DB:RI2A

Stock Analysis Report

Executive Summary

Rigel Pharmaceuticals, Inc., a biotechnology company, engages in the discovery and development of small molecule drugs for the treatment of immune and hematologic disorders, cancer, and rare diseases.


Snowflake Analysis

Excellent balance sheet with high growth potential.

Share Price & News

How has Rigel Pharmaceuticals's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RI2A's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.0%

RI2A

11.3%

DE Biotechs

7.1%

DE Market


1 Year Return

-34.3%

RI2A

-5.1%

DE Biotechs

-17.5%

DE Market

Return vs Industry: RI2A underperformed the German Biotechs industry which returned -5.1% over the past year.

Return vs Market: RI2A underperformed the German Market which returned -17.5% over the past year.


Shareholder returns

RI2AIndustryMarket
7 Day6.0%11.3%7.1%
30 Day-16.5%-8.0%-20.0%
90 Day-22.8%-22.7%-26.1%
1 Year-34.3%-34.3%-4.9%-5.1%-15.0%-17.5%
3 Year-53.6%-53.6%17.7%16.4%-18.8%-25.8%
5 Year-57.8%-57.8%-5.1%-7.5%-17.9%-29.2%

Price Volatility Vs. Market

How volatile is Rigel Pharmaceuticals's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Rigel Pharmaceuticals undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RI2A (€1.42) is trading below our estimate of fair value (€12.04)

Significantly Below Fair Value: RI2A is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: RI2A is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: RI2A is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate RI2A's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: RI2A is overvalued based on its PB Ratio (4.9x) compared to the DE Biotechs industry average (3.6x).


Next Steps

Future Growth

How is Rigel Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

62.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RI2A is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: RI2A is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: RI2A's is expected to become profitable in the next 3 years.

Revenue vs Market: RI2A's revenue (29.3% per year) is forecast to grow faster than the German market (4.2% per year).

High Growth Revenue: RI2A's revenue (29.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RI2A is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Rigel Pharmaceuticals performed over the past 5 years?

0.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RI2A is currently unprofitable.

Growing Profit Margin: RI2A is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RI2A is unprofitable, but has reduced losses over the past 5 years at a rate of 0.8% per year.

Accelerating Growth: Unable to compare RI2A's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: RI2A is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (8.7%).


Return on Equity

High ROE: RI2A has a negative Return on Equity (-124.3%), as it is currently unprofitable.


Next Steps

Financial Health

How is Rigel Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: RI2A's short term assets ($119.0M) exceed its short term liabilities ($58.2M).

Long Term Liabilities: RI2A's short term assets ($119.0M) exceed its long term liabilities ($35.5M).


Debt to Equity History and Analysis

Debt Level: RI2A's debt to equity ratio (18.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if RI2A's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: RI2A has a high level of physical assets or inventory.

Debt Coverage by Assets: RI2A's debt is covered by short term assets (assets are 12.1x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: RI2A has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: RI2A has sufficient cash runway for 1.9 years if free cash flow continues to grow at historical rates of 4.1% each year.


Next Steps

Dividend

What is Rigel Pharmaceuticals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RI2A's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate RI2A's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RI2A's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RI2A's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RI2A's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Raul Rodriguez (58yo)

5.33s

Tenure

US$3,980,860

Compensation

Mr. Raul R. Rodriguez has been the Chief Executive Officer of Rigel Pharmaceuticals, Inc., since November 2014 and has been its President since May 2010. Mr. Rodriguez served as Chief Operating Officer at  ...


CEO Compensation Analysis

Compensation vs Market: Raul's total compensation ($USD3.98M) is above average for companies of similar size in the German market ($USD765.33K).

Compensation vs Earnings: Raul's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Raul Rodriguez
President5.33yrsUS$3.98m0.10% $249.1k
Dean Schorno
Executive VP & CFO1.83yrsUS$1.19m0.030% $70.8k
Dolly Vance
Executive VP of Corporate Affairs17.17yrsUS$1.77m0.0037% $8.8k
Thomas Raffin
Co-Founderno datano datano data
Nelson Cabatuan
VP of Finance & Interim Principal Accounting Officer2.25yrsno data0.000030% $71.6
Joseph Lasaga
Senior Vice President of Corporate Developmentno datano datano data
Giovanna Matthews
Executive Director of Market Access2.58yrsno datano data
Esteban Masuda
Executive Vice President of Research3.5yrsno datano data
Wolfgang Dummer
Executive VP & Chief Medical Officer0.42yrno datano data
Tarek Sallam
Vice President of Marketingno datano datano data

2.6yrs

Average Tenure

56yo

Average Age

Experienced Management: RI2A's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Raul Rodriguez
President5.33yrsUS$3.98m0.10% $249.1k
Gary Lyons
Chairman of the Board5.33yrsUS$208.66kno data
Walter Moos
Director and Member of Scientific & Clinical Trial Advisory Committee23yrsUS$188.66k0.0013% $3.2k
Keith Katkin
Independent Director4.75yrsUS$178.16kno data
Bradford Goodwin
Independent Director13.17yrsUS$185.66k0.0059% $14.2k
Brian Kotzin
Director and Member of Scientific & Clinical Trial Advisory Committee4.58yrsUS$166.16kno data
Jane Wasman
Director1yrno datano data
Gregory Lapointe
Independent Director2.33yrsUS$151.00kno data

5.0yrs

Average Tenure

63.5yo

Average Age

Experienced Board: RI2A's board of directors are considered experienced (4.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.3%.


Top Shareholders

Company Information

Rigel Pharmaceuticals, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rigel Pharmaceuticals, Inc.
  • Ticker: RI2A
  • Exchange: DB
  • Founded: 1996
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$264.654m
  • Listing Market Cap: US$238.692m
  • Shares outstanding: 168.57m
  • Website: https://www.rigel.com

Number of Employees


Location

  • Rigel Pharmaceuticals, Inc.
  • 1180 Veterans Boulevard
  • South San Francisco
  • California
  • 94080
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RIGLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 2000
RI2ADB (Deutsche Boerse AG)YesCommon StockDEEURNov 2000
RI2ABRSE (Berne Stock Exchange)YesCommon StockCHCHFNov 2000

Biography

Rigel Pharmaceuticals, Inc., a biotechnology company, engages in the discovery and development of small molecule drugs for the treatment of immune and hematologic disorders, cancer, and rare diseases. The company’s clinical programs include Tavalisse, an oral spleen tyrosine kinase inhibitor for the treatment of adult patients with chronic immune thrombocytopenia; and Phase III clinical study for autoimmune hemolytic anemia. Its clinical programs also comprise R835, a proprietary molecule from its interleukin receptor associated kinase (IRAK) program, which is in Phase I clinical study for autoimmune and inflammatory diseases. The company has research and license agreements with Aclaris Therapeutics International Limited for the development and commercialization of janus kinase (JAK) inhibitors for the treatment of alopecia areata and other dermatological conditions; AstraZeneca AB for the development and commercialization of R256, an inhaled JAK inhibitor; BerGenBio AS for the development and commercialization of AXL inhibitors in oncology; and Daiichi Sankyo to pursue research related to MDM2 inhibitors, a novel class of drug targets called ligases, as well as license and supply agreement with Kissei Pharmaceutical Co., Ltd. to develop and commercialize Tavalisse. Rigel Pharmaceuticals, Inc. was incorporated in 1996 and is based in South San Francisco, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/29 21:01
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.