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TARSUS PHARMACEUTICALS INC (TARS) Stock Fundamental Analysis

USA - NASDAQ:TARS - US87650L1035 - Common Stock

67.715 USD
+2.55 (+3.91%)
Last: 10/6/2025, 9:04:54 PM
67.1 USD
-0.62 (-0.91%)
After Hours: 10/6/2025, 9:04:54 PM
Fundamental Rating

4

TARS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 196 industry peers in the Pharmaceuticals industry. While TARS seems to be doing ok healthwise, there are quite some concerns on its profitability. TARS is valued quite expensively, but it does show have an excellent growth rating.


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

TARS had negative earnings in the past year.
TARS had a negative operating cash flow in the past year.
In the past 5 years TARS always reported negative net income.
TARS had negative operating cash flow in 4 of the past 5 years.
TARS Yearly Net Income VS EBIT VS OCF VS FCFTARS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2018 2019 2020 2021 2022 2023 2024 0 -50M -100M

1.2 Ratios

TARS has a better Return On Assets (-18.58%) than 60.71% of its industry peers.
With a decent Return On Equity value of -27.66%, TARS is doing good in the industry, outperforming 61.22% of the companies in the same industry.
Industry RankSector Rank
ROA -18.58%
ROE -27.66%
ROIC N/A
ROA(3y)-36.36%
ROA(5y)-26.48%
ROE(3y)-50.88%
ROE(5y)-35.42%
ROIC(3y)N/A
ROIC(5y)N/A
TARS Yearly ROA, ROE, ROICTARS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2018 2019 2020 2021 2022 2023 2024 -20 -40 -60

1.3 Margins

TARS has a better Gross Margin (93.36%) than 95.41% of its industry peers.
In the last couple of years the Gross Margin of TARS has remained more or less at the same level.
TARS does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 93.36%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5YN/A
TARS Yearly Profit, Operating, Gross MarginsTARS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2018 2019 2020 2021 2022 2023 2024 0 -200 -400 -600 -800

5

2. Health

2.1 Basic Checks

TARS does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for TARS has been increased compared to 1 year ago.
The number of shares outstanding for TARS has been increased compared to 5 years ago.
TARS has a worse debt/assets ratio than last year.
TARS Yearly Shares OutstandingTARS Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
TARS Yearly Total Debt VS Total AssetsTARS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

2.2 Solvency

TARS has an Altman-Z score of 9.89. This indicates that TARS is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 9.89, TARS belongs to the best of the industry, outperforming 84.69% of the companies in the same industry.
TARS has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
TARS has a Debt to Equity ratio (0.22) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.22
Debt/FCF N/A
Altman-Z 9.89
ROIC/WACCN/A
WACC8.82%
TARS Yearly LT Debt VS Equity VS FCFTARS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M

2.3 Liquidity

A Current Ratio of 5.26 indicates that TARS has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 5.26, TARS is in the better half of the industry, outperforming 70.41% of the companies in the same industry.
TARS has a Quick Ratio of 5.21. This indicates that TARS is financially healthy and has no problem in meeting its short term obligations.
TARS has a better Quick ratio (5.21) than 70.92% of its industry peers.
Industry RankSector Rank
Current Ratio 5.26
Quick Ratio 5.21
TARS Yearly Current Assets VS Current LiabilitesTARS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

7

3. Growth

3.1 Past

TARS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 47.99%, which is quite impressive.
The Revenue has grown by 254.46% in the past year. This is a very strong growth!
The Revenue has been growing by 47.48% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)47.99%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%45.45%
Revenue 1Y (TTM)254.46%
Revenue growth 3Y47.48%
Revenue growth 5YN/A
Sales Q2Q%151.54%

3.2 Future

Based on estimates for the next years, TARS will show a very strong growth in Earnings Per Share. The EPS will grow by 28.17% on average per year.
TARS is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 42.81% yearly.
EPS Next Y53.06%
EPS Next 2Y58.92%
EPS Next 3Y45.94%
EPS Next 5Y28.17%
Revenue Next Year143.49%
Revenue Next 2Y86.5%
Revenue Next 3Y67.81%
Revenue Next 5Y42.81%

3.3 Evolution

The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
TARS Yearly Revenue VS EstimatesTARS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B
TARS Yearly EPS VS EstimatesTARS Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0 2 -2 4 -4 6

