ARQT Healthcare

Arcutis Biotherapeutics, Inc.

$32.00+2.37%

Price as of close on Nov 3, 2026 · Financials updated Oct 6, 2026

Basics

Sector: Healthcare
Industry: Biotechnology
Country: United States
Market cap: 4.0B USD
Enterprise value: 3.5B USD
Full-time employees: 354

Overall health

Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings
Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.58 vs a peer median of 0.63)higher risk: bigger price swings (beta 1.58 vs peers 0.63)

Ranks #472 of 1,157 healthcare companies (top 41%)

See how it ranks against its peers

Worth knowing

Shareholders being diluted. Shares outstanding up 106% from December 2022 to July 2026.
Arcutis Biotherapeutics had 106% more shares at July 2026 than at December 2022, mostly from issuing stock (for pay, acquisitions or fundraising). Each existing share now owns a smaller slice of the business.Arcutis Biotherapeutics had 106% more shares at July 2026 than at December 2022, mostly from issuing stock. Each existing share now owns a smaller slice of the business.
Stock-based pay is a large cost. Stock pay was 11% of revenue in 2025.
Arcutis Biotherapeutics paid employees $40M in stock in 2025, 11% of its $376M revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.
Earnings turned from a loss to a profit. Profit per share this year after a loss last year.
Arcutis Biotherapeutics made a profit per share in its latest year after a loss the year before.
Operating loss narrowing. Operating margin -3.3% in 2025, the smallest loss relative to revenue of the last 4 years.
Arcutis Biotherapeutics still lost money on operations in 2025 (margin -3.3%), but that was its smallest operating loss relative to revenue in the 4 years of filings we have.

StockQuotient Score

56/ 100

Oct 5 56 → Nov 4 56

Valuation

Is the price right?

38/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why

Weaker than most peers on:

▼ EBITDA yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield0.7%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score -0.52Sector median: 0.0148 · MAD: 0.0148

EBITDA yield1.0%

SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score -0.75Sector median: 0.0401 · MAD: 0.0401

Free cash flow yield1.0%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.00Sector median: 0.0000 · MAD: 0.0000

Other data (not scored)

Book yield5.5%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.3716 · MAD: 0.2313

Growth

Is it growing?

97/100

Strong

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

12-month revenue up 11.6%

Why

Stronger than most peers on:

▲ 3-yr revenue
▲ Revenue growth
▲ EPS growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growthUnavailable

Earnings per share turned from a loss to a profit33% base weight · Z-score 4.46Sector median: 0.0976 · MAD: 0.2991

3-year revenue growth241.4%

SEC filings · 3 years to Jun 2026Outlier capped at sector 5th/95th percentile33% base weight · Z-score 8.59Sector median: 0.0584 · MAD: 0.0840

Revenue growth76.1%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 7.19Sector median: 0.0609 · MAD: 0.0974

Profitability

Does it earn well?

64/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

Turned profitable over the last 12 months
Operating margin rose 6.6 points to 7.4%

Why

Stronger than most peers on:

▲ ROA
▲ ROIC

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin7.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.03Sector median: 0.0706 · MAD: 0.1217

Return on assets5.8%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.78Sector median: 0.0166 · MAD: 0.0537

Return on invested capital9.2%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.44Sector median: 0.0471 · MAD: 0.1004

Other data (not scored)

Gross margin91.1%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.4697 · MAD: 0.2310

Return on equity12.9%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0330 · MAD: 0.1225

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Beta
▼ Debt / equity

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta1.58

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score -2.83Sector median: 0.6250 · MAD: 0.3380

Current ratio2.92×

SEC filings · latest balance sheetReported value33% base weight · Z-score 0.24Sector median: 2.5860 · MAD: 1.3850

Debt / equity0.49×

SEC filings · latest balance sheetReported value33% base weight · Z-score -1.33Sector median: 0.2215 · MAD: 0.2039

