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ARCTArcturus Therapeutics Holdings Inc.
$13.30$378M
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  4. Financial Ratios

Arcturus Therapeutics Holdings Inc. (ARCT) Financial Ratios

Latest Ratios: P/E Ratio -5.5x · EV/EBITDA N/A · ROE -28.9%. (2011–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ARCT Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$378M$168M$458M$840M$459M$974M$881M$131M$46M$25M$58M
Enterprise Value$172M$-38034820$250M$578M$162M$673M$439M$81M$19M$-423350$56M
P/E Ratio →-5.54———48.46——————
P/S Ratio5.622.503.315.322.2378.8192.346.312.901.892.84
P/B Ratio1.700.781.903.011.704.272.225.093.340.731.23
P/FCF————18.94——————
P/OCF————14.36——————

P/E links to full P/E history page with 30-year chart

ARCT EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—-0.571.803.660.7954.4345.993.871.19-0.032.73
EV / EBITDA————11.85——————
EV / EBIT————11.90——————
EV / FCF————6.69——————

ARCT Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin95.5%95.5%100.0%100.0%100.0%100.0%-486.5%100.0%-7.8%96.8%98.6%
Operating Margin-111.5%-111.5%-69.1%-49.6%5.9%-1641.3%-749.8%-122.7%-138.5%-80.7%-123.5%
Net Profit Margin-97.9%-97.9%-58.5%-18.8%4.5%-1648.0%-756.3%-125.0%-138.3%-83.9%-120.7%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-28.9%-28.9%-31.2%-10.8%3.8%-65.2%-34.2%-131.8%-91.9%-26.9%-42.2%
ROA-21.4%-21.4%-20.9%-6.8%2.2%-46.9%-25.8%-41.1%-45.3%-21.0%-39.9%
ROIC-277.1%-277.1%-291.5%-350.7%—————-29.2%-38.6%
ROCE-29.2%-29.2%-30.6%-23.3%3.9%-56.3%-29.3%-55.2%-60.1%-23.8%-43.2%

ARCT Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.120.120.120.110.350.300.050.800.73—0.00
Debt / EBITDA————6.91——————
Net Debt / Equity—-0.96-0.87-0.94-1.10-1.32-1.11-1.96-1.96-0.74-0.05
Net Debt / EBITDA————-21.68——————
Debt / FCF————-12.24——————
Interest Coverage———-35.364.55-75.17-86.07-29.43-114.50-71.67-4.21

Net cash position: cash ($231M) exceeds total debt ($25M)

ARCT Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio6.646.644.674.723.183.819.453.483.334.6111.82
Quick Ratio6.646.644.674.723.183.819.453.483.334.4811.94
Cash Ratio6.356.353.623.563.093.729.353.352.924.4011.58
Asset Turnover—0.250.400.370.460.030.020.250.360.250.40
Inventory Turnover—————————0.28—
Days Sales Outstanding—30.2110.4874.194.9099.4481.3138.26103.8313.4865.06

ARCT Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield————2.1%——————
FCF Yield————5.3%——————
Buyback Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Shares Outstanding—$27M$27M$27M$27M$26M$20M$12M$10M$3M$4M

Key Metrics

Growth RegimeDecelerating
ProfitabilityNegative
Balance SheetAdequate
Cash FlowBurning
Top Statement Risk

Cash runway vs. lumpy revenue cycle

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q2)

Valuation Reflects Pipeline Hope, Not Current Fundamentals

ARCT's P/S ratio of 6.70, as reported in financial statements, appears elevated for a company with negative operating margins, suggesting the market is pricing in future pipeline success rather than current operational performance.

The P/B ratio of 2.03 indicates the market values the company's assets at a premium, yet the persistent negative ROE and negative operating margins suggest this premium is not supported by current earning power. The negative P/E is a mathematical artifact of the company's losses, rendering it irrelevant for valuation. Relative to peers like CRSP (P/B 2.43) and NTLA (P/B 1.83), ARCT trades at a mid-range multiple within a sector of pre-commercial companies, implying its valuation is in line with the risky, asset-light biotech peer group.

