Is TARS Stock Still the Best Pick Among Its Peers?

TARS: Tarsus Pharmaceuticals logo
TARS
Tarsus Pharmaceuticals

Here is how Tarsus Pharmaceuticals (TARS) stacks up against its peers in size, valuation, growth and margin.

  • TARS’s operating margin of -33.2% is negative, and lowest among peers; REGN has 27.0%.
  • TARS’s revenue growth of 254.5% in the last 12 months is strong, outpacing VRTX, ARGX, REGN, ALNY, AMGN.
  • TARS gained 112.6% in the past year and trades at a PE of -25.0, outperforming its peers.

As a quick background, Tarsus Pharmaceuticals provides development and commercialization of novel ophthalmic therapeutics, including Phase III treatment for blepharitis, and pipeline candidates for rosacea, Lyme prophylaxis, and malaria reduction.

  TARS VRTX ARGX REGN ALNY AMGN
Market Cap ($ Bil) 2.3 100.8 39.9 61.0 59.2 157.4
Revenue ($ Bil) 0.3 11.4 2.6 14.2 2.3 34.9
PE Ratio -25.0 27.7 37.5 13.7 -219.7 23.8
LTM Revenue Growth 254.5% 10.5% 83.2% 5.4% 17.2% 12.9%
LTM Operating Margin -33.2% -1.7% 8.3% 27.0% -4.9% 23.5%
LTM FCF Margin -29.7% 30.6% 25.0% -3.2% 30.4%
12M Market Return 112.6% -18.3% 26.0% -51.1% 70.3% -6.7%

Why does this matter? TARS just went up 26.3% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell TARS Stock to see if Tarsus Pharmaceuticals holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through TARS Dip Buyer Analysis lens.

While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.

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Revenue Growth Comparison

  LTM 2024 2023 2022
TARS 254.5% 948.6% -32.4% -54.7%
VRTX 10.5% 11.7% 10.5% 17.9%
ARGX 83.2% 78.6% 198.6% -17.4%
REGN 5.4% 8.3% 7.8% -24.3%
ALNY 17.2% 23.0% 76.2% 22.9%
AMGN 12.9% 18.6% 7.1% 1.3%

Operating Margin Comparison

  LTM 2024 2023 2022
TARS -33.2% -65.9% -820.5% -242.9%
VRTX -1.7% -2.1% 38.3% 47.6%
ARGX 8.3% -0.8% -34.3% -176.2%
REGN 27.0% 28.1% 30.9% 38.9%
ALNY -4.9% -7.9% -15.4% -75.7%
AMGN 23.5% 21.7% 28.0% 36.3%

PE Ratio Comparison

  LTM 2024 2023 2022
TARS -18.7 -18.0 -4.4 -5.8
VRTX 31.4 -193.9 29.0 22.3
ARGX 31.6 44.2 -73.7 -29.0
REGN 12.4 17.4 23.7 17.8
ALNY -156.8 -108.0 -54.3 -25.6
AMGN 22.7 34.2 22.9 21.6

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.