2.9%) and spiked in pre-market Sep 30 (around $15.3, +21.8%) ^[1] after strong earnings and AI partnership news.
Analyst Consensus: 17 analysts rate PATH mostly “Hold” with a 12-month target ~$13–13.4 (roughly +5–8% upside) ^[2] ^[3]. Price targets range from ~$10 to $18 ^[4]. Morgan Stanley’s Sanjit Singh recently kept an “Equal-Weight” rating and raised his target from $12 to $15 ^[5], while DA Davidson’s Lucky Schreiner holds a Neutral stance with a $12 target ^[6].
Rapid AI Partnerships: In late Sept, UiPath unveiled multiple AI initiatives. It teamed with OpenAI to build a ChatGPT “connector” for enterprise workflows ^[7]; launched a voice-enabled Conversational Agent powered by Google’s Gemini models ^[8]; and partnered with NVIDIA to integrate open-source AI models (Nemotron/NIM) into high-trust applications like fraud detection ^[9]. It also joined with Snowflake’s Cortex AI to let bots act on data insights ^[10]. These moves aim to embed cutting-edge generative AI into UiPath’s automation platform and accelerate enterprise adoption.
Financial Snapshot (Q2 FY2026): In Q2 ended July 31, 2025, revenue rose 14% YoY to $362 M and ARR hit $1.723 B (↑11%) ^[11]. Cash flow was strong (≈$42 M Ops, $45 M free cash flow) and net retention 108% ^[12]. CEO Daniel Dines hailed “strong execution” and the “momentum of our agentic capabilities” ^[13]. CFO Ashim Gupta noted UiPath beat guidance on all fronts, driven by robust demand for its agentic automation platform ^[14].
Future Outlook: UiPath guided Q3 revenue of $390–395 M (ARR ≈$1.77 B) and FY2026 revenue ≈$1.57 B ^[15]. The strong results and upbeat guidance have been well received (after Q2 announcement, shares jumped sharply ^[16]).
Industry Recognition: UiPath is a leader in the RPA/automation sector. Gartner has positioned it a Leader in its Magic Quadrant for Robotic Process Automation (7th year in a row) ^[17] and in the inaugural Magic Quadrant for Intelligent Document Processing ^[18], reflecting its broad AI-driven platform.

Company and Strategy Overview

UiPath (PATH) is a New York–listed software company specializing in automation and AI. It pioneered Robotic Process Automation (RPA) – software “bots” that mimic human actions to automate repetitive tasks. Now UiPath is pushing into what it calls “agentic automation”, meaning intelligent AI-driven “agents” that autonomously execute and orchestrate complex workflows. In its Sept 30 press release, UiPath described itself as “a global leader in agentic automation,” rolling out new platform features (like UiPath Maestro orchestration, Studio Web, and AI Agent Builder) to make it easier to build, test, and deploy AI-powered automation with enterprise-grade governance ^[19] ^[20]. In short, UiPath aims to blend RPA, large language models, and data integrations so that businesses can “drive efficiency, reduce costs, and realize ROI from AI transformation efforts” ^[21].

New AI Partnerships and Products

At its annual FUSION conference (late Sept 2025), UiPath announced a string of AI partnerships and products, showing how it is tying its automation platform to the latest AI engines:

