📊 TARS Key Takeaways
Is Tarsus Pharmaceuticals, Inc. (TARS) a Good Investment?
Tarsus demonstrates exceptional revenue growth (+146.7% YoY) with improving profitability metrics (-3.8% operating margin approaching breakeven). Strong balance sheet with low leverage (0.21x Debt/Equity), solid cash reserves ($102.2M), and improving per-share economics support near-term path to profitability. Primary concern is negative operating cash flow (-$24.7M), indicating commercialization success has not yet translated to cash generation.
Tarsus Pharmaceuticals, Inc. Key Strengths (TARS)
- Exceptional revenue growth of 146.7% YoY demonstrating strong commercial execution in pharmaceutical market
- Operating margins approaching breakeven (-3.8%) with improving EPS trajectory (+48.2% YoY improvement)
- Fortress balance sheet with low leverage (0.21x Debt/Equity), $349M equity, and 3.74x current ratio providing financial flexibility
- Cash position of $102.2M sufficient for 4+ year runway at current burn rate
TARS Stock Risks: Tarsus Pharmaceuticals, Inc. Investment Risks
- Negative operating cash flow (-$24.7M) and free cash flow (-$30.5M) indicate company is unprofitable and burning cash despite revenue growth
- Path to profitability dependent on maintaining 146.7% growth trajectory; any slowdown could extend unprofitability
- Biotech sector inherent risks including regulatory approval, clinical data, competitive dynamics, and reimbursement pressures
- Negative interest coverage (-2.9x) reflects current unprofitability; vulnerable to macro headwinds affecting growth
Key Metrics to Watch
- Operating cash flow trajectory and achievement of positive OCF (critical inflection point)
- Gross margin realization and trend as company scales
- Revenue growth sustainability in subsequent quarters (confirm 146% growth not a one-time event)
- Path to operating profitability based on current margin trajectory and operating leverage
Tarsus Pharmaceuticals, Inc. (TARS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.74x current ratio provides a solid financial cushion.
TARS Profit Margin, ROE & Profitability Analysis
TARS vs Healthcare Sector: How Tarsus Pharmaceuticals, Inc. Compares
How Tarsus Pharmaceuticals, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Tarsus Pharmaceuticals, Inc. Stock Overvalued? TARS Valuation Analysis 2026
Based on fundamental analysis, Tarsus Pharmaceuticals, Inc. has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Tarsus Pharmaceuticals, Inc. Balance Sheet: TARS Debt, Cash & Liquidity
TARS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Tarsus Pharmaceuticals, Inc.'s revenue has grown significantly by 691% over the 5-year period, indicating strong business expansion. The most recent EPS of $-4.62 indicates the company is currently unprofitable.
TARS Revenue Growth, EPS Growth & YoY Performance
TARS Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $78.3M | -$7.0M | $-0.16 |
| Q3 2025 | $48.1M | -$12.6M | $-0.30 |
| Q2 2025 | $40.8M | -$20.3M | $-0.48 |
| Q1 2025 | $27.6M | -$25.1M | $-0.64 |
| Q3 2024 | $1.9M | -$23.4M | $-0.61 |
| Q2 2024 | N/A | -$23.4M | $-0.88 |
| Q1 2024 | $2.5M | -$23.4M | $-0.88 |
| Q3 2023 | N/A | -$5.7M | $-0.84 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Tarsus Pharmaceuticals, Inc. Dividends, Buybacks & Capital Allocation
TARS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Tarsus Pharmaceuticals, Inc. (CIK: 0001819790)
📋 Recent SEC Filings
❓ Frequently Asked Questions about TARS
What is the AI rating for TARS?
Tarsus Pharmaceuticals, Inc. (TARS) has an AI grade of A with 70% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TARS's key strengths?
Claude: Exceptional revenue growth of 146.7% YoY demonstrating strong commercial execution in pharmaceutical market. Operating margins approaching breakeven (-3.8%) with improving EPS trajectory (+48.2% YoY improvement).
What are the risks of investing in TARS?
Claude: Negative operating cash flow (-$24.7M) and free cash flow (-$30.5M) indicate company is unprofitable and burning cash despite revenue growth. Path to profitability dependent on maintaining 146.7% growth trajectory; any slowdown could extend unprofitability.
What is TARS's revenue and growth?
Tarsus Pharmaceuticals, Inc. reported revenue of $162.1M.
Does TARS pay dividends?
Tarsus Pharmaceuticals, Inc. does not currently pay dividends.
Where can I find TARS SEC filings?
Official SEC filings for Tarsus Pharmaceuticals, Inc. (CIK: 0001819790) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TARS's EPS?
Tarsus Pharmaceuticals, Inc. has a diluted EPS of $-0.16.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is TARS's fundamental grade?
Based on our AI fundamental analysis in June 2026, Tarsus Pharmaceuticals, Inc. has a A grade with 70% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is TARS stock overvalued or undervalued?
Valuation metrics for TARS: ROE of -2.0% (sector avg: 15%), net margin of -4.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is TARS's AI grade for 2026?
Our dual AI analysis gives Tarsus Pharmaceuticals, Inc. a combined A grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is TARS's free cash flow?
Tarsus Pharmaceuticals, Inc.'s operating cash flow is $-24.7M, with capital expenditures of $5.8M. FCF margin is -18.8%.
How does TARS compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -4.3% (avg: 12%), ROE -2.0% (avg: 15%), current ratio 3.74 (avg: 2).