In today’s rapidly evolving tech landscape, UiPath Inc. (PATH) and monday.com Ltd. (MNDY) stand out as key players in the software sector. Both companies are innovating within the realms of automation and work management, catering to diverse organizational needs. Their overlapping market strategies and commitment to enhancing operational efficiency make them compelling subjects for comparison. Join me as I analyze which of these two companies presents the most attractive investment opportunity for savvy traders and investors alike.
Table of contents
Company Overview
UiPath Inc. Overview
UiPath Inc. is a leader in robotic process automation (RPA), providing an end-to-end automation platform designed to streamline business processes. Founded in 2005 and headquartered in New York, the company has carved a niche in sectors such as banking, healthcare, and government. UiPath’s platform combines artificial intelligence with low-code environments, enabling users to automate tasks without extensive programming knowledge. The company serves a diverse clientele, focusing on enhancing operational efficiency through automation, thereby driving productivity and compliance across organizations.
monday.com Ltd. Overview
monday.com Ltd. offers a versatile cloud-based work operating system that empowers teams to manage their workflows efficiently. Established in 2012 and based in Tel Aviv, the company delivers modular software applications for project management, CRM, and more. With a focus on visual organization, monday.com enables users to create customized solutions tailored to their specific needs. The platform’s adaptability attracts a broad audience, including businesses, educational institutions, and governmental entities, making it a prominent player in the software application industry.
Key similarities and differences
Both UiPath and monday.com operate in the technology sector and provide software solutions aimed at enhancing productivity. However, their business models differ significantly: UiPath focuses primarily on automation through RPA, while monday.com emphasizes workflow management through customizable applications. This distinction highlights their unique approaches to solving operational challenges for organizations.
Income Statement Comparison
The following table presents a side-by-side comparison of key financial metrics for UiPath Inc. and monday.com Ltd. for the most recent fiscal year.
| Metric | UiPath Inc. (PATH) | monday.com Ltd. (MNDY) |
|---|---|---|
| Market Cap | 9.95B | 8.08B |
| Revenue | 1.43B | 971M |
| EBITDA | -145M | 58M |
| EBIT | -163M | 40M |
| Net Income | -74M | 32M |
| EPS | -0.13 | 0.65 |
| Fiscal Year | 2025 | 2024 |
Interpretation of Income Statement
In the latest fiscal year, UiPath experienced a notable revenue increase to 1.43B, marking a consistent upward trend, while its net income remained negative at -74M, indicating ongoing challenges in profitability. In contrast, monday.com demonstrated significant growth with a revenue of 971M and a positive net income of 32M, showcasing improved operational efficiency and stronger margins. The divergence in performance highlights UiPath’s struggle with high operating expenses, while monday.com benefits from better cost management, which could be a key consideration for investors.
Financial Ratios Comparison
Here is a comparative table showing the most recent Revenue and Ratios for UiPath Inc. (PATH) and monday.com Ltd. (MNDY).
| Metric | UiPath Inc. (PATH) | monday.com Ltd. (MNDY) |
|---|---|---|
| ROE | -3.99% | 3.14% |
| ROIC | -7.41% | -1.73% |
| P/E | -108.04 | 362.98 |
| P/B | 4.31 | 11.41 |
| Current Ratio | 2.93 | 2.66 |
| Quick Ratio | 2.93 | 2.66 |
| D/E | 0.04 | 0.10 |
| Debt-to-Assets | 2.72% | 6.29% |
| Interest Coverage | N/A | N/A |
| Asset Turnover | 0.50 | 0.57 |
| Fixed Asset Turnover | 14.41 | 7.13 |
| Payout ratio | 0% | 0% |
| Dividend yield | 0% | 0% |
Interpretation of Financial Ratios
The financial ratios reveal contrasting performances between the two companies. UiPath displays worrisome negative returns on equity (ROE) and invested capital (ROIC), indicating inefficiencies in generating profits. Conversely, monday.com shows a positive ROE, suggesting better capital utilization. The high P/E ratio of monday.com indicates high market expectations, while UiPath’s negative P/E reflects ongoing losses. Both companies maintain healthy liquidity ratios, yet the low debt levels contribute to a safer financial position for both.
Dividend and Shareholder Returns
UiPath Inc. (PATH) does not pay dividends, reflecting its focus on reinvestment during a high growth phase. With a negative net income and increasing cash flow, the company prioritizes funding its operations over shareholder distributions. PATH also engages in share buybacks, signaling potential value creation.
Conversely, monday.com Ltd. (MNDY) similarly refrains from dividends, citing a strategy centered on growth and innovation. They also participate in share buybacks, which can enhance shareholder value in the long term. Although both companies do not distribute dividends, their approaches support sustainable value creation through reinvestment and strategic repurchases.
Strategic Positioning
In the competitive landscape of software solutions, UiPath Inc. (PATH) holds a significant market share in robotic process automation (RPA), leveraging advanced AI and user-friendly tools. Its primary competitors, such as monday.com Ltd. (MNDY), which offers a versatile work operating system, pose a competitive challenge. Both companies face increasing pressure from technological disruptions, necessitating continuous innovation and adaptation to maintain their market positions. As they navigate this dynamic environment, their ability to manage risks and capitalize on emerging trends will be crucial for sustained growth.
Stock Comparison
In the past year, UiPath Inc. (PATH) and monday.com Ltd. (MNDY) have experienced notable fluctuations in their stock prices, reflecting underlying market dynamics and investor sentiment.