Negative Margins Reflect Structural R&D Intensity

ARCT's operating margin swung from -8.6% in 2026Q2 to -48.8% in 2026Q1, a volatility that underscores the complete lack of scalable profitability and dependence on lumpy, non-recurring revenue recognition to even approach breakeven.

The gross margin appears artificially high (100% in most quarters) due to the recognition of milestone and collaboration revenue with minimal cost of goods sold, but this does not reflect a sustainable business model. The core driver of negative profitability is the massive R&D expense, which dwarfs any gross profit, as seen in 2026Q2 where $3.0M in gross profit was overwhelmed by $28.5M in operating expenses. Net margin volatility from -8.0% to -142.9% further confirms that profitability is entirely a function of timing of revenue recognition, not operational efficiency.

Capital Consumed, Not Compounded

ARCT's ROIC has been consistently negative for the last 10 quarters, reaching -5.3% in 2026Q2, indicating the company is destroying value by investing capital in R&D that has not yet generated sustainable returns.

The negative ROIC trend, which has worsened from -188.3% in 2024Q1, signifies that the return on invested capital is deeply negative, and the trajectory is not improving. This is driven by persistent negative operating margins, not asset efficiency, as the company's asset turnover is extremely low (0.01 in 2026Q2). The negative ROE is a direct consequence of the negative net income, meaning shareholders' equity is being eroded by operational losses, not compounding through profitable reinvestment.

Minimal Leverage, But No Earnings to Service It

ARCT's debt-to-equity ratio of 0.13 indicates a conservative balance sheet, but the absence of earnings, as reported in its financial statements, means leverage ratios are not the binding constraint on financial health.

With D/E of 0.13 and no reported interest coverage, the company is not facing immediate solvency risk from debt servicing. However, the key risk is not debt leverage but equity dilution and cash consumption. The low leverage provides strategic flexibility for potential future financing, but the primary constraint is the finite cash runway used to fund operations, not the burden of interest payments.

Ample Current Ratio Hides Finite Cash Runway

ARCT's current ratio of 5.88 in 2026Q2 is exceptionally strong, yet its cash position has shrunk from $315.3M to $191.5M over ten quarters, suggesting the liquidity buffer is finite and being actively consumed.

The high current and quick ratios (both 5.88) indicate ample short-term liquidity, but this is misleading without context. The asset base is dominated by cash, which is being burned to fund operations. The rapid decline in cash reserves, coupled with the collapse in deferred revenue from $86.3M to $6.3M, indicates that the current liquidity is not being replenished by incoming milestone payments, making the runway a critical variable to monitor.

The Misapplication of Price-to-Sales in Biotech

The P/S ratio of 6.70 is the most commonly misapplied metric for ARCT, as it obscures the non-recurring, milestone-driven nature of its revenue and the capital-intensive R&D phase it is in.

Investors using P/S are likely extrapolating current revenue levels into the future, which is highly speculative for a company with ARCT's lumpy, non-recurring revenue pattern (e.g., revenue fell 97.9% from 2025Q4 to 2026Q1). A more appropriate alternative metric is cash burn relative to cash reserves (implied runway), combined with pipeline stage analysis. The P/S ratio provides a false sense of valuation stability for a company whose 'sales' are episodic events, not a sustainable revenue stream.

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Includes 30+ ratios · 15 years · Updated daily

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ARCT — Frequently Asked Questions

Quick answers to the most common questions about buying ARCT stock.

What is Arcturus Therapeutics Holdings Inc.'s P/E ratio?

Arcturus Therapeutics Holdings Inc.'s current P/E ratio is -5.5x. The historical average is 48.5x.

What is Arcturus Therapeutics Holdings Inc.'s ROE?

Arcturus Therapeutics Holdings Inc.'s return on equity (ROE) is -28.9%. The historical average is -74.4%.

Is ARCT stock overvalued?

Based on historical data, Arcturus Therapeutics Holdings Inc. is trading at a P/E of -5.5x. Compare with industry peers and growth rates for a complete picture.

What are Arcturus Therapeutics Holdings Inc.'s profit margins?

Arcturus Therapeutics Holdings Inc. has 95.5% gross margin and -111.5% operating margin.