Arcutis Biotherapeutics, Inc. (ARQT) Hit a 52 Week High, Can the Run Continue?

Core Viewpoint - Arcutis Biotherapeutics, Inc. (ARQT) has experienced significant stock performance, with a 23% increase over the past month and a 35.3% gain since the beginning of the year, outperforming the Zacks Medical sector and the Zacks Medical - Biomedical and Genetics industry [1][3]. Financial Performance - The company has a strong record of positive earnings surprises, having beaten earnings consensus estimates in the last four quarters. In the latest earnings report on August 6, 2025, Arcutis reported an EPS of -$0.13, surpassing the consensus estimate of -$0.18, and beat the revenue estimate by 12.32% [2]. - For the current fiscal year, Arcutis is expected to post earnings of -$0.46 per share on revenues of $329.85 million, reflecting a 60.34% change in EPS and a 67.83% change in revenues. For the next fiscal year, the company is projected to earn $0.10 per share on revenues of $430.73 million, indicating a year-over-year change of 121.2% in EPS and 30.58% in revenues [3]. Valuation Metrics - Despite being at a 52-week high, the future valuation metrics are crucial for assessing potential stock performance. The Zacks Style Scores provide insights into various investment styles, with Arcutis having a Value Score of D, a Growth Score of A, and a Momentum Score of C, resulting in a VGM Score of B [4][6]. Zacks Rank - Arcutis Biotherapeutics holds a Zacks Rank of 2 (Buy), supported by a solid earnings estimate revision trend. This rank is considered more significant than the VGM Score, indicating a favorable outlook for the stock [7][8].