Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Jun 28, 2026
SHOULDER INNOVATIONS, INC. (SI)
A forensic read on SHOULDER INNOVATIONS, 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
7.7
Altman Z-score
Clean
Earnings quality
5
Forensic signals
-13.6%
ROE
$473M
Market cap
SHOULDER INNOVATIONS, INC. earns a D (Weak — demands caution) forensic quality grade, and its Altman Z-score is 7.7, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by accruals ratio.
What the filings flag
+127.9%Accruals ratio.Net operating assets grew +127.9% relative to their average in FY2025 — the accrual component of earnings. Accruals are building sharply — a large slice of profit sits in operating assets, not cash; Richardson/Sloan link high accruals to weaker future returns as they reverse. The cash-flow cross-check agrees: reported earnings ran behind operating cash by -15% of net operating assets.
-16%Return on invested capital.Return on invested capital is -16% and rising from -39% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+13340.5%/yrShare-count dilution.Diluted share count changed +13340% over the last 1 years to FY2025 (+13340.5%/yr). The count is GROWING — existing holders are being diluted. That's ~13340.5% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2024 has been diluted ~13340%.
64d DSOReceivables vs revenue.Days sales outstanding moved from 59 to 64 days FY2024→FY2025 (receivables +61% vs revenue +50%). Receivables are creeping up relative to sales — watch the trend.
709dInventory days.Days inventory outstanding moved from 699 to 709 FY2024→FY2025 (against cost of goods sold; inventory +55% vs +53% in cost of sales). Inventory is building a little faster than sales — watch for markdowns.
Key fundamentals
Net Margin-85.3%
Debt / Equity0.11x
Free Cash Flow$-36.0M
Latest Revenue$47.3M
Return on Equity-28.7%
Revenue Growth YoY+49.6%
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 SHOULDER INNOVATIONS, INC.:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about SI'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