MeritValue

STRATA Skin Sciences, Inc.

SSKNdata completeness 100%17 fiscal years on file
The thesis, from the filings

STRATA Skin Sciences, Inc. earns about -17% on invested capital, and has bought back 86% of its shares over 5 years. 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$30M1$36.2M2$33.4M3$33.6M4$30.7M4
Net income−$2.71M5−$5.55M6−$10.8M7−$10.1M8−$6.26M8
Operating cash flow$1.51M9−$924,00010−$519,00011$188,00012−$2.79M12
Capital expenditure$3.65M13$3.74M14$5.02M15$1.64M16$1.47M16
Free cash flow (derived)−$2.15M9−$4.66M10−$5.54M11−$1.45M12−$4.26M12
Total debt$15.3M17$15.5M18$30M19$30.2M20$30.7M20
Cash & equivalents$12.6M21$5.43M22$6.78M23$7.26M24$7.91M24
Diluted shares34.4M34.7M3.5M3.8M4.7M

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
$6.25
your share of equity
Profit it earned you last year
−$13.46
Free cash flow it threw off
−$9.16
Debt you’d be carrying
$66.01

10 shares is a claim on $6.25 of net worth that earned you −$13.46 and generated −$9.16 of cash last year, against $66.01 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-17% avg · 5y
FY21 -7%FY22 -11%FY23 -20%FY24 -29%FY25 -19%

It earned an average -17% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−86% shares · 5y

Share count is down 86% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has risen 100% over the same window.

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 0001140361-23-015429 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (RevenueFromContractWithCustomerExcludingAssessedTax)
  5. 10-K · period ending 2021-12-31 · accession 0001140361-23-015429 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001140361-23-015429 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001140361-23-015429 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-12-31 · accession 0001140361-23-015429 (LongTermDebtNoncurrent)
  18. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (LongTermDebtNoncurrent)
  19. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (LongTermDebtNoncurrent)
  20. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (LongTermDebtNoncurrent)
  21. 10-K · period ending 2021-12-31 · accession 0001140361-23-015429 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2022-12-31 · accession 0001140361-24-015754 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2023-12-31 · accession 0001140361-25-010772 (CashAndCashEquivalentsAtCarryingValue)
  24. 10-K · period ending 2024-12-31 · accession 0001140361-26-011231 (CashAndCashEquivalentsAtCarryingValue)