Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Aug 28, 2026
Q32 Bio Inc. (QTTB)
A forensic read on Q32 Bio 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
8.3
Distress distance
Watch
Earnings quality
3
Forensic signals
15.7
P / E (ttm)
71.0%
ROE
$481M
Market cap
1797.5%
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.
Q32 Bio Inc. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 8.3, placing it in the Safe zone. 3 forensic signals were flagged in its latest SEC filings, led by stock-based comp load.
What the filings flag
10% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 10% of revenue in FY2025 — about $0.43 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 15.7% 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.
-$119.9M
FY2023–FY2025
Cash burn vs. reported loss.Over FY2023–FY2025, the company reported a cumulative net loss of $71.7M against operating cash flow of -$119.9M. Cash burn ran heavier than the reported loss — something outside net income (working capital, a cash item not in the P&L) is consuming cash faster than the loss alone implies.
n/m (stock split)
FY2022–FY2025
Share count (stock split).Diluted share count changed -79% over the last 3 years to FY2025, but that includes a large one-time change around FY2023 consistent with a stock split or reverse split, not gradual buybacks or issuance — a split changes the count with NO effect on any holder's proportional ownership, so the raw -40.1%/yr figure isn't a real buyback/dilution read here.
Key fundamentals
Latest Revenue$53.7M
Revenue Growth YoY+1797.5%
Revenue CAGR (3yr)+155.8%
Net Margin55.5%
Free Cash Flow-$33.5M
Return on Equity71.0%
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 Q32 Bio Inc.'s actual 10-K/10-Q/8-K filings?