ARQT (Arcutis Biotherapeutics) Moat Score: 3/10 (As of Aug. 21, 2026)

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ARQT Arcutis Biotherapeutics Inc ARQT
56 GF Score
Price $24.83
GF Value $30.59
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Arcutis Biotherapeutics Moat Score?

Arcutis Biotherapeutics ARQT -2.09% 56 Moat Score is 3 as of Aug. 21, 2026. GuruFocus rates ARQT with a GF Score™ of 56/100 and a GF Value™ of $30.59 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,388 Biotechnology companies, Arcutis Biotherapeutics ranks better than 75.5% on this metric.

Arcutis Biotherapeutics has the Moat Score of 3, which implies that the company might have No Moat - Very weak/transient advantages.

Arcutis Biotherapeutics has No Moat: Arcutis Biotherapeutics has very weak competitive advantages. While it may have some valuable patents, it lacks market leadership, strong brand strength, and significant customer switching costs. The biotech industry is competitive, and Arcutis does not have a durable cost advantage or regulatory barriers.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Arcutis Biotherapeutics might have No Moat - Very weak/transient advantages.

Arcutis Biotherapeutics  (NAS:ARQT) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Arcutis Biotherapeutics Moat Score Related Terms

ARQT vs IDYA, NAMS, ALMS: Moat Score Comparison

For the Biotechnology subindustry, Arcutis Biotherapeutics's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Arcutis Biotherapeutics Moat Score vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Arcutis Biotherapeutics's Moat Score distribution charts can be found below:

* The bar in red indicates where Arcutis Biotherapeutics's Moat Score falls into.


ARQT
56GF Score
Arcutis Biotherapeutics Inc ARQT
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 3 mean?
Arcutis Biotherapeutics (ARQT) has a Moat Score of 3 as of Aug. 21, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Arcutis Biotherapeutics ranks #340 out of 1388 companies in the Biotechnology industry, placing it in the top 24.5%.
Is Arcutis Biotherapeutics' Moat Score too high?
Arcutis Biotherapeutics' current Moat Score is 3. The Biotechnology industry median Moat Score is 2.00. Arcutis Biotherapeutics' value of 3 is 50% above this industry median. Based on the distribution chart, Arcutis Biotherapeutics ranks #340 out of 1388 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Arcutis Biotherapeutics has a GF Score™ of 56/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arcutis Biotherapeutics' Moat Score compare to IDYA and NAMS?
According to the Biotechnology industry distribution chart, Arcutis Biotherapeutics ranks #340 out of 1388 companies for Moat Score. This places Arcutis Biotherapeutics in the top 25% of its industry — outperforming the majority of peers. The industry median Moat Score is 2.00. Arcutis Biotherapeutics' value of 3 is 50% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Biotechnology company?
The median Moat Score among Biotechnology companies is 2.00, based on 1,388 companies in the industry. Companies in the top quartile (top 25%) have a Moat Score significantly above this median, while those in the bottom quartile fall well below. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arcutis Biotherapeutics's current Moat Score of 3 is 50% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. For the Biotechnology industry, the median Moat Score is 2.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arcutis Biotherapeutics's current Moat Score is 3. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arcutis Biotherapeutics stock overvalued right now?
Based on GuruFocus' analysis, Arcutis Biotherapeutics (ARQT) is currently considered Modestly Undervalued. The stock's GF Value™ is $30.59, compared to a current price of $24.83 — trading 18.8% below its estimated fair value. The current Moat Score is 3 and 50% above the Biotechnology industry median of 2.00. Arcutis Biotherapeutics' overall GF Score™ is 56/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Arcutis Biotherapeutics (ARQT), the current Moat Score is 3 as of Aug. 21, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Arcutis Biotherapeutics (ARQT) Overvalued in 2026?

Based on GuruFocus' analysis, Arcutis Biotherapeutics stock appears to be undervalued. The current stock price of $24.83 is trading 18.8% below its estimated GF Value™ of $30.59. GuruFocus considers Arcutis Biotherapeutics to be Modestly Undervalued.

Key valuation signals for ARQT:

  • Moat Score: 3
  • GF Value™: $30.59 vs. price of $24.83 (18.8% below fair value)
  • GF Score™: 56/100 with 2 warning signs
  • Industry Position: 50% above the Biotechnology median (#340 of 1388)

No single metric tells the full story. See the ARQT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Arcutis Biotherapeutics Business Description

Address 3027 Townsgate Road, Suite 300, Westlake Village, CA, USA, 91361
Arcutis Biotherapeutics Inc is a commercial-stage biopharmaceutical company focused on developing and commercializing treatments for dermatological diseases with high unmet medical needs. Its current portfolio is comprised of differentiated topical and systemic treatments with potential to treat immune-mediated dermatological diseases and conditions. The company's product candidate ZORYVE roflumilast cream, has completed pivotal Phase 3 clinical trials in plaque psoriasis, demonstrating symptomatic improvement and favorable tolerability in this population. The Company has one reportable segment relating to the development and commercialization of treatments for dermatological diseases.
56GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$24.83
Price
$30.59
GF Value