ARQT

Arcutis Biotherapeutics, Inc.

Fundamental data last updated:June 3, 2026

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company profile

SECTOR

Healthcare

industry

Biotechnology

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

08/05/2026

Business Summary

Arcutis Biotherapeutics, Inc., a biopharmaceutical company, focuses on developing and commercializing treatments for dermatological diseases. Its lead product candidate is ARQ-151, a topical roflumilast cream that has completed Phase III clinical trials for the treatment of plaque psoriasis and atopic dermatitis. The company is also developing ARQ-154, a topical foam formulation of roflumilast for the treatment of seborrheic dermatitis and scalp psoriasis; ARQ-252, a selective topical janus kinase type 1 inhibitor for hand eczema and vitiligo; and ARQ-255, a topical formulation of ARQ-252 designed to reach deeper into the skin in order to treat alopecia areata. The company was formerly known as Arcutis, Inc. and changed its name to Arcutis Biotherapeutics, Inc. in October 2019. Arcutis Biotherapeutics, Inc. was incorporated in 2016 and is headquartered in Westlake Village, California.

 


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VALUATION

P/E

-1167.33

Market Cap ($M USD)

$2.68B

Forward P/E

7.38

PEG

0.00

PRICE TO SALES

6.45

PRICE TO BOOK

14.62

EV / EBITDA

208.27

5-Year Average P/E

Free Cash Flow Yield

1.00%

DCF Value

$-167.38

Graham Number

N/A

Price to FCF

99.64

EV to FCF

98.83

Earnings Yield

-0.09%

FCF Yield

1.00%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$0.02

Next Year EPS Growth Estimate

$2.90

Next Year Revenue Growth Estimate

$105.61B

Return on Equity (ROE)

-1.41%

FREE CASH FLOW

Operating Margin

0.77%

Debt-to-Equity

0.03

Piotroski F-Score

5

Altman Z-Score

4.18

Return on Invested Capital (ROIC)

1.08%

Current Ratio

2.68

Quick Ratio

2.46

Net Debt to EBITDA

-1.69

Interest Coverage

0.24

Gross Profit margin

90.94%

FCF PER SHARE

$0.21

REVENUE PER SHARE

$3.21

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Gainseekers Quantitative Analysis

Summary

The market seems to be mispricing Arcutis Biotherapeutics, Inc., with its current valuation starkly below its DCF value. Despite a daunting negative Price/Earnings ratio, the Forward P/E of 7.29 suggests a turnaround in profitability is anticipated. The Altman Z-score of 4.07 indicates financial stability, while the Earnings Yield remains negative, reflecting current earnings challenges. Overall, the stock appears undervalued with potential for growth, but investors must weigh this against its current financial health.

AI Exposure / Tech Reliance

As a biotechnology company, Arcutis is well-positioned to leverage AI in drug discovery and personalized medicine. The sector's inherent adaptability to technological advancements provides a solid foundation for future innovation. However, the company's success will depend on its ability to integrate these technologies effectively.

The Bull Case

For the discerning GARP investor, Arcutis offers compelling reasons to buy. The ROIC of 1.08% and a Piotroski F-Score of 5 suggest moderate operational efficiency and financial health. With a robust Gross Profit Margin of 90.94%, the company demonstrates strong pricing power. Additionally, a low Debt/Equity ratio of 0.033 signals prudent financial management, making it an attractive candidate for those seeking growth at a reasonable price.

The Bear Case

Despite some strengths, Arcutis faces significant structural risks. The Price/Book ratio of 14.44 and Price/Sales of 6.37 indicate a potentially overvalued stock, especially given its negative EPS. The EV to EBITDA of 215.09 further underscores this overvaluation, suggesting the market may be overly optimistic about future earnings. Investors should be wary of these high multiples, which could signal a bubble if growth expectations aren't met.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$34.00

Institutional Ownership %

1-Year Beta

1.59

Insider Buying % (6 Mo)

Distance to 52-Week High

48.18%

Distance to 52-Week Low

40.67%

EARNINGS SURPRISE %

-350.00%

50-DAY SMA

$22.63

200-DAY SMA

$23.44

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.