Trend Analysis
Analyzing UiPath Inc. (PATH), the stock has seen a price change of -15.38% over the past year, indicating a bearish trend. The stock has experienced notable volatility, with a standard deviation of 4.02, and reached a high of 26.35 while dropping to a low of 10.04. This trend shows signs of acceleration, suggesting that the downward movement may be gaining momentum.
In contrast, monday.com Ltd. (MNDY) has faced a more severe decline, with a price change of -17.34% over the same period, also reflecting a bearish trend. The stock’s volatility is pronounced, with a standard deviation of 42.04. The highest price noted was 324.31, while the lowest plummeted to 143.86. The current trend demonstrates deceleration, indicating a potential easing of the downward pressure, but caution is warranted given the substantial decline.
Analyst Opinions
Recent analyst evaluations suggest a mixed outlook for UiPath Inc. (PATH) and monday.com Ltd. (MNDY). PATH has received an “A-” rating, with analysts emphasizing strong return on assets and equity, leading to a consensus recommendation of “buy.” Conversely, MNDY holds a “B-” rating, with analysts highlighting concerns over its price-to-earnings ratio, recommending a “hold” stance. Overall, the consensus for PATH is to buy, while MNDY remains neutral for the current year.
Stock Grades
As of December 2025, several companies have received updated stock ratings from reputable grading firms. Here’s a look at the grades for UiPath Inc. and monday.com Ltd.
UiPath Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Canaccord Genuity | maintain | Buy | 2025-12-04 |
| Mizuho | maintain | Neutral | 2025-12-04 |
| Barclays | maintain | Equal Weight | 2025-12-04 |
| BMO Capital | maintain | Market Perform | 2025-12-04 |
| Needham | maintain | Hold | 2025-12-04 |
| Wells Fargo | maintain | Equal Weight | 2025-12-04 |
| Evercore ISI Group | maintain | In Line | 2025-12-04 |
| RBC Capital | maintain | Sector Perform | 2025-12-04 |
| UBS | upgrade | Neutral | 2025-10-23 |
| BMO Capital | maintain | Market Perform | 2025-10-02 |
monday.com Ltd. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| B of A Securities | maintain | Neutral | 2025-11-11 |
| Piper Sandler | maintain | Overweight | 2025-11-11 |
| Morgan Stanley | maintain | Overweight | 2025-11-11 |
| Jefferies | maintain | Buy | 2025-11-11 |
| Citigroup | maintain | Buy | 2025-11-11 |
| Barclays | maintain | Overweight | 2025-11-11 |
| UBS | maintain | Neutral | 2025-11-11 |
| JP Morgan | maintain | Overweight | 2025-11-11 |
| Wells Fargo | maintain | Overweight | 2025-11-11 |
| DA Davidson | maintain | Buy | 2025-11-11 |
Overall, the grades for UiPath reflect a cautious outlook with several firms maintaining their ratings, while monday.com shows strong support with multiple “Overweight” and “Buy” ratings, indicating favorable investor sentiment.
Target Prices
Analysts have provided reliable target prices for both UiPath Inc. (PATH) and monday.com Ltd. (MNDY), indicating a range of expectations.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| UiPath Inc. | 17 | 14 | 16 |
| monday.com Ltd. | 365 | 202 | 289.4 |
For UiPath Inc., the target consensus of 16 suggests a slight downside from the current price of 18.69. In contrast, monday.com Ltd.’s consensus of 289.4 indicates significant upside potential compared to its current price of 157.80, showcasing positive analyst sentiment.
Strengths and Weaknesses
The following table outlines the strengths and weaknesses of UiPath Inc. (PATH) and monday.com Ltd. (MNDY) based on the most recent data.
| Criterion | UiPath Inc. (PATH) | monday.com Ltd. (MNDY) |
|---|---|---|
| Diversification | Moderate | High |
| Profitability | Negative margins | Positive margins |
| Innovation | High | Moderate |
| Global presence | Strong | Strong |
| Market Share | Growing | Established |
| Debt level | Low | Moderate |
Key takeaways reveal that while UiPath is innovatively strong and maintains a low debt level, it struggles with profitability. In contrast, monday.com shows positive profitability and a strong market position but carries a moderate level of debt.
Risk Analysis
The following table summarizes key risks associated with two companies, UiPath Inc. (PATH) and monday.com Ltd. (MNDY), as of the most recent year.
| Metric | UiPath Inc. (PATH) | monday.com Ltd. (MNDY) |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | Low | Moderate |
| Operational Risk | High | Moderate |
| Environmental Risk | Low | Low |
| Geopolitical Risk | Moderate | High |
In synthesizing the risks, both companies face significant operational risks, especially UiPath, which has a high dependency on technology and market trends. Moreover, geopolitical tensions could impact their international operations, particularly for monday.com, given its global reach.
Which one to choose?
When comparing UiPath Inc. (PATH) and monday.com Ltd. (MNDY), I find that PATH has a stronger rating of A- compared to MNDY’s B-. PATH’s gross profit margin stands at 82.73%, indicating solid profitability potential, despite its negative net profit margin of -5.15%. On the other hand, MNDY boasts a positive net income of $32.37M, but lower margins and higher market valuation ratios, reflected in its price-to-earnings ratio of 362.98.
Both stocks show bearish trends, with PATH experiencing a recent price change of +58.05% and MNDY down -28.07%. For growth-focused investors, PATH may be the better choice due to its strong fundamentals, while those prioritizing profitability could lean towards MNDY.
Risks include market dependence and intense competition, which can impact both companies’ growth trajectories.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of UiPath Inc. and monday.com Ltd. to enhance your investment decisions:
