Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Aug 10, 2026
Krystal Biotech, Inc. (KRYS)
A forensic read on Krystal Biotech, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
B · Sound & dependable
Forensic grade
Safe
Financial health
18.0
Distress distance
Clean
Earnings quality
5
Forensic signals
42.4
P / E (ttm)
16.8%
ROE
$9.7B
Market cap
33.9%
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). 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.
Krystal Biotech, Inc. earns a B (Sound & dependable) forensic quality grade, and its balance-sheet distress test reads 18.0, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by share-count dilution.
What the filings flag
+5.5%/yr
FY2022–FY2025
Share-count dilution.Diluted share count changed +17% over the last 3 years to FY2025 (+5.5%/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 ~5.5% 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%.
0.77×
FY2023–FY2025
Cash conversion.Over FY2023–FY2025, operating cash flow was 0.77× cumulative net income. Cash is lagging reported profit. The shortfall is profit tied up in working capital rather than collected — the accrual and receivables lines below show where.
109d DSO
FY2024→FY2025
Receivables vs revenue.Days sales outstanding moved from 92 to 109 days FY2024→FY2025 (receivables +22% vs revenue +34%). Receivables are creeping up relative to sales. Only 77¢ of operating cash arrived for every dollar of profit reported over FY2023–FY2025 ($235.5M against $304.9M), and the receivables balance is one of the places the rest is sitting.
31d
FY2024→FY2025
Inventory days.Days inventory outstanding moved from 21 to 31 FY2024→FY2025 (against revenue (COGS not disclosed); inventory +53% vs +34% in revenue). Inventory is building a little faster than sales — watch for markdowns.
14% of rev
FY2025
Stock-based comp load.
Key fundamentals
Latest Revenue$389.1M
Revenue Growth YoY+33.9%
Net Margin52.6%
Free Cash Flow$188.9M
Return on Equity16.8%
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 Krystal Biotech, Inc.'s actual 10-K/10-Q/8-K filings?
Data from SEC EDGAR public filings · metrics as of Aug 10, 2026. Forensic signals flag probability, not certainty.
Krystal Biotech, Inc. (KRYS) Stock — Forensic Analysis, Red Flags & Rating | Stockonomy · Stockonomy
Stock-based compensation ran 14% of revenue and 29% of free cash flow in FY2025 — about $1.82 per diluted share. The cost of it is not in the cash flow — no cash left the business — it is in the count, and there it has run at about 5.6% a year and is falling.