MeritValue

Scholar Rock Holding Corp

SRRKdata completeness 100%9 fiscal years on file

Data notes: no data for concept 'incomeTaxExpense'; no data for concept 'pretaxIncome'

The thesis, from the filings

Scholar Rock Holding Corp earns about -85% on equity, but has diluted owners by 212% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$18.8M1$33.2M2——$03
Net income−$131.8M4−$134.5M5−$165.8M6−$246.3M7−$377.9M7
Operating cash flow−$126.8M8−$132.7M9−$145.2M10−$200.9M11−$300M11
Capital expenditure$5.25M12$1.06M13$71,00014$98,00015$602,00015
Free cash flow (derived)−$132M8−$133.8M9−$145.3M10−$201M11−$300.6M11
Total debt$102M16$100.7M17$101M18$50.1M19$99.7M19
Cash & equivalents$212.8M20$103.3M21$101.9M22$177.9M23$323.5M23
Diluted shares36.7M59.6M83.3M99.8M114.7M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$21.4
your share of equity
Profit it earned you last year
−$32.95
Free cash flow it threw off
−$26.21
Debt you’d be carrying
$8.69

10 shares is a claim on $21.4 of net worth that earned you −$32.95 and generated −$26.21 of cash last year, against $8.69 of debt.

iii. Is this a good business?
Moat signal · return on equity
-85% avg · 5y
FY21 -77%FY22 -52%FY23 -74%FY24 -67%FY25 -154%

It earned an average -85% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+212% shares · 5y

Share count is up 212% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has held roughly steady.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2025-12-31 · accession 0001104659-26-022551 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001558370-25-001682 (NetIncomeLoss)
  7. 10-K · period ending 2024-12-31 · accession 0001104659-26-022551 (NetIncomeLoss)
  8. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2023-12-31 · accession 0001558370-25-001682 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2024-12-31 · accession 0001104659-26-022551 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2023-12-31 · accession 0001558370-25-001682 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2024-12-31 · accession 0001104659-26-022551 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (LongTermDebtNoncurrent)
  18. 10-K · period ending 2023-12-31 · accession 0001558370-25-001682 (LongTermDebtNoncurrent)
  19. 10-K · period ending 2024-12-31 · accession 0001104659-26-022551 (LongTermDebtNoncurrent)
  20. 10-K · period ending 2021-12-31 · accession 0001558370-23-002992 (CashAndCashEquivalentsAtCarryingValue)
  21. 10-K · period ending 2022-12-31 · accession 0001558370-24-003540 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2023-12-31 · accession 0001558370-25-001682 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2024-12-31 · accession 0001104659-26-022551 (CashAndCashEquivalentsAtCarryingValue)