Keros Therapeutics, Inc.

KROS
About the company

Keros Therapeutics, Inc., a clinical-stage biopharmaceutical company, develops and commercializes novel therapeutics to treat patients with disorders linked to dysfunctional signaling of the transforming growth factor-beta family of proteins in the United States.

Country: United StatesPrice: $10.30Market Cap: $202.1M

Investment snapshot

18%positive consensus
Scored 1d ago

Positive

3

BUY / PASS

Neutral / negative

4 / 9

NEUTRAL / FAIL

Median fair value

$98.76

+858.8% vs price

Models with upside

3 / 17

Positive margin of safety

Strongest signal

KROS undervalued: all 3 models price fair value above $10.30 (median $98.76)

Key risk

11 of 12 flag KROS's debt & leverage — Graham, Buffett, Lynch +8 more

Framework analysis

VerdictMeaning
BUYPositive purchase signal: the framework's buy requirements are met.
PASSThe company clears the framework's checklist or screen, but the framework does not produce a buy signal. For valuation frameworks this often means margin of safety is missing, insufficient, or unavailable; some screen-only frameworks have no intrinsic-value BUY state.
NEUTRALNeither a positive nor negative conclusion. It does not mean to hold an existing position.
FAILThe company does not clear the framework's requirements.
RankedRanked strategies do not use PASS: selected cohort is BUY, outside the cohort is FAIL, and unranked is NEUTRAL.

Current investor scores use trailing 12-month flows and the latest balance sheet where supported. Multi-year and EPS tests retain annual history; each framework shows its financial basis below. Intrinsic values use annual financials.

MetricGraham

Defensive Value

Buffett

Quality Compounder

Lynch

GARP

Greenblatt

Magic Formula

Piotroski

F-Score

Dreman

Contrarian Value

Munger

Quality Focus

Pabrai

Dhandho Framework

Akre

Three-Legged Stool

Marks

Risk-Aware Value

Ackman

Activist Value

Templeton

Global Bargain Hunter

Sleep

Scale Economies Shared

Asness

Systematic Factors

Neff

Low-P/E Total Return

Schloss

Asset-Value Discipline

O'Shaughnessy

Systematic Factor Composite

VerdictFAILFAILFAILNot rankedNEUTRALPASSPASSNEUTRALFAILFAILFAILPASSFAILNEUTRALFAILFAILNEUTRAL
Score
AnalysisChecking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…Checking access…
Intrinsic Value (annual)N/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A
Margin of Safety+63.6%N/AN/AN/AN/AN/A+89.6%N/AN/AN/A+94.7%N/AN/AN/AN/AN/AN/A
Financial Basis

TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Annual history · FY 2025

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025 · TTM ended 2026-09-30 vs 2025-09-30 · TTM ended 2026-09-30

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025 · TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Market data at 2026-11-01

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Qualitative assessment · Annual history · FY 2025

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Qualitative assessment · Annual history · FY 2025

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment · TTM ended 2026-09-30

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025 · TTM ended 2026-09-30 · Market data at 2026-11-01

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025 · Price history 2025-01-01–2026-11-01

Latest source filing: 2026-03-04

Score computed: 2026-11-14

Annual history · FY 2025 · Qualitative assessment

Latest source filing: 2026-03-04

Score computed: 2026-11-14

TTM ended 2026-09-30 · Balance sheet at 2026-09-30 · Price history 2025-01-01–2026-11-01 · Annual history · FY 2025

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025 · TTM ended 2026-09-30

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Annual history · FY 2025 · Balance sheet at 2026-09-30

Latest source filing: 2026-11-05

Score computed: 2026-11-14

TTM ended 2026-09-30 · Annual history · FY 2025 · Price history 2025-01-01–2026-11-01

Latest source filing: 2026-11-05

Score computed: 2026-11-14

Where It Passes

  • Valuation models100% pass✓ 3▾

    KROS undervalued: all 3 models price fair value above $10.30 (median $98.76)

    Graham fair value$28.33
    ✓Graham+63.6% margin vs $10.30
    Munger fair value$98.76
    ✓Munger+89.6% margin vs $10.30
    Ackman fair value$194.22
    ✓Ackman+94.7% margin vs $10.30

