company background image
LGND

Ligand Pharmaceuticals NasdaqGM:LGND Stock Report

Last Price

US$86.11

Market Cap

US$1.5b

7D

6.2%

1Y

-36.1%

Updated

30 Sep, 2022

Data

Company Financials +
LGND fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance0/6
Financial Health5/6
Dividends0/6

LGND Stock Overview

Ligand Pharmaceuticals Incorporated, a biopharmaceutical company, focuses on developing or acquiring technologies that help pharmaceutical companies to discover and develop medicines worldwide.

Ligand Pharmaceuticals Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Ligand Pharmaceuticals
Historical stock prices
Current Share PriceUS$86.11
52 Week HighUS$169.98
52 Week LowUS$72.57
Beta1.1
1 Month Change-6.80%
3 Month Change-4.94%
1 Year Change-36.13%
3 Year Change-15.62%
5 Year Change-39.19%
Change since IPO43.51%

Recent News & Updates

Sep 25

Ligand Pharmaceuticals: Struggling Along

Summary Ligand Pharmaceuticals is an intriguing but complicated business. The company employs multiple business lines and models under a roof, and at times makes transformative alternations to its business. Fundamental earnings power is fairly limited here, leaving many question marks and uncertainty about potential appeal despite a pullback in the shares.

Aug 11
Growth Investors: Industry Analysts Just Upgraded Their Ligand Pharmaceuticals Incorporated (NASDAQ:LGND) Revenue Forecasts By 11%

Growth Investors: Industry Analysts Just Upgraded Their Ligand Pharmaceuticals Incorporated (NASDAQ:LGND) Revenue Forecasts By 11%

Shareholders in Ligand Pharmaceuticals Incorporated ( NASDAQ:LGND ) may be thrilled to learn that the analysts have...

Shareholder Returns

LGNDUS BiotechsUS Market
7D6.2%1.0%-3.1%
1Y-36.1%-25.8%-21.5%

Return vs Industry: LGND underperformed the US Biotechs industry which returned -25.8% over the past year.

Return vs Market: LGND underperformed the US Market which returned -21.5% over the past year.

Price Volatility

Is LGND's price volatile compared to industry and market?
LGND volatility
LGND Average Weekly Movement5.9%
Biotechs Industry Average Movement11.1%
Market Average Movement6.9%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: LGND is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: LGND's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1987154John Higginshttps://www.ligand.com

Ligand Pharmaceuticals Incorporated, a biopharmaceutical company, focuses on developing or acquiring technologies that help pharmaceutical companies to discover and develop medicines worldwide. Its commercial programs include Kyprolis and Evomela, which are used to treat multiple myeloma; Veklury for the treatment of moderate or severe COVID-19; Teriparatide injection product for osteoporosis; Vaxneuvance for the prevention of invasive disease caused by Streptococcus pneumoniae; and Pneumosil, a pneumococcal conjugate vaccine to help fight against pneumococcal pneumonia among children. The company also offers Rylaze, a recombinant erwinia asparaginase for the treatment of acute lymphoblastic leukemia or lymphoblastic lymphoma in adult and pediatric patients; and Nexterone, a captisol-enabled formulation of amiodarone; and Zulresso, a captisol-enabled formulation of brexanolone for the treatment of postpartum depression.

Ligand Pharmaceuticals Fundamentals Summary

How do Ligand Pharmaceuticals's earnings and revenue compare to its market cap?
LGND fundamental statistics
Market CapUS$1.45b
Earnings (TTM)-US$7.97m
Revenue (TTM)US$240.42m

6.0x

P/S Ratio

-182.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
LGND income statement (TTM)
RevenueUS$240.42m
Cost of RevenueUS$109.42m
Gross ProfitUS$131.00m
Other ExpensesUS$138.97m
Earnings-US$7.97m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.47
Gross Margin54.49%
Net Profit Margin-3.32%
Debt/Equity Ratio14.3%

How did LGND perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is LGND undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for LGND?

Other financial metrics that can be useful for relative valuation.

LGND key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue6x
Enterprise Value/EBITDA21.5x
PEG Ration/a

Price to Sales Ratio vs Peers

How does LGND's PS Ratio compare to its peers?

LGND PS Ratio vs Peers
The above table shows the PS ratio for LGND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average6.7x
CPRX Catalyst Pharmaceuticals
7.7x12.2%US$1.3b
XNCR Xencor
5.4x15.9%US$1.6b
CDMO Avid Bioservices
9.5x24.1%US$1.2b
VCYT Veracyte
4.4x13.8%US$1.2b
LGND Ligand Pharmaceuticals
6x5.5%US$1.5b

Price-To-Sales vs Peers: LGND is good value based on its Price-To-Sales Ratio (6x) compared to the peer average (6.7x).


Price to Earnings Ratio vs Industry

How does LGND's PE Ratio compare vs other companies in the US Biotechs Industry?

Price-To-Sales vs Industry: LGND is good value based on its Price-To-Sales Ratio (6x) compared to the US Biotechs industry average (13.2x)


Price to Sales Ratio vs Fair Ratio

What is LGND's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

LGND PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio6x
Fair PS Ratio3.2x

Price-To-Sales vs Fair Ratio: LGND is expensive based on its Price-To-Sales Ratio (6x) compared to the estimated Fair Price-To-Sales Ratio (3.2x).


Share Price vs Fair Value

What is the Fair Price of LGND when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LGND ($86.11) is trading below our estimate of fair value ($217.18)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies

Future Growth

How is Ligand Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-8.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LGND is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: LGND is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: LGND is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: LGND's revenue (5.5% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: LGND's revenue (5.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if LGND's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has Ligand Pharmaceuticals performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-17.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: LGND is currently unprofitable.