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Arcutis Biotherapeutics

Is Arcutis Biotherapeutics getting weaker?: Its latest SEC filing (Aug 5, 2026) got stronger: turned profitable over the last 12 months; operating margin rose 6.6 points to 7.4%. Its overall score is unchanged at 56/100 since Oct 28, 2026.
How is Arcutis Biotherapeutics valued vs its peers?: Priced higher than most peers relative to what it earns. Valuation scores 38/100 against 1,393 healthcare peers. EBITDA yield 1.0% vs a peer median of 4.0% (weaker than 65% of peers).EBITDA yield 1.0% vs peers 4.0% (weaker than 65% of peers).
Is Arcutis Biotherapeutics growing?: Yes, faster than most of its peers. Growth scores 97/100 against 1,393 healthcare peers. 3-year revenue growth 241.4% vs a peer median of 5.8% (stronger than 95% of peers).3-year revenue growth 241.4% vs peers 5.8% (stronger than 95% of peers).
How profitable is Arcutis Biotherapeutics?: More profitable than most of its peers. Profitability scores 64/100 against 1,393 healthcare peers. Return on assets 5.8% vs a peer median of 1.7% (stronger than 76% of peers).Return on assets 5.8% vs peers 1.7% (stronger than 76% of peers).
How risky is Arcutis Biotherapeutics?: Higher risk relative to 1,393 healthcare peers, judged on debt, liquidity and share-price swings. Beta 1.58 vs a peer median of 0.63 (weaker than 89% of peers).Beta 1.58 vs peers 0.63 (weaker than 89% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Aug 5, 2026 · compared with the quarter ended Mar 31, 2026

Got stronger

Turned profitable over the last 12 months
Operating margin rose 6.6 points to 7.4%

	Previous quarter	Latest quarter	Change
Revenue (12 months)	415.6M USD	464.0M USD	+11.6%
Net income (12 months)	−2.4M USD	28.5M USD	turned positive
Operating margin	0.8%	7.4%	+6.6 pts
Free cash flow (12 months)	26.9M USD	39.2M USD	+45.5%
Debt	109.4M USD	108.9M USD	−0.5%
Cash	34.8M USD	34.1M USD	−1.8%
Shares outstanding	125.1M	125.7M	+0.5%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Industry: Biotechnology · 132 companies

Valuations in Biotechnology are within their usual range since 2016.

48% of months since 2016 were valued lower than now.
22% of companies are in the most expensive fifth of their own price-to-sales history.
Median price-to-sales is +530% vs the whole market, against a usual +637%.

2016Shaded: most expensive fifth of its range2026

Earnings-based measures are left out for now because many companies in Biotechnology are losing money.

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	—	79.5%	91.6%	90.3%	90.2%	▼ 0.0 pts
Operating margin	—	-8183.0%	-404.5%	-65.3%	-3.3%	▲ 62 pts
Net margin	—	-8449.8%	-439.8%	-71.3%	-4.3%	▲ 67 pts
Return on assets (ROA)	-50.6%	-69.3%	-76.8%	-40.1%	-3.7%	▲ 36 pts
Return on equity (ROE)	-69.3%	-148.6%	-295.6%	-88.9%	-8.5%	▲ 80 pts
Free cash flow margin	—	-7000.8%	-415.2%	-57.1%	-1.7%	▲ 55 pts
Current ratio	12.09×	11.57×	7.08×	4.15×	3.17×	▼ 24%
Quick ratio	12.09×	11.37×	6.80×	3.97×	2.99×	▼ 25%
Debt to equity	0.24×	0.94×	2.28×	0.68×	0.58×	▼ 15%
Interest coverage	—	-19.27×	-8.11×	-4.73×	-1.01×	▲ 79%

ARQT price history

Price history is added with the daily price update and will appear after the next one.

Similar companies

Sector leaderboards

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Bringing the fundamentals into focus…

Overall health

Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings

Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.58 vs a peer median of 0.63)higher risk: bigger price swings (beta 1.58 vs peers 0.63)

Ranks #472 of 1,157 healthcare companies (top 41%)

See how it ranks against its peers

Worth knowing

Shareholders being diluted. Shares outstanding up 106% from December 2022 to July 2026.

