Tarsus Pharmaceuticals (NASDAQ:TARS) Releases Earnings Results, Misses Expectations By $12.94 EPS

Posted by Stanley Muller on Nov 5th, 2026

Tarsus Pharmaceuticals (NASDAQ:TARS – Get Free Report) posted its quarterly earnings data on Tuesday. The company reported ($14.40) earnings per share (EPS) for the quarter, missing the consensus estimate of ($1.46) by ($12.94), FiscalAI reports. The firm had revenue of $194.57 million for the quarter, compared to the consensus estimate of $187.83 million. Tarsus Pharmaceuticals had a negative return on equity of 20.22% and a negative net margin of 102.93%.

Here are the key takeaways from Tarsus Pharmaceuticals’ conference call:

XDEMVY sales reached a record $194.6 million in Q3, up nearly 64% year over year despite seasonal headwinds. Growth was supported by higher patient demand, broader ECP prescribing, and retreatments representing approximately 20% of prescriptions.
Tarsus raised its 2026 XDEMVY net sales outlook to $715 million-$730 million and increased full-year DTC spending to approximately $95 million, citing strong returns and a 75% increase in high-value patient website actions.
Management reiterated confidence that XDEMVY can exceed $2 billion in peak annual sales, supported by an estimated 25 million Americans with Demodex blepharitis and increasing ECP adoption. The company also expects retreatment rates to settle in the low-20% range.
Tarsus expects continued pipeline progress, including TP-04 and TP-05 data in the first half of 2027, an IRX-101 Phase III start in the first half of 2027, and gildeuretinol Stargardt data in the second half of 2029. Regulatory filings for TP-03 in Europe and Japan have been deferred due to uncertainty surrounding most-favored-nation regulations.

Tarsus Pharmaceuticals Trading Down 1.4%

Shares of TARS stock opened at $68.13 on Thursday. Tarsus Pharmaceuticals has a 52-week low of $53.89 and a 52-week high of $91.53. The stock has a market cap of $3.36 billion, a price-to-earnings ratio of -4.49 and a beta of 0.34. The company has a debt-to-equity ratio of 0.21, a quick ratio of 3.17 and a current ratio of 3.20. The firm has a fifty day moving average of $75.12 and a 200-day moving average of $67.85.

Tarsus Pharmaceuticals News Summary

Here are the key news stories impacting Tarsus Pharmaceuticals this week:

Positive Sentiment: Third-quarter revenue rose about 64% year over year to $194.6 million, topping analyst estimates. XDEMVY generated record sales, passed one million bottles dispensed, and exceeded $1 billion in cumulative sales since launch. Tarsus Q3 results
Positive Sentiment: Management expects 2026 XDEMVY sales of $715 million to $730 million. Separately, adjusted loss per share of $0.78 was narrower than the $1.43 loss analysts expected. 2026 sales outlook
Positive Sentiment: Analysts raised their price targets while maintaining favorable ratings: HC Wainwright lifted its target to $106 and kept a Buy rating, while Oppenheimer raised its target to $103 and retained Outperform. Oppenheimer target update
Neutral Sentiment: Tarsus deferred planned European and Japanese regulatory filings, which could delay international expansion, though the company’s near-term sales outlook remains strong. International filing plans
Negative Sentiment: The company recorded a $668 million net loss, with acquisition-related costs contributing to a large GAAP per-share loss. The headline loss may overshadow the revenue beat and better-than-expected adjusted result for some investors. Q3 net loss report

Analyst Upgrades and Downgrades

TARS has been the subject of several recent analyst reports. Zacks Research upgraded Tarsus Pharmaceuticals from a “strong sell” rating to a “hold” rating in a research note on Tuesday, October 13th. Wall Street Zen downgraded Tarsus Pharmaceuticals from a “buy” rating to a “hold” rating in a research report on Sunday, July 12th. Mizuho cut their price target on Tarsus Pharmaceuticals from $100.00 to $98.00 and set an “outperform” rating for the company in a report on Friday, July 31st. The Goldman Sachs Group assumed coverage on Tarsus Pharmaceuticals in a research report on Thursday, September 24th. They issued a “buy” rating and a $116.00 price objective for the company. Finally, Barclays started coverage on shares of Tarsus Pharmaceuticals in a research note on Wednesday, September 16th. They issued an “overweight” rating and a $110.00 price objective on the stock. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Tarsus Pharmaceuticals presently has a consensus rating of “Moderate Buy” and a consensus target price of $103.43.

Get Our Latest Analysis on TARS

Insider Activity

In related news, CEO Bobak R. Azamian sold 10,000 shares of the stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $90.56, for a total value of $905,600.00. Following the completion of the transaction, the chief executive officer owned 827,991 shares of the company’s stock, valued at $74,982,864.96. This represents a 1.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Elizabeth Lin sold 3,180 shares of the firm’s stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $87.50, for a total transaction of $278,250.00. Following the transaction, the insider owned 1,590 shares of the company’s stock, valued at approximately $139,125. This represents a 66.67% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 48,031 shares of company stock worth $4,004,227. Corporate insiders own 9.64% of the company’s stock.

Tarsus Pharmaceuticals Company Profile

(Get Free Report)

Tarsus Pharmaceuticals, Inc is a commercial-stage ophthalmic pharmaceutical company focused on developing and marketing treatments for eye diseases with significant unmet medical needs. The company’s portfolio is centered on therapies designed to address conditions affecting the ocular surface and eyelids.

Tarsus’ lead product is XDEMVY (lotilaner ophthalmic solution) 0.25%, an eye drop approved by the U.S. Food and Drug Administration in 2023 for the treatment of Demodex blepharitis, an inflammatory eyelid condition associated with an infestation of Demodex mites.