2

4. Valuation

4.1 Price/Earnings Ratio

TARS reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 41.56, the valuation of TARS can be described as expensive.
67.86% of the companies in the same industry are more expensive than TARS, based on the Price/Forward Earnings ratio.
TARS is valuated expensively when we compare the Price/Forward Earnings ratio to 23.36, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE N/A
Fwd PE 41.56
TARS Price Earnings VS Forward Price EarningsTARS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 -20 40

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
TARS Per share dataTARS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 -2 4 6

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as TARS's earnings are expected to grow with 45.94% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y58.92%
EPS Next 3Y45.94%

0

5. Dividend

5.1 Amount

No dividends for TARS!.
Industry RankSector Rank
Dividend Yield N/A

TARSUS PHARMACEUTICALS INC

NASDAQ:TARS (10/6/2025, 9:04:54 PM)

After market: 67.1 -0.62 (-0.91%)

67.715

+2.55 (+3.91%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)08-06 2025-08-06/amc
Earnings (Next)11-11 2025-11-11/amc
Inst Owners110.23%
Inst Owner Change0%
Ins Owners3.27%
Ins Owner Change-0.15%
Market Cap2.86B
Analysts87.14
Price Target75.19 (11.04%)
Short Float %19.46%
Short Ratio11.52
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.83%
Min EPS beat(2)-17.77%
Max EPS beat(2)14.11%
EPS beat(4)3
Avg EPS beat(4)13.91%
Min EPS beat(4)-17.77%
Max EPS beat(4)38.51%
EPS beat(8)7
Avg EPS beat(8)11.74%
EPS beat(12)10
Avg EPS beat(12)11.83%
EPS beat(16)12
Avg EPS beat(16)8.05%
Revenue beat(2)2
Avg Revenue beat(2)5.58%
Min Revenue beat(2)5.19%
Max Revenue beat(2)5.98%
Revenue beat(4)4
Avg Revenue beat(4)7.85%
Min Revenue beat(4)5.19%
Max Revenue beat(4)11.62%
Revenue beat(8)8
Avg Revenue beat(8)74.75%
Revenue beat(12)8
Avg Revenue beat(12)31.2%
Revenue beat(16)9
Avg Revenue beat(16)8.87%
PT rev (1m)0%
PT rev (3m)3.61%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-33.54%
EPS NY rev (1m)-3.81%
EPS NY rev (3m)-20.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)8%
Revenue NY rev (1m)-99.29%
Revenue NY rev (3m)6.43%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE 41.56
P/S 9.67
P/FCF N/A
P/OCF N/A
P/B 8.59
P/tB 8.8
EV/EBITDA N/A
EPS(TTM)-2.33
EYN/A
EPS(NY)1.63
Fwd EY2.41%
FCF(TTM)-2.08
FCFYN/A
OCF(TTM)-1.92
OCFYN/A
SpS7
BVpS7.88
TBVpS7.69
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -18.58%
ROE -27.66%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 93.36%
FCFM N/A
ROA(3y)-36.36%
ROA(5y)-26.48%
ROE(3y)-50.88%
ROE(5y)-35.42%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5YN/A
F-Score5
Asset Turnover0.6
Health
Industry RankSector Rank
Debt/Equity 0.22
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 426.34%
Cap/Sales 2.35%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 5.26
Quick Ratio 5.21
Altman-Z 9.89
F-Score5
WACC8.82%
ROIC/WACCN/A
Cap/Depr(3y)439.33%
Cap/Depr(5y)393.66%
Cap/Sales(3y)12.37%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)47.99%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%45.45%
EPS Next Y53.06%
EPS Next 2Y58.92%
EPS Next 3Y45.94%
EPS Next 5Y28.17%
Revenue 1Y (TTM)254.46%
Revenue growth 3Y47.48%
Revenue growth 5YN/A
Sales Q2Q%151.54%
Revenue Next Year143.49%
Revenue Next 2Y86.5%
Revenue Next 3Y67.81%
Revenue Next 5Y42.81%
EBIT growth 1Y37.3%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year65.38%
EBIT Next 3Y55.5%
EBIT Next 5Y22.13%
FCF growth 1Y-14.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-7.43%
OCF growth 3YN/A
OCF growth 5YN/A