Form 4: UiPath CEO Daniel Dines Sells 45,000 Shares Under Pre-Arranged Trading Plan
Summary
- Daniel Dines, CEO, Chairman, Director, and 10% Owner of UiPath, Inc. (PATH), sold 45,000 shares of Class A Common Stock.
- The transaction occurred on June 10, 2025, at an average price of $13.1887 per share.
- The total value of the shares sold amounts to approximately $593,491.50.
- The sale was executed pursuant to a Rule 10b5-1 trading plan, which was adopted by Mr. Dines.
- Following the transaction, Mr. Dines beneficially owns 6,138,376 shares indirectly through Ice Vulcan Holding Limited, 24,918,585 shares directly, and 240,000 shares indirectly through his spouse.
Sentiment
Score: 4
Explanation: The sentiment is slightly negative due to the insider sale by the CEO, despite it being a planned transaction under Rule 10b5-1. While not indicative of a lack of confidence, such sales can still be perceived unfavorably by investors.
Negatives
- The sale of shares by a key executive and significant owner, such as the CEO and Chairman, can sometimes be perceived negatively by investors, potentially signaling a lack of confidence or a desire to diversify personal holdings.
Risks
- While the sale was conducted under a Rule 10b5-1 plan, which indicates it was pre-scheduled and not based on immediate inside information, significant insider selling can still contribute to negative market sentiment and potentially put downward pressure on the stock price.
Future Outlook
This SEC Form 4 filing does not contain any forward-looking statements or guidance regarding the company's future performance or outlook.
Management Comments
- The shares were sold in compliance with a qualified selling plan adopted by the Reporting Person pursuant to Rule 10b5-1 promulgated under the Securities Exchange Act of 1934, as amended.
Industry Context
This filing is specific to an insider transaction at UiPath and does not provide information on broader industry trends or competitive landscape. Insider sales are a common occurrence across various industries, often for personal financial planning or diversification, especially when executed under pre-arranged 10b5-1 plans.
Stakeholder Impact
- Shareholders may interpret the CEO's share sale as a signal, potentially influencing their investment decisions or market sentiment towards UiPath's stock.
Related Party Transactions
- Daniel Dines indirectly holds 6,138,376 shares through Ice Vulcan Holding Limited, where IceVulcan Investments Ltd. is the sole shareholder of Ice Vulcan Holding Limited, and Mr. Dines is the sole shareholder of IceVulcan Investments Ltd. Mr. Dines retains sole voting and investment power.
- Daniel Dines indirectly holds 240,000 shares through his spouse.
Key Dates
- 06/10/2025: Date of transaction for the sale of 45,000 shares of Class A Common Stock by Daniel Dines.
Keywords
Filings with Classifications
Insider Trading Report
- The sale of shares by a high-ranking executive and significant shareholder, even under a Rule 10b5-1 plan, is generally viewed as a negative signal by the market, as it reduces the insider's direct stake in the company.
SEC Form 4
- The sale of shares by a key executive like the CEO, even if pre-planned, can be interpreted as a lack of confidence or a signal that the stock may not appreciate significantly in the near term, which is generally viewed as a negative indicator for investors.
Quarterly Report
- First quarter results exceeded the company's guidance on both the top line (revenue) and bottom line (non-GAAP operating income).
- Achieved significant year-over-year expansion in non-GAAP operating margin.
Proxy Statement
- The company's gross margin decreased from 85% in fiscal year 2024 to 83% in fiscal year 2025.
- The company's cash and cash equivalents, restricted cash, and marketable securities decreased from $1,880.3 million as of January 31, 2024 to $1,724.1 million as of January 31, 2025.
Annual Report on Form 10-K
- Revenue growth slowed to 9% compared to prior periods.
- Gross margin decreased from 85% to 83%.
Earnings Release
- The restructuring costs are now expected to be incurred by the end of the second quarter of fiscal year 2026, extending the original timeline.
Earnings Release
- The financial outlook for fiscal year 2026 reflects increasing global macro economic uncertainty, particularly in the U.S. public sector, resulting in lower revenue and ARR projections than previously anticipated.
Quarterly Report
- The company may be required to seek additional equity or debt financing in the future.
Quarterly Report
- The company's gross margin decreased to 82% for the quarter, down from 85% in the same quarter of the previous year.
- The company reported a net loss of $10.7 million for the quarter and $125.5 million year-to-date.
- Interest income decreased by 31% for the quarter due to lower cash balances and decreased interest rates.
Quarterly Report
- The company's third quarter results exceeded expectations, reflecting improved execution and customer response to their new vision.
Quarterly Report
- The company's gross margin decreased from 83% to 80% due to increased costs in subscription services.
- The operating loss increased from $77.6 million to $103.3 million year-over-year.
- License revenue decreased by 6% year-over-year.
Quarterly Report
- The company's ARR growth of 19% year-over-year exceeded expectations.
- The company's non-GAAP adjusted free cash flow of $49 million was better than anticipated.
- The company raised its full year profitability guidance.
Executive Change Announcement
- The unexpected resignation of the CEO is generally viewed negatively by the market.
Quarterly Report
- The company has lowered its full year revenue and operating margin guidance due to increased deal scrutiny and lengthening sales cycles.
Proxy Statement
- The company did not achieve 100% of its iARR target for fiscal year 2024, achieving 82% of the target.
Annual Results
- Despite revenue growth, the company reported a net loss for the year, indicating that profitability is still a challenge.
Quarterly Report
- The company achieved its first quarter of GAAP profitability as a public company, which is better than expected.
- The company's revenue and ARR growth exceeded expectations.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.