OpenAI ChatGPT Connector: In a collaboration with OpenAI, UiPath will build a ChatGPT connector so that enterprises can embed OpenAI’s models directly into UiPath workflows ^[22]. UiPath says this will “simplify AI agent development and deployment,” letting users focus on business goals rather than infrastructure details ^[23]. The announcement highlights UiPath’s intent to make generative AI (like GPT-4/5) a native part of its automation “agents,” accelerating time-to-value for customers.
Google Gemini Voice Agents: UiPath launched a Conversational (voice) Agent built on Google Cloud’s Vertex AI and Gemini models ^[24] ^[25]. This allows users to speak natural language to trigger and manage automations. As CPO Graham Sheldon put it: “Voice is the most natural way we communicate, and now it can be the most natural way to automate” ^[26]. The new voice agent adds advanced speech recognition, emotion-aware dialogue, and real-time interaction to UiPath’s agentic AI suite ^[27]. Google Cloud’s VP Michael Gerstenhaber noted partners like UiPath are “at the forefront” of using Gemini to translate human language into automated workflows ^[28]. This underscores a shift from text-only interfaces to conversational AI in business processes.
NVIDIA AI for Sensitive Workflows: A partnership with NVIDIA will integrate NVIDIA’s open-source “Nemotron” AI models via NVIDIA NIM (NeMo InfereNce Microservices) into UiPath’s platform ^[29] ^[30]. This is aimed at regulated, high-trust environments (fraud detection, healthcare, etc.) where data cannot leave the firewall. The joint solution provides a pre-built connector between UiPath and NVIDIA’s AI stack ^[31]. As UiPath’s Graham Sheldon explains, customers can “bring AI into their most critical processes with the control, transparency, and confidence they need” by running their own models on-premise ^[32]. NVIDIA’s Joey Conway adds that the open NVIDIA models with NIM let UiPath “quickly create and deploy advanced automation with AI agents” for complex use cases in regulated settings ^[33]. In practice, this means enterprises can bolt sophisticated NLP or vision AI into existing bots and orchestrations securely.
Snowflake Cortex AI Data Link: UiPath also announced a Snowflake partnership to merge its automation platform with Snowflake’s Cortex AI data cloud ^[34]. The idea is that UiPath bots can now natively trigger on insights from data stored in Snowflake. For instance, a Snowflake “Cortex Agent” might detect an anomaly in sales data, and UiPath could automatically spawn an investigation workflow. Snowflake’s Baris Gultekin said this combo “empowers organizations to seamlessly move from insight to action,” enabling real-time execution on data-driven intelligence ^[35]. Sheldon added that blending Snowflake’s AI with UiPath lets customers “turn trusted insights into orchestrated action without reworking their existing systems” ^[36]. This partnership highlights UiPath’s push to close the loop between enterprise data and automated response.
Other Initiatives: UiPath also mentioned new alliances with Deloitte (for SAP migration automation) and HCLTech (for global AI services) in its quarterly report. Internally, the company recently appointed ex-Microsoft/F5 marketer Michael Atalla as CMO to boost its AI messaging. Importantly, UiPath’s platform enhancements (like Maestro orchestration and updated Agent Builder) are designed to simplify the creation of these AI agents, so that business users and developers can build “agentic AI” into processes faster ^[37] ^[38]. All these moves aim to extend UiPath’s RPA roots into a full-stack AI+automation ecosystem.

Q2 Financials & Outlook

UiPath’s latest earnings (Q2 FY2026, ended July 31, 2025) set a solid foundation for these product launches. Revenue climbed 14% year-over-year to $362 million, and Annual Recurring Revenue (ARR) reached $1.723 billion (+11%) ^[39]. Importantly, net new ARR was $31M and dollar-based retention held at 108% ^[40], indicating customers are expanding use of UiPath. Gross margins remained robust (GAAP ~82%, non-GAAP ~84%), and cash flow was healthy (operating cash ~$42M, free cash ~$45M) ^[41].

CEO Daniel Dines emphasized that these results reflect “improved execution and the growing momentum of our agentic capabilities,” noting customers are moving from pilot projects to full production with mixed teams of bots and humans ^[42]. CFO Ashim Gupta likewise stated the quarter “exceeded the high end” of guidance across all metrics, thanks to strong demand for UiPath’s automation platform ^[43].

For Q3 FY2026, UiPath guided $390–395M revenue (ARR ~$1.771–1.776B) and ~ $70M non-GAAP profit; full-year revenue is expected ~$1.571–1.576B ^[44]. These forecasts, combined with the new AI initiatives, have boosted investor confidence. After the results were announced (Sept 4), analysts noted the beat and raised expectations. (For example, one report highlighted an EPS of $0.15 vs $0.09 expected, driving a ~67% surprise ^[45].) In summary, UiPath is leveraging its larger sales pipeline and expanded product suite to reinforce growth.

