Forensic Analysis · Technology / Software · as of Jun 28, 2026
Simulations Plus, Inc. (SLP)
A forensic read on Simulations Plus, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
A · High-quality compounder
Forensic grade
Safe
Financial health
10.4
Altman Z-score
Clean
Earnings quality
5
Forensic signals
-49.3%
ROE
$368M
Market cap
0.61%
Dividend yield
Simulations Plus, Inc. earns a A (High-quality compounder) forensic quality grade, and its Altman Z-score is 10.4, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-59%Return on invested capital.Return on invested capital is -59% and slipping from 10% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
8% of revStock-based comp load.Stock-based compensation ran 8% of revenue and 36% of free cash flow in FY2025 — about $0.32 per diluted share. Heavy — a large slice of 'free cash flow' is really being paid out in stock, so the true owner cash per share is well below the headline.
stoppedShareholder returns — halted.Capital returns have STOPPED — $5M of buybacks + dividends in FY2024, but ~$0 in FY2025. A halt usually means the company is conserving cash; understand why before reading it as neutral.
suspendedDividend — suspended.The dividend has been SUSPENDED — $5M paid in FY2024, then $0 in FY2025. A suspension is a major signal the board is conserving cash; the prior payment history doesn't offset it.
$52MGoodwill impairments.Took $52M of goodwill writedowns across 1 year(s) (FY2025 ($52M)). Writedowns mean past acquisitions underperformed what was paid for them — worth weighing on capital-allocation skill.
Key fundamentals
Net Margin-81.7%
Debt / Equity0.05x
Free Cash Flow$17.4M
Latest Revenue$79.2M
Return on Equity-51.9%
Revenue Growth YoY+13.1%
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 Simulations Plus, Inc.:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about SLP'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