Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Sep 25, 2026
Insmed Inc (INSM)
A forensic read on Insmed 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
Safe
Financial health
4.6
Distress distance
Clean
Earnings quality
4
Forensic signals
-29.2
P / E (ttm)
-172.8%
ROE
$25.8B
Market cap
0.00%
Dividend yield
66.7%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Insmed Inc earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 4.6, placing it in the Safe zone. 4 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-76.6%
FY2025
Return on invested capital.Return on invested capital is -76.6% in the latest fiscal year, against -90.2% in FY2023, having run between -90.2% and -59.2% across FY2023–FY2025 with no direction held. After-tax operating profit was ($561M) in FY2023 and ($985M) in FY2025, with operating income at -232.5% of revenue in FY2023, -241.5% in FY2024 and -205.6% in FY2025. The capital base behind it grew +107% across FY2023–FY2025, from $622M to $1.3B, and the return did not fall doing it, so the dollars added over that window earned at least the -90.2% the older base was already earning.
+19.0%/yr
FY2023–FY2025
Share-count dilution.Diluted share count changed +42% over the last 2 years to FY2025 (+19.0%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~19.0% 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 FY2023 has been diluted ~29%.
25% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 25% of revenue in FY2025 — about $0.77 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 19.1% a year and that rate is not falling, so total profit has to grow by that much annually before any of it reaches a share. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.
85d DSO
FY2024→FY2025
Receivables vs revenue.Days sales outstanding moved from 52 to 85 days FY2024→FY2025 (receivables +171% vs revenue +67%). Receivables are creeping up relative to sales. Across FY2023–FY2025 the day count ran 49 → 52 → 85 days, so the latest reading sits on top of a record that was flat or falling before it — one year's move, not a direction the business has been travelling in. Both figures are measured on period-end balances rather than the beginning-plus-ending average, because averaging needs the balance a year before every reading — FY2024's opening balance is on file, but across the 3 fiscal years read here (FY2023–FY2025) the average yields only 2 day counts (1 step), too few to tell a climb from one year's move.
Key fundamentals
Latest Revenue$606.4M
Revenue Growth YoY+66.7%
Revenue CAGR (2yr)+40.9%
Net Margin-210.5%
Free Cash Flow-$967.6M
Return on Equity-172.8%
Debt / Equity0.73x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Insmed Inc's actual 10-K/10-Q/8-K filings?