Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Jun 27, 2026
Tarsus Pharmaceuticals, Inc. (TARS)
A forensic read on Tarsus Pharmaceuticals, 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
2.8
Altman Z-score
Watch
Earnings quality
3
Forensic signals
-14.2%
ROE
$2.7B
Market cap
Tarsus Pharmaceuticals, Inc. earns a D (Weak — demands caution) forensic quality grade, and its Altman Z-score is 2.8, placing it in the Safe zone. 3 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-23%Return on invested capital.Return on invested capital is -23% and rising from -35% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+23.2%/yrShare-count dilution.Diluted share count changed +70% over the last 3 years to FY2025 (+23.2%/yr). The count is GROWING — existing holders are being diluted. That's ~23.2% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~70%.
+14.1%Accruals ratio.Net operating assets grew +14.1% relative to their average in FY2025 — the accrual component of earnings. Accruals are building faster than is comfortable — part of profit sits in receivables, inventory or capitalized costs rather than cash. The cash-flow cross-check agrees: reported earnings ran behind operating cash by -25% of net operating assets.
Key fundamentals
Net Margin-14.7%
Debt / Equity0.21x
Free Cash Flow$-22.3M
Latest Revenue$451.4M
Return on Equity-19.3%
Revenue Growth YoY+146.7%
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 Tarsus Pharmaceuticals, Inc.:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about TARS'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