Vanda Pharmaceuticals Inc. — Earnings Quality Grade D
VNDA · Healthcare
Significant concerns
Screening Summary
Management Signals
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 92 days, change +6 days YoY
AR outpaced revenue for 2 consecutive years
Revenue 8.7%, CFFO -594.6%. Cash follows revenue
Expense Quality
Inventory 7.3% vs COGS 15.3%. Normal
CapEx growth 103.7% is >2x revenue growth 8.7%
SG&A/Gross Profit = 117.2%, exceeds 70%
Gross margin 94.0%, change -0.3pp. Stable
Cash Flow Quality
CFFO/NI = 0.50. Below 1.0
FCF is negative ($-0.1B)
Accruals ratio = -22.7%. Low accruals
Cash $0.3B covers debt $0.0B
Balance Sheet Health
Goodwill+Intangibles $0.1B = 36% of equity
Debt/EBITDA = -0.1x. Healthy
Other assets grew 21.8% vs revenue 8.7%
No write-off data
Acquisition Risk
FCF after acquisitions negative for 3 years
Small-cap context: A single acquisition on a small balance sheet can trip serial-acquirer logic.
Goodwill+Intangibles change 3% YoY. Normal
Manipulation Score
M-Score = -3.87 (< -2.22). Unlikely manipulator
Portfolio monitoring
Monitor VNDA continuously
The full checks and model details are free to read. Use Watchlist to track your holdings; Pro adds automatic quarterly rescoring, risk-event email alerts, scans up to 50 tickers, and export workflows.
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25