Analyst Views and Stock Forecasts

Stock analysts remain cautiously optimistic. The average 12-month price target on PATH is roughly $13–13.3 (about 5–8% above current levels) ^[46] ^[47], reflecting a consensus “Hold” rating. MarketBeat notes targets span $10 to $18 ^[48], underscoring mixed views on the timing of UiPath’s AI pivot. The TipRanks data similarly shows a mean target of $13.25 (8.5% upside) ^[49].

Individual analysts’ opinions diverge. As of late September, Morgan Stanley’s Sanjit Singh kept his view on PATH and lifted his target to $15 (citing higher growth potential with AI) ^[50]. In contrast, DA Davidson’s Lucky Schreiner maintained a Neutral rating with a lowered target of $12 ^[51]. Schreiner’s note acknowledged UiPath’s recent strong results and “pipeline growth,” but stressed he needs “more consistent execution” before turning bullish ^[52]. DA Davidson also pointed out that customers are beginning to adopt UiPath’s new Agents product, but the firm is exercising patience.

Overall, analysts note that UiPath is at a transformational inflection point: its legacy RPA business provides steady cash flow, while the newer AI-driven products could unlock much larger addressable markets. The success of the OpenAI, NVIDIA, and Google initiatives will be key. Many observers warn that execution and sales cycles for enterprise AI projects can lag, so they’re watching closely whether UiPath can convert this technology momentum into higher bookings. Until then, forecasts remain moderate, though improving: for example, guru-focused analysts see the one-year target averaging around $13.7 ^[53]. Investors should watch upcoming earnings (Q3 in Dec 2025) and customer wins for signals of sustained acceleration.

Market and Industry Context

UiPath operates in the booming automation/AI industry. In recognition of its technology leadership, Gartner has again named UiPath a Leader in its Magic Quadrant for RPA (for the seventh year running) ^[54]. In September 2025 Gartner also released its first-ever Magic Quadrant for Intelligent Document Processing (IDP), and UiPath was named a Leader there as well ^[55]. UiPath’s software (particularly its IXP and document bots) was lauded for using generative AI to handle unstructured content at scale, as UiPath SVP Mark Geene explained: “if you want to apply agentic automation to any document-based process, IDP is the missing piece… we’re helping our customers extract value accurately…from their documents” ^[56]. These accolades help validate UiPath’s emphasis on AI – showing it excels not only in traditional RPA but also in cutting-edge data/AI domains.

On the stock market, UiPath’s performance has been choppy in 2025. Early in the year shares dipped on macro worries and the challenge of transitioning to AI. But in recent months, better-than-feared results and these high-profile partnerships have rallied the stock. The premarket jump on Sept 30 suggests traders are excited about the FUSION announcements. Still, volatility is high: from a mid-$9 range in summer, PATH reached near $16 in late Sept (its 52-week high) before pulling back. Short interest remains material (roughly 10% of float). In this context, the next moves of UiPath – especially execution on its AI roadmap – will likely decide if the stock resumes an uptrend or settles into its fair value.

Conclusion

In summary, as of 30 September 2025 UiPath is aggressively positioning itself as an AI-led automation powerhouse. The company has packaged the latest AI tools (from OpenAI’s GPT to Google’s Gemini to NVIDIA’s models) into its automation suite, aiming to supercharge enterprise robotics with next-gen “agents.” These announcements – coupled with solid financial results – have boosted sentiment: analysts’ price targets have crept higher and the stock spiked on the news. However, experts caution that UiPath must demonstrate sustained sales execution and ROI for clients to justify loftier valuations.

Investors should keep a close eye on upcoming quarters to see if these “AI bets” translate into revenue growth. As one commentator puts it: UiPath “remains a compelling buy” if it can capitalize on the AI boom and its durable RPA base ^[57]. For now, the blend of strategic partnerships and industry recognition suggests that UiPath’s path toward “agentic automation” is strengthening its market lead – a story that could drive PATH’s stock higher if the promised synergies are realized ^[58] ^[59].

Sources: Corporate press releases and news wires (BusinessWire, TipRanks, Investing.com) and finance sites (TipRanks, MarketBeat, StockAnalysis) ^[60] ^[61] ^[62] ^[63] ^[64] ^[65] ^[66] ^[67] ^[68] among others. These cover UiPath’s announcements, financials, and analyst commentary as of late September 2025.