Where It Falls Short

  • Debt & Leverage8% pass✓ 3✗ 12▾

    11 of 12 flag KROS's debt & leverage — Graham, Buffett, Lynch +8 more

    LT Debt vs Net Current Assets
    ✗GrahamLT Debt <= Net Current Assets
    Debt/Equity & Interest Coverage
    ✗BuffettD/E < 0.5 AND Interest Coverage > 5x
    Total Debt / Equity
    ✗Lynch< 0.33
    Cash - Long-term Debt
    ✗LynchPositive preferred
    LT Debt / Total Assets Change0.00% -> 0.00%
    ✓PiotroskiDecreased YoY
    Current Assets / Current Liabilities18.14
    ✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)
    Total Debt / Shareholders' Equity
    ✗Dreman< 0.8✗Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✗SchlossD/E < 1.00x
    Debt Levels
    ✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3
    Interest Coverage & Debt/EBITDA
    ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x
    Total Debt / Shareholders Equity
    ✗Ackman<= 1.0
    Negative debt-to-equity (higher means less debt)
    ✗AsnessTop 30% of eligible cross-section
  • Profitability13% pass✓ 5✗ 30▾

    14 of 16 flag KROS's profitability — Graham, Buffett, Lynch +11 more

    Positive EPS (10 years)1/8 years positive
    ✗GrahamPositive EPS every year for 10 years
    EPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)
    ✗Graham>= 33% growth
    Net Income Positive (10+ years)1/8 years positive
    ✗BuffettPositive every year for 10+ years
    ROE (up to 5-year arithmetic mean)-22.4%
    ✗Buffett> 15% arithmetic mean (app rule)
    Operating Margin (10-yr trend)27.7% (latest)
    ✗BuffettStable or rising over 10 years
    Free Cash Flow Proxy
    ✗BuffettPositive and growing
    Earnings Variance (10-yr CoV)N/A (negative mean EPS)
    ✗BuffettCoV < 0.3
    Retained Earnings Effectiveness
    ✗Buffett$1 retained -> > $1 market value created
    Basic earnings-growth PEG (dividends excluded)P/E 4.5x (growth N/A)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    ROE-22.1%
    ✗Lynch> 15%
    EBIT / Enterprise ValueN/A (EV <= 0)
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=N/A (EV <= 0), ROC=567.7%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    Net Income / Total Assets25.74%
    ✓PiotroskiROA > 0
    ROA Change YoY-30.42% -> 25.74% (delta: +56.16%)
    ✓PiotroskiCurrent ROA > Prior ROA
    (CFO / Total Assets) vs ROACFO/Assets=31.80%, ROA=25.74%
    ✓PiotroskiCFO/Assets > ROA
    Gross Margin Change YoY
    ✗PiotroskiImproved YoY
    Pre-Tax Income / Revenue-154.5%
    ✗Dreman>= 8%
    Net Income / Shareholders' Equity-22.1%
    ✗Dreman> 12%
    Margin of SafetyP/E=4.5x, P/B=0.7x
    ✓PabraiP/B < 1.5 or P/E < 15
    Return on Equity-16.7% (3-yr avg)
    ✗AkreROE > 20% (3-year avg)
    Discount to Intrinsic ValueN/A (negative normalized EPS)
    ✗Marks>= 20% below intrinsic value
    Positive Net Income Frequency1/7 years positive
    ✗MarksPositive net income in >= 7 of last 10 years
    Operating Income / Revenue-181.3%
    ✗Ackman>= 15%
    Net Income / Shareholders Equity-22.1%
    ✗Ackman>= 15%
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Operating Margin Trend
    ✗TempletonNon-negative operating-margin trend over 3 years
    Revenue growth vs. gross and operating margin trendrevenue up, operating margin -112543.7% -> 27.7%
    ✓SleepRevenue rising; gross margin flat or falling; operating margin holding
    Net income / market capitalization-30.54%; #4810/6340 (top 75.9%)
    ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
    Gross profit / total assets
    ✗AsnessTop 30% of eligible cross-section
    Net income / positive book equity-22.12%; #3739/5226 (top 71.5%)
    ✗AsnessTop 30% of eligible cross-section
    Negative 5-year standard deviation of ROA-0.2393; #4401/5884 (top 74.8%)
    ✗AsnessTop 30% of eligible cross-section
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
    Positive Diluted-EPS Years1/7 years positive
    ✗Schloss>= 70% positive over 5-10 observed years (app rule)
  • Growth13% pass✓ 5✗ 8▾

    7 of 8 flag KROS's growth — Graham, Lynch, Dreman +4 more

    EPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)
    ✗Graham>= 33% growth
    Basic earnings-growth PEG (dividends excluded)P/E 4.5x (growth N/A)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    Inventory Growth vs Revenue GrowthN/A (no inventory)
    ✓LynchInventory growth < Revenue growth
    EPS Growth Direction$-6.08 (2019) -> $2.30 (2025)
    ✓DremanPositive over recent years
    EPS CAGR
    ✗Dreman> 5% annualized
    Positive Net Income Frequency1/7 years positive
    ✗MarksPositive net income in >= 7 of last 10 years
    3yr Median Revenue Growth3918.7%
    ✓Ackman>= 5%
    Positive EPS Growth Frequency3/5 years with positive EPS growth
    ✓AckmanPositive EPS growth in >= 3 of last 5 years
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Revenue growth vs. gross and operating margin trendrevenue up, operating margin -112543.7% -> 27.7%
    ✓SleepRevenue rising; gross margin flat or falling; operating margin holding
    5-year Revenue CAGR
    ✗SleepCAGR > 7%
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
  • Verdicts25% pass✓ 3✗ 9▾

    Split decision: 9 FAIL · 4 NEUTRAL · 3 PASS

    Overall verdict
    ✗GrahamFAIL (2/9)✗BuffettFAIL (0/9)✗LynchFAIL (1/7)•GreenblattNot ranked•PiotroskiNEUTRAL (F-Score 6)✓DremanPASS (5/11)✓MungerPASS (2/4)•PabraiNEUTRAL (2/3)✗AkreFAIL (1/6)✗MarksFAIL (1/5)✗AckmanFAIL (3/9)✓TempletonPASS (4/8)✗SleepFAIL (1/6)•AsnessNEUTRAL (Not ranked)✗NeffFAIL (2/6)✗SchlossFAIL (3/7)•OshaughnessyNEUTRAL (Not ranked)
  • Cash Flow30% pass✓ 5✗ 7▾

    7 of 10 flag KROS's cash flow — Buffett, Lynch, Marks +4 more

    Free Cash Flow Proxy
    ✗BuffettPositive and growing
    FCF Positive and Growing$-48.3M
    ✗LynchPositive and growing
    Operating Cash Flow$107.5M
    ✓PiotroskiCFO > 0
    (CFO / Total Assets) vs ROACFO/Assets=31.80%, ROA=25.74%
    ✓PiotroskiCFO/Assets > ROA
    Price / (CFO / Shares)1.9x
    ✓Dreman< 8x
    P/E or FCF YieldP/E=4.5x, FCF Yield=52.4%
    ✓PabraiP/E < 15 or FCF Yield > 10%
    FCF Positive1/7 years FCF positive
    ✗MarksPositive FCF in majority of recent years
    (OCF - CapEx) / Market Cap-24.0%
    ✗Ackman>= 4%
    Price / FCF per Share1.9x
    ✓Ackman<= 25
    Positive Operating Cash Flow frequency1/7 years positive
    ✗SleepPositive OCF in >= 70% of available years
    Operating Cash Flow - Capital Expenditures$-48.3M
    ✗Neff> $0 (app proxy for a strong fundamental case)
    (Operating cash flow - capex) / market capitalization-23.88%; #3580/4519 (top 79.2%)
    ✗OshaughnessyTop 10% of eligible cross-section
  • Valuation38% pass✓ 15✗ 13▾

    8 of 13 flag KROS's valuation — Graham, Lynch, Greenblatt +5 more

    Price / 3-yr avg EPS
    ✗Graham<= 15x
    Price-to-Book Ratio0.7x
    ✓Graham<= 1.5x
    P/E x P/B
    ✗Graham<= 22.5
    Basic earnings-growth PEG (dividends excluded)P/E 4.5x (growth N/A)
    ✗Lynch< 1.0 (ideally < 0.5)
    EBIT / Enterprise ValueN/A (EV <= 0)
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=N/A (EV <= 0), ROC=567.7%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    Price / EPS4.5x
    ✓Dreman< 12x✓Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)
    Price / (CFO / Shares)1.9x
    ✓Dreman< 8x
    Price / Book Value per Share0.7x
    ✓Dreman< 1.2x✓Templeton< 1.5x✓SchlossP/B <= 0.80x (app cutoff)
    Valuation ReasonablenessP/E=4.5x
    ✓MungerP/E < 25 or Owner Earnings Yield > 5%
    P/E or FCF YieldP/E=4.5x, FCF Yield=52.4%
    ✓PabraiP/E < 15 or FCF Yield > 10%
    P/B or P/E vs. Historical AverageP/E=4.5x, P/B=0.7x
    ✓MarksP/E < 15 or P/B < 2.0
    Discount to Intrinsic ValueN/A (negative normalized EPS)
    ✗Marks>= 20% below intrinsic value
    Price / FCF per Share1.9x
    ✓Ackman<= 25
    Price vs. Trailing Low101% of trailing low ($10.19)
    ✓Templeton<= 120% of trailing low (certified split-adjusted live window)
    Net income / market capitalization-30.54%; #4810/6340 (top 75.9%)
    ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section
    Positive book equity / market capitalization+1.3808; #1011/6449 (top 15.7%)
    ✓AsnessTop 30% of eligible cross-section
    Price / Diluted EPS4.5x
    ✓NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)
    (EPS CAGR % + Dividend Yield %) / P/E
    ✗Neff> 0.7 (Neff's published traditional edge)
    Price / Tangible Book Value per Share0.66x
    ✓SchlossP/TBV <= 1.00x (app cutoff)
    Book Value per Share Change
    ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)
    Revenue / market capitalization+0.2000; #3788/5247 (top 72.2%)
    ✗OshaughnessyTop 10% of eligible cross-section
    (Operating cash flow - capex) / market capitalization-23.88%; #3580/4519 (top 79.2%)
    ✗OshaughnessyTop 10% of eligible cross-section
    Trailing six-month price return through the evaluation date-8.08%; #3316/6202 (top 53.5%)
    ✗OshaughnessyTop 10% of eligible cross-section
  • Efficiency38% pass✓ 4✗ 7▾

    5 of 8 flag KROS's efficiency — Buffett, Piotroski, Munger +2 more

    Current Ratio18.14
    ✓Graham>= 2.0
    ROIC (3-5 yr avg)
    ✗Buffett> 10%
    ROIC - WACC
    ✗BuffettPositive (WACC = 10%)
    EBIT / (NWC + Net Fixed Assets)567.7%
    ✓Greenblatt> 25%
    Current Ratio Change YoY21.45 -> 15.45
    ✗PiotroskiIncreased YoY
    Revenue / Total Assets Change YoY0.00x -> 0.72x
    ✓PiotroskiImproved YoY
    Current Assets / Current Liabilities18.14
    ✓Dreman> 1.5
    Return on Invested Capital
    ✗Munger> 15%
    ROIC (high and growing)FY2023: ROIC=unavailable; FY2024: ROIC=unavailable; FY2025: ROIC=unavailable
    ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each
    Reinvestment Rate x ROIC
    ✗AkreReinvestment Rate * ROIC > 10%
    ROIC (5-year)
    ✗SleepROIC > 12% in a majority of years

Business & financials

Financial snapshot: annual FY 2025. Current investor scores may use newer quarterly data.

Company Profile

Industry: Pharmaceutical Products
SIC Sector: Chemicals & Pharmaceuticals
Size: Micro Cap($202.1M)
Revenue: $243.9M
Net Income: $87.0M+146.4% YoY

Financial Snapshot

Operating Margin27.7%
Return on Equity28.7%
Debt / Equity--
Current Ratio15.45
EPS (Diluted)$2.30
Buybacks (1y)$375.0M
Buybacks (2y)$375.0M

Shareholder Return

Fiscal 2025

Share retirement not available for this company.

Buybacks
$375.0M
Dividends
—

Company Financials

Latest TTM and quarters alongside annual years

TTM sums four consecutive quarters and uses the latest quarter-end balances. Quarter columns show three-month results; annual columns show full-year totals. Growth compares the same period a year earlier. EPS is not added for TTM; full-year ratios are blank for quarters.

The latest annual period end is unavailable. Showing the latest fiscal cycle’s quarters; quarter and annual columns may overlap. Quarterly shows the full quarter history.

MetricTTM · 2026-09-30

2025-10-01 – 2026-09-30

Sources · derived quarter values

Derived from cumulative filings: revenue, net income, operating income, ebit, pre tax income, operating cash flow, capex.

Q3 FY 2026

2026-07-01 – 2026-09-30

Sources · derived quarter values

Derived from cumulative filings: operating cash flow, capex.

Q2 FY 2026

2026-04-01 – 2026-06-30

Sources · derived quarter values

Derived from cumulative filings: operating cash flow, capex.

Q1 FY 2026

2026-01-01 – 2026-03-31

Sources
FY 2025
Sources
  • 10-K · 2026-03-04
FY 2024
Sources
  • 10-K · 2025-02-26
FY 2023
Sources
  • 10-K · 2024-02-28
FY 2022
Sources
  • 10-K · 2023-03-03
FY 2021
Sources
  • 10-K · 2023-03-03
Market Cap$202.1Mcurrent------$350.0Mest.$462.4Mest.$1.8Best.$1.6Best.$1.1Best.
Revenue$40.4M↓84%$40.0M↑183%$0↓100%$32.0K↓100%$243.9M$0↓100%$151.0K$0↓100%$20.1M
Operating Income-$73.3M↓268%$12.8M↑183%-$30.9M↑22%-$25.9M↓117%$67.6M↑132%-$210.8M↓24%-$169.9M↓48%-$114.8M↓104%-$56.4M
Net Income-$61.7M↓196%$14.2M↑294%-$28.7M↑6%-$23.7M↓116%$87.0M↑146%-$187.4M↓22%-$153.0M↓46%-$104.7M↓78%-$58.7M
EPS (Diluted)--$0.70↑489%$-1.45↓91%$-1.21↓133%$2.30↑146%$-5.00↑4%$-5.20↓25%$-4.15↓65%$-2.52
Gross Margin—————————
Operating Margin-181.3%↓1125%32.0%↑129%—-80865.6%↓112427%27.7%—-112543.7%—-280.5%
ROE-22.1%↓341%———28.7%↑188%-32.8%↑29%-46.1%↓22%-37.7%↓56%-24.2%
Total Debt------------------
Shareholders' Equity$279.1M↓60%$279.1M↓60%$262.3M↓63%$285.6M↓61%$303.1M↓47%$571.6M↑72%$332.2M↑20%$277.4M↑14%$243.2M
Current Ratio18.14↓39%18.14↓39%21.96↑4%22.62↑17%15.45↓28%21.45↑51%14.25↓17%17.27↓19%21.23
Debt / Equity—————————
Operating Cash Flow-$47.9M↓154%$3.4M↑4%-$20.4M↑31%-$3.5M↓102%$107.5M↑167%-$160.9M↓29%-$124.5M↓78%-$70.1M↓13%-$62.1M
Free Cash Flow-$48.3M↓155%$3.3M↑7%-$20.6M↑32%-$3.6M↓102%$106.0M↑165%-$162.8M↓28%-$127.0M↓78%-$71.3M↓13%-$63.2M

Score history

Historical Score Timeline

Industry peers

Industry Peers

Similar companies in Pharmaceutical Products

KROS vs Peers — Financial Grading

Revenue$243.9MBottom 25%
Net Income$87.0MMedian
ROE28.7%Top 25%
D/E—
Op. Margin27.7%Top 25%
Curr. Ratio15.45Top 25%
CompanyMarket CapPriceRevenueNet IncomeROED/EOp. MarginCurr. RatioGrahamBuffettLynchGreenblattPiotroskiDreman
Merck & Co., Inc.MRK$364.3B$147.76$65.0B$18.3B34.7%0.94—1.542/95/94/70/3F-Score 41/11
ABBOTT LABORATORIESABT$188.0B$108.52$44.3B$6.5B12.5%0.2518.2%1.583/94/92/71/3F-Score 53/11
BRISTOL MYERS SQUIBB COBMY$129.7B$63.43$48.2B$7.1B38.2%2.4419.4%1.262/91/93/71/3F-Score 85/11
BIO-TECHNE CorpTECH$11.4B$72.80$1.2B$73.4M3.8%—8.4%3.464/93/93/70/3F-Score 54/11
REPLIGEN CORPRGEN$10.7B$167.79$738.3M$48.9M2.3%0.267.5%8.373/92/93/70/3F-Score 75/11
IONIS PHARMACEUTICALS INCIONS$4.8B$29.06$943.7M$381.4M-78.0%3.60-40.4%3.833/91/91/70/3F-Score 43/11
NEOGEN CORPNEOG$2.5B$11.23$870.4M$7.9M-0.4%0.76-2.5%3.823/91/92/70/3F-Score 64/11
Pharvaris N.V.PHVS$2.4B$33.36—$206.4M-64.8%0.00——0/90/92/70/3F-Score 22/11