Lightspeed Commerce (NYSE:LSPD) and UiPath (NYSE:PATH) Financial Survey

UiPath (NYSE:PATH) and Lightspeed Commerce (NYSE:LSPD) are both technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, analyst recommendations, valuation and risk.

Profitability

This table compares UiPath and Lightspeed Commerce’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
UiPath	21.03%	9.70%	6.42%
Lightspeed Commerce	-5.51%	1.30%	1.15%

Valuation & Earnings

This table compares UiPath and Lightspeed Commerce”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
UiPath	$1.61 billion	4.20	$282.33 million	$0.67	19.37
Lightspeed Commerce	$1.25 billion	1.07	-$144.41 million	($0.49)	-21.01

UiPath has higher revenue and earnings than Lightspeed Commerce. Lightspeed Commerce is trading at a lower price-to-earnings ratio than UiPath, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for UiPath and Lightspeed Commerce, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
UiPath	2	15	4	0	2.10
Lightspeed Commerce	3	9	4	0	2.06

UiPath currently has a consensus price target of $15.69, suggesting a potential upside of 20.86%. Lightspeed Commerce has a consensus price target of $11.35, suggesting a potential upside of 10.21%. Given UiPath’s stronger consensus rating and higher possible upside, research analysts plainly believe UiPath is more favorable than Lightspeed Commerce.

Insider & Institutional Ownership

62.5% of UiPath shares are held by institutional investors. Comparatively, 68.7% of Lightspeed Commerce shares are held by institutional investors. 22.4% of UiPath shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility and Risk

UiPath has a beta of 1.04, indicating that its share price is 4% more volatile than the S&P 500. Comparatively, Lightspeed Commerce has a beta of 1.85, indicating that its share price is 85% more volatile than the S&P 500.

Summary

UiPath beats Lightspeed Commerce on 11 of the 13 factors compared between the two stocks.

About UiPath

UiPath Inc. provides an end-to-end automation platform that offers a range of robotic process automation (RPA) solutions primarily in the United States, Romania, the United Kingdom, the Netherlands, and internationally. The company offers a suite of interrelated software to build, manage, run, engage, measure, and govern automation within the organization. Its platform's embedded AI, ML, and NLP capabilities improve decisioning and information processing; emulate human behavior allows organizations to address a myriad of use cases; emulate human behavior allows organizations to address a myriad of use cases; multi-tenant platform enterprise deployment with security and governance and Automation Cloud, which enables customers to begin automating without the need to provision infrastructure, install applications, or perform additional configurations; intuitive interface and low-code, drag-and-drop functionality; signed to enable people and automations to work together; and tracks, measures, and forecasts the performance of automations, enables customers to gain powerful insights and generate key performance indicators with actionable metric. It serves banking and financial services, healthcare, insurance, public sectors, manufacturing, retail, and telecom industries. The company was founded in 2005 and is headquartered in New York, New York.

About Lightspeed Commerce

Lightspeed Commerce Inc. engages in sale of cloud-based software subscriptions and payments solutions for small and midsize businesses, retailers, restaurants, and golf course operators in North America, Europe, the United Kingdom, Australia, New Zealand, and internationally. Its Software as a Service platform enables customers to engage with consumers, manage operations, accept payments, etc. The company's cloud platforms are designed interrelated elements, such as omni-channel consumer experience, a comprehensive back-office operations management suite to improve customers' efficiency and insight, and the facilitation of payments. Its platform functionalities include full omni-channel capabilities, point of sale (POS), product and menu management, employee and inventory management, analytics and reporting, multi-location connectivity, order-ahead and curbside pickup functionality, loyalty, and customer management solutions. The company also offers tailored financial solutions, such as Lightspeed Retail, Lightspeed eCommerce, Lightspeed Restaurant, and Lightspeed B2B solutions. In addition, it sells hardware, including tablets, customer facing displays, receipt printers, networking hardware, cash drawers, payment terminals, servers, stands, bar-code scanners, and an assortment of accessories, as well as provides installation and implementation services. The company was formerly known as Lightspeed POS Inc. and changed its name to Lightspeed Commerce Inc. in August 2021. Lightspeed Commerce Inc. was incorporated in 2005 and is headquartered in Montreal, Canada.