Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Jun 28, 2026
Evolus, Inc. (EOLS)
A forensic read on Evolus, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Distress
Financial health
-8.7
Altman Z-score
Clean
Earnings quality
4
Forensic signals
-410.2%
ROE
$470M
Market cap
Evolus, Inc. earns a D (Weak — demands caution) forensic quality grade, and its Altman Z-score is -8.7, placing it in the Distress zone. 4 forensic signals were flagged in its latest SEC filings, led by accruals ratio.
What the filings flag
+53.3%Accruals ratio.Net operating assets grew +53.3% relative to their average in FY2025 — the accrual component of earnings. Accruals are building sharply — a large slice of profit sits in operating assets, not cash; Richardson/Sloan link high accruals to weaker future returns as they reverse. The cash-flow cross-check agrees: reported earnings ran behind operating cash by -17% of net operating assets.
98dInventory days.Days inventory outstanding moved from 53 to 98 FY2024→FY2025 (against cost of goods sold; inventory +122% vs +19% in cost of sales). Inventory is outrunning what's being sold — a flag for softening demand or obsolescence risk ahead.
-27%Return on invested capital.Return on invested capital is -27% and rising from -67% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+5.0%/yrShare-count dilution.Diluted share count changed +15% over the last 3 years to FY2025 (+5.0%/yr). The count is GROWING — existing holders are being diluted. That's ~5.0% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~15%.
Key fundamentals
Net Margin-17.4%
Free Cash Flow$-45.7M
Latest Revenue$297.2M
Revenue Growth YoY+11.6%
Go deeper — free with an account
The forensic grade and screens above are free — no account needed. An account adds the full interactive deep-dive on Evolus, Inc.:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about EOLS's filings — AI Q&A across the 10-K, 10-Qs & 8-Ks
🔒Interactive valuation — reverse-DCF sliders, Monte Carlo & scenario stress
🔒Calibrated 12-month price forecast, with the math shown