Filing Flows › Companies › UiPath › Analysis traps
UiPath (PATH): analysis traps
Where its figures could mislead a reader, and what to check before taking them at face value · Data: Q2 FY27, to Jul 31, 2026, filed Sep 8, 2026; rules v1.1
UiPath (PATH): 0 rules of 10 triggered on the filings to Jul 31, 2026. 1 to review; 2 with insufficient data; 3 not applicable. Each is a question to verify, with the normal explanation that would produce the same figures.
Check these first
A precise DCF value = the true value To review · confidence high
The DCF's point value is 7.69 a share (price 13.00); 71% of it is the terminal value, a number about years no one has seen. Moving operating margin by ±3 pts alone takes it from 5.92 to 9.46; across every method the research ran the range is 0 to 47. The value is a range; the decimals are not information.
Innocent reading: A stable, mature business with a narrow range of outcomes, where the point value is a fair summary.
Every rule
A01 FCF growth = the business improved Not triggered confidence medium
Free cash flow rose $47M to $352M; working capital and lower capex explain 0% of it, so most of the gain is in operating cash flow itself.
The figures and how they are read
| Fiscal year before | FY25 |
| Fiscal year | FY26 |
| Operating cash flow, year before | $321M |
| Operating cash flow | $371M |
| Capex, year before | $15M |
| Capex | $19M |
| Free cash flow, year before | $306M |
| Free cash flow | $352M |
| Change in FCF | $47M |
| Change in capex | $4M |
| Working capital: change in its cash contribution | −$84M |
| Of which: capex cut | 0.00 |
| Of which: working capital released | 0.00 |
| Share of the increase that need not repeat | +0.0% |
| Operating cash flow before working capital: change | 134908000.00 |
FCF = operating cash flow − cash capex; ΔFCF = ΔOCF − ΔCapEx; the working-capital part is the change in the cash-bridge items (receivables, inventory, payables, accruals), with the sign of the cash flow statement
Source: FY26 (cash flow statement, fiscal year) · FY25 (cash flow statement, fiscal year before)
A07 Stock compensation added back = no economic cost Not triggered confidence high
Stock compensation is 18.0% of revenue, but buybacks of $329M covered it (1.1×) and the diluted share count fell 2.7%: the dilution has been paid for in cash.
The figures and how they are read
| Fiscal year | FY26 |
| Stock compensation | $291M |
| Revenue | $1.6B |
| SBC / revenue | +18.1% |
| Buybacks | $329M |
| Buybacks / SBC | 1.1 |
| Diluted shares, year before | 559.9M shares |
| Diluted shares | 544.9M shares |
| Diluted shares: change | -2.7% |
SBC / revenue from the cash flow statement's add-back; the diluted weighted share count year over year; buybacks from the financing section
Source: FY26 (stock compensation, buybacks and the diluted share count, fiscal year)
B02 Receivables growing = future cash is certain Not triggered confidence medium
Receivables grew 14% against revenue 13% in Q2 FY27; DSO 68 against a median of 82: collections are keeping pace with sales.
The figures and how they are read
| Quarter | Q2 FY27 |
| Revenue, year over year | +13.4% |
| Receivables, year over year | +13.8% |
| Quarter before | Q1 FY27 |
| Revenue y/y, quarter before | +17.3% |
| Receivables y/y, quarter before | +12.5% |
| Days sales outstanding | 68.1 |
| DSO, median of eight quarters | 81.8 |
| Receivables | $307M |
| Revenue | $410M |
receivables and revenue against the same quarter a year earlier; DSO = receivables / quarterly revenue × days, against the median of the eight quarters before
Source: Q2 FY27 (receivables and revenue) · Q2 FY26 (the same quarter a year earlier)
B08 Adjusted profit = economic profit Insufficient data
no reconciliation table read from the releases yet and fewer than three quarters with both an adjusted and a GAAP EPS
C02 Low net debt = no refinancing risk Insufficient data
no debt figure could be read from the balance sheet (the filing may tag it in other lines)
D03 EPS growth = profit growth Not triggered confidence high
EPS rose 2200% and net income rose 2178% in Q2 FY27; the share count fell 3.7%: EPS growth follows profit growth.
The figures and how they are read
| Quarter | Q2 FY27 |
| Quarter before | Q2 FY26 |
| EPS, year before | $0.00 |
| EPS | $0.07 |
| Net income, year before | $2M |
| Net income | $36M |
| Diluted shares, year before | 542.9M shares |
| Diluted shares | 523.0M shares |
| EPS growth | 22.00 |
| Net income growth | 21.78 |
| Diluted shares: change | -3.7% |
| eps from profit | $0.06 |
| eps from share count | $0.00 |
EPS and net income against the same quarter a year earlier; the EPS bridge attributes the change to profit first, then to the share count (the order is fixed and disclosed)
Source: Q2 FY27 (net income, diluted shares, EPS) · Q2 FY26 (the same quarter a year earlier)
E02 Low P/E at a cyclical peak = undervalued Not applicable
a loss on a trailing or mid-cycle basis: the P/E has no meaning
E07 A precise DCF value = the true value To review confidence high
The DCF's point value is 7.69 a share (price 13.00); 71% of it is the terminal value, a number about years no one has seen. Moving operating margin by ±3 pts alone takes it from 5.92 to 9.46; across every method the research ran the range is 0 to 47. The value is a range; the decimals are not information.
The figures and how they are read
| dcf value | 7.69 |
| price | 13.00 |
| terminal value share | +70.6% |
| swing by input | Operating margin / ±3 pts / 5.92 / 9.46; Revenue growth (each year) / ±5 pts / 6.79 / 8.75; WACC / ±1 pt / 7.06 / 8.52; Terminal growth / ±0.5 pt / 7.52 / 7.88 |
| range all methods | 0.13; 47.23 |
the DCF's point value against the share of it that is the terminal value and the value at each input moved by one step (growth ±5 pts, WACC ±1 pt, margin ±3 pts …); the range across every method the research ran
Source: 2026-11-08 (valuation research)
What would explain it innocently
- A stable, mature business with a narrow range of outcomes, where the point value is a fair summary
- The inputs that matter most are themselves well known (a regulated return, a long contract)
What to look for in the filing
- Which input you believe differs from the research's and why
- What the price implies for growth (the reverse DCF on the fair-value page)
What would show the trap does not apply
- The DCF's value is robust to the terminal growth and discount rate (the range's low end is still above the price)
- The company's cash flows over the next three years track the DCF's early years
Look again: next filing.
J06 A bank's low P/E and high profit = safe Not applicable
not a bank
J08 A REIT's low net income = the dividend is unsafe Not applicable
not a REIT
What the statuses mean
Triggered: the filings show the pattern; read the normal explanations and the missing evidence before concluding anything. To review: one quarter or a weak signal; a reader's judgement, not a pattern. Not triggered: the pattern is absent on these figures. Insufficient data: the filings read so far do not hold what the rule needs; this is not a clean bill. Not applicable: the rule is not meant for this kind of company (a bank's working capital, a loss-making quarter's EPS growth). Out of date: the latest filing is more than fifteen months old.
Severity is what the pattern could mean for cash, value or solvency; confidence is how reliable the inputs and the reading are. The two are kept apart.
Record a view
A reader's judgement, grounds, what would change it and the next review; kept in the browser (needs JavaScript).
Every rule and the companies it triggers on → UiPath: cash flow → Earnings quality score →
Each rule reads the company's own filings by a fixed formula and says what would explain the same figures innocently. A triggered rule is a question to verify, not a finding of manipulation, and not a view on the stock. Missing data is shown as missing, never as clear. Not investment advice.