Arcutis Biotherapeutics had 106% more shares at July 2026 than at December 2022, mostly from issuing stock (for pay, acquisitions or fundraising). Each existing share now owns a smaller slice of the business.Arcutis Biotherapeutics had 106% more shares at July 2026 than at December 2022, mostly from issuing stock. Each existing share now owns a smaller slice of the business.

Stock-based pay is a large cost. Stock pay was 11% of revenue in 2025.

Arcutis Biotherapeutics paid employees $40M in stock in 2025, 11% of its $376M revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.

Earnings turned from a loss to a profit. Profit per share this year after a loss last year.

Arcutis Biotherapeutics made a profit per share in its latest year after a loss the year before.

Operating loss narrowing. Operating margin -3.3% in 2025, the smallest loss relative to revenue of the last 4 years.

Arcutis Biotherapeutics still lost money on operations in 2025 (margin -3.3%), but that was its smallest operating loss relative to revenue in the 4 years of filings we have.

Questions investors ask about Arcutis Biotherapeutics

Is Arcutis Biotherapeutics getting weaker?

Its latest SEC filing (Aug 5, 2026) got stronger: turned profitable over the last 12 months; operating margin rose 6.6 points to 7.4%. Its overall score is unchanged at 56/100 since Oct 28, 2026.

How is Arcutis Biotherapeutics valued vs its peers?

Priced higher than most peers relative to what it earns. Valuation scores 38/100 against 1,393 healthcare peers. EBITDA yield 1.0% vs a peer median of 4.0% (weaker than 65% of peers).EBITDA yield 1.0% vs peers 4.0% (weaker than 65% of peers).

Is Arcutis Biotherapeutics growing?

Yes, faster than most of its peers. Growth scores 97/100 against 1,393 healthcare peers. 3-year revenue growth 241.4% vs a peer median of 5.8% (stronger than 95% of peers).3-year revenue growth 241.4% vs peers 5.8% (stronger than 95% of peers).

How profitable is Arcutis Biotherapeutics?

More profitable than most of its peers. Profitability scores 64/100 against 1,393 healthcare peers. Return on assets 5.8% vs a peer median of 1.7% (stronger than 76% of peers).Return on assets 5.8% vs peers 1.7% (stronger than 76% of peers).

How risky is Arcutis Biotherapeutics?

Higher risk relative to 1,393 healthcare peers, judged on debt, liquidity and share-price swings. Beta 1.58 vs a peer median of 0.63 (weaker than 89% of peers).Beta 1.58 vs peers 0.63 (weaker than 89% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

415.6M USD

464.0M USD

+11.6%

Net income (12 months)

−2.4M USD

28.5M USD

turned positive

Operating margin

0.8%

7.4%

+6.6 pts

Free cash flow (12 months)

26.9M USD

39.2M USD

+45.5%

Debt

109.4M USD

108.9M USD

−0.5%

Cash

34.8M USD

34.1M USD

−1.8%

Shares outstanding

125.1M

125.7M

+0.5%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

—

79.5%

91.6%

90.3%

90.2%

▼ 0.0 pts

Operating margin

—

-8183.0%

-404.5%

-65.3%

-3.3%

▲ 62 pts

Net margin

—

-8449.8%

-439.8%

-71.3%

-4.3%

▲ 67 pts

Return on assets (ROA)

-50.6%

-69.3%

-76.8%

-40.1%

-3.7%

▲ 36 pts

Return on equity (ROE)

-69.3%

-148.6%

-295.6%

-88.9%

-8.5%

▲ 80 pts

Free cash flow margin

—

-7000.8%

-415.2%

-57.1%

-1.7%

▲ 55 pts

Current ratio

12.09×

11.57×

7.08×

4.15×

3.17×

▼ 24%

Quick ratio

12.09×

11.37×

6.80×

3.97×

2.99×

▼ 25%

Debt to equity

0.24×

0.94×

2.28×

0.68×

0.58×

▼ 15%

Interest coverage

—

-19.27×

-8.11×

-4.73×

-1.01×

▲ 79%