AI Automation Stock Loses $500 Million Following CEO's Share Sale
On the 13th, UiPath Inc. (NASDAQ: PATH) shares slipped into the mid-$15 range on the New York Stock Exchange, marking a decline of more than 7% from the previous day. The company’s market capitalization evaporated by about $531 million (approximately KRW 729 billion) in a single session. Intraday trading volume topped 31 million shares—well above its average. (Source: stockanalysis.com)
The immediate trigger rattling investor sentiment was additional insider selling by CEO Daniel Dines. After offloading roughly 45,000 shares on the open market at the end of last December, Dines reportedly trimmed his stake again recently. Following the SEC filing and related reports, caution set in around the idea that “while the AI and authentic automation growth story remains valid, insider sales could signal a near-term peak,” prompting a wave of selling. Some brokerages have since cut their price targets to $17 this month, warning of a “prove-it” phase for software-sector stocks and earnings ahead of 2026. (Source: tradingview.com)
UiPath is an enterprise automation platform provider that combines robotic process automation (RPA) with authentic AI. Its software robots handle repetitive administrative tasks, while embedded AI and natural language processing interpret documents, emails and call logs to automatically link workflow steps. Recently, the company has emphasized its “Authentic Automation Platform” and an agent orchestration layer designed to enable collaboration among people, robots and AI agents. (Source: stockanalysis.com)
In fiscal 2025, UiPath has pursued both profitability improvement and expansion of its AI-driven product portfolio, elevating it as a leading “Authentic AI” name in the market. In the prior quarter, cost reductions and revenue growth helped the firm return to profitability and raise its full-year guidance. Partnerships with OpenAI, Nvidia and Snowflake have also deepened its integration with major cloud and AI ecosystems. However, with lingering concerns that its valuation remains high relative to its growth, the recent insider-selling episode is now seen as accelerating the stock’s digestion of near-term momentum. (Source: siliconangle.com)