Forensic Analysis · Durable Goods, Textiles & Apparel · as of Aug 12, 2026
Lightwave Logic, Inc. (LWLG)
A forensic read on Lightwave Logic, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
C · Mixed — selective
Forensic grade
Grey Zone
Financial health
9.6
Distress distance
Watch
Earnings quality
3
Forensic signals
-49.7
P / E (ttm)
-27.2%
ROE
$1.2B
Market cap
0.00%
Dividend yield
147.7%
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). 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.
Lightwave Logic, Inc. earns a C (Mixed — selective) forensic quality grade, and its balance-sheet distress test reads 9.6, placing it in the Grey zone. 3 forensic signals were flagged in its latest SEC filings, led by share-count dilution.
What the filings flag
+4.8%/yr
FY2022–FY2025
Share-count dilution.Diluted share count changed +15% over the last 3 years to FY2025 (+4.8%/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 ~4.8% 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 ~13%.
1977% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 1977% of revenue in FY2025 — about $0.04 per diluted share. The cost of it is not in the cash flow — no cash left the business — it is in the count: holders gave up about 4.8% of the company a year, and that rate is not falling. That is the figure to weigh, not the share of free cash flow.
182d DSO
FY2024→FY2025
Receivables vs revenue.Days sales outstanding moved from 145 to 182 days FY2024→FY2025 (receivables +319% vs revenue +148%). Receivables are creeping up relative to sales. Across FY2023–FY2025 the day count ran 3030 → 145 → 182 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. Deferred revenue was roughly flat (-72%) over the same period, which doesn't corroborate a benign upfront-billing explanation for the receivables build.
Key fundamentals
Latest Revenue$236,855.00
Revenue Growth YoY+147.7%
Net Margin-8576.5%
Free Cash Flow-$15.1M
Return on Equity-27.2%
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 Lightwave Logic, Inc.'s actual 10-K/10-Q/8-K filings?