Sign in
Knowstox

Fundamentals snapshot

Tarsus Pharmaceuticals, Inc.

TARS · NMS · Healthcare · Biotechnology

Current price

$73.16

52-week range

$53.89 - $91.53

Market cap

$3.42B

One-glance verdict

Overvalued

$11.07 our estimate vs market $73.16

Wall Street consensus: $99.50 (798.5% higher than our fair-value estimate)

Balance sheet

Healthy

-8.51x Concerning

Net cash $360.88M. Interest coverage shows how many times profit covers the interest bill.

What this company does

Tarsus Pharmaceuticals, Inc.

Tarsus Pharmaceuticals develops and sells treatments for eye conditions, with their main product, XDEMVY, targeting a common cause of eyelid irritation related to tiny mites. The money they make comes from selling these treatments to pharmacies and healthcare providers. This matters because it shows how their main eye product is generating sales as they continue to develop other potential treatments for different health issues.

Price history

How the share price has moved

—
Loading price history…

Earnings history

Last 8 quarters — what happened

Click any quarter to read the call summary and what the numbers say.

Free cash flow by quarter (oldest to newest)
FY2024 Q3 $-8.93M FY2024 Q4 $-22.25M FY2025 Q1 $-21.24M FY2025 Q2 $-30.39M FY2025 Q3 $16.35M FY2025 Q4 $12.97M FY2026 Q1 $-30.47M FY2026 Q2 $57.15M
Revenue $173.91M
Net income $-18.55M
Diluted EPS -0.43
Operating cash flow $61.22M
Free cash flow $57.15M
Revenue $162.05M
Net income $-6.97M
Diluted EPS -0.16
Operating cash flow $-24.65M
Free cash flow $-30.47M
Revenue $151.67M
Net income $-8.37M
Diluted EPS -0.17
Operating cash flow $19.33M
Free cash flow $12.97M
Revenue $118.70M
Net income $-12.59M
Diluted EPS -0.30
Operating cash flow $18.26M
Free cash flow $16.35M
Revenue $102.66M
Net income $-20.34M
Diluted EPS -0.48
Operating cash flow $-29.39M
Free cash flow $-30.39M
Revenue $78.33M
Net income $-25.12M
Diluted EPS -0.64
Operating cash flow $-20.65M
Free cash flow $-21.24M
Revenue $66.41M
Net income $-23.11M
Diluted EPS -0.57
Operating cash flow $-22.18M
Free cash flow $-22.25M
Revenue $48.12M
Net income $-23.42M
Diluted EPS -0.61
Operating cash flow $-8.65M
Free cash flow $-8.93M

Is it cheap or expensive?

Fair value $11.07 vs current price $73.16

Wall Street consensus is the average analyst price target: $99.50 (798.5% higher than our fair-value estimate).

Our most-likely fair value is $11.07 a share — about 84.9% below today's price of $73.16, so the stock currently looks expensive (overvalued).

overvalued

We estimate the cash this business should generate over the next 10 years and beyond, then convert it to today's money for a fair value per share, in its trading currency. Cautious, middle and optimistic growth cases give a range. Not for banks/insurers.

Base

Growth 15.0% · Discount 7.2% · Terminal 3.0%

$11.07

Bear

Growth 5.0% · Discount 7.2% · Terminal 3.0%

$9.59

Bull

Growth 25.0% · Discount 7.2% · Terminal 3.0%

$13.56

Is it drowning in debt?

Healthy

Net cash $360.9M - more cash than debt. Interest coverage -8.5x.

Net debt $-360.88M
Interest coverage -8.51x

Tarsus Pharmaceuticals, Inc. is healthier than 0 of 1 peers on balance-sheet leverage.

Healthy
Worse cushion Baseline Better cushion
TARS BASELINE Tarsus Pharmaceuticals, Inc.

Total debt $88.81M Interest coverage -8.51x This is the baseline the peer rows are being compared against.

-8.51x

What you should know

The case for and against TARS

2 Rewards 1 Risk

Rewards

  • Revenue grew 34.3% last year.
  • Free cash flow was positive in 1/10 years.

Risks

  • Return on equity was -13.7% last year — the company lost money on shareholders' equity.

The numbers

All the key metrics, grouped by purpose

Tap any ? icon to learn what it means.

Valuation

How expensive the stock looks

P/E (TTM)
—
Forward P/E
-203.22x
P/B
9.13x
P/S
5.65x
EV/EBITDA
-61.69x
PEG ratio
—

Profitability

How much profit each dollar creates

Gross margin
82.7%
Operating margin
-11.4%
Net margin
-7.7%
ROE
-13.7%
ROA
-5.5%

Health

Liquidity and balance-sheet strength

Debt / equity
0.26x
Current ratio
3.20x
Quick ratio
3.12x
Total debt
$88.81M
Total cash
$449.69M

Growth

How the business has been compounding

Revenue TTM
$606.33M
Revenue 5Y CAGR
67.7%
EPS TTM
-1.08
EPS 5Y CAGR
—

Cash flow

How much cash the business throws off

Operating CF TTM
$74.16M
Free CF TTM
$-22.31M
FCF margin
-3.7%

Dividend

Shareholder payout

Yield
0.0%
Payout ratio
—
Last ex-div date
—