Growing Profit Margin: LGND is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LGND is unprofitable, and losses have increased over the past 5 years at a rate of 17.7% per year.

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

Earnings vs Industry: LGND is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (29.2%).


Return on Equity

High ROE: LGND has a negative Return on Equity (-0.99%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Ligand Pharmaceuticals's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: LGND's short term assets ($243.8M) exceed its short term liabilities ($167.9M).

Long Term Liabilities: LGND's short term assets ($243.8M) exceed its long term liabilities ($106.1M).


Debt to Equity History and Analysis

Debt Level: LGND has more cash than its total debt.

Reducing Debt: LGND's debt to equity ratio has reduced from 53.4% to 14.3% over the past 5 years.

Debt Coverage: LGND's debt is well covered by operating cash flow (97%).

Interest Coverage: LGND's interest payments on its debt are not well covered by EBIT (1.6x coverage).


Balance Sheet


Discover healthy companies

Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Ligand Pharmaceuticals Dividend Yield vs Market
How does Ligand Pharmaceuticals dividend yield compare to the market?
SegmentDividend Yield
Company (Ligand Pharmaceuticals)n/a
Market Bottom 25% (US)1.7%
Market Top 25% (US)4.7%
Industry Average (Biotechs)2.8%
Analyst forecast in 3 Years (Ligand Pharmaceuticals)n/a

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

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


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as LGND has not reported any payouts.


Discover strong dividend paying companies

Management

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

11.4yrs

Average management tenure


CEO

John Higgins (52 yo)

15.5yrs

Tenure

US$9,587,211

Compensation

Mr. John L. Higgins serves as Director at OmniAb, Inc. since December 2015 and served as its President since December 2015 until March 2022. Mr. Higgins has been the President and Chief Executive Officer o...


CEO Compensation Analysis

John Higgins's Compensation vs Ligand Pharmaceuticals Earnings
How has John Higgins's remuneration changed compared to Ligand Pharmaceuticals's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-US$8m

Mar 31 2022n/an/a

US$24m

Dec 31 2021US$10mUS$697k

US$57m

Sep 30 2021n/an/a

US$68m

Jun 30 2021n/an/a

US$48m

Mar 31 2021n/an/a

US$39m

Dec 31 2020US$6mUS$668k

-US$3m

Sep 30 2020n/an/a

-US$16m

Jun 30 2020n/an/a

-US$25m

Mar 31 2020n/an/a

-US$61m

Dec 31 2019US$7mUS$648k

US$629m

Sep 30 2019n/an/a

US$594m

Jun 30 2019n/an/a

US$677m

Mar 31 2019n/an/a

US$764m

Dec 31 2018US$6mUS$627k

US$143m

Sep 30 2018n/an/a

US$179m

Jun 30 2018n/an/a

US$120m

Mar 31 2018n/an/a

US$53m

Dec 31 2017US$6mUS$612k

US$13m

Sep 30 2017n/an/a

US$16m

Jun 30 2017n/an/a

US$9m

Mar 31 2017n/an/a

-US$3m

Dec 31 2016US$5mUS$574k

-US$2m

Sep 30 2016n/an/a

US$7m

Jun 30 2016n/an/a

US$205m

Mar 31 2016n/an/a

US$235m

Dec 31 2015US$5mUS$547k

US$230m

Compensation vs Market: John's total compensation ($USD9.59M) is above average for companies of similar size in the US market ($USD5.59M).

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


Leadership Team

Experienced Management: LGND's management team is seasoned and experienced (11.4 years average tenure).


Board Members

Experienced Board: LGND's board of directors are seasoned and experienced ( 11.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: LGND insiders have only sold shares in the past 3 months.


Recent Insider Transactions

NasdaqGM:LGND Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
16 Sep 22SellUS$268,060John HigginsIndividual3,000US$90.00
13 May 22BuyUS$206,910Matthew FoehrIndividual2,500US$82.76
12 Nov 21SellUS$481,500John HigginsIndividual3,000US$160.50

Ownership Breakdown

What is the ownership structure of LGND?
Owner TypeNumber of SharesOwnership Percentage
General Public682,4404.0%
Individual Insiders899,4685.3%
Institutions15,300,84390.6%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 78.37% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
16.02%
BlackRock, Inc.
2,704,847$232.9m-1.04%0.01%
10.51%
The Vanguard Group, Inc.
1,773,974$152.8m2.68%no data
8.23%
Janus Henderson Group plc
1,389,488$119.6m0.03%0.06%
6.42%
State Street Global Advisors, Inc.
1,083,917$93.3m-0.72%no data
4.64%
Macquarie Investment Management Business Trust
783,924$67.5m3.35%0.07%
2.94%
St. Denis J. Villere & Co., LLC
496,028$42.7m-2.9%3.16%
2.69%
Stephens Investment Management Group, LLC
453,574$39.1m8.6%0.69%
2.66%
Chicago Capital, LLC
448,363$38.6m-8.82%2.07%
2.62%
Dimensional Fund Advisors LP
442,704$38.1m17.08%0.01%
2.54%
abrdn plc
428,585$36.9m27.93%0.04%
2.41%
William Blair Investment Management, LLC
406,305$35.0m-56.14%0.06%
2.17%
John Higgins
366,180$31.5m-0.81%no data
1.98%
Rice Hall James & Associates, LLC
334,642$28.8m-2.99%1.35%
1.72%
Geode Capital Management, LLC
290,725$25.0m-3.28%no data
1.31%
Kornitzer Capital Management, Inc.
220,422$19.0m-27.35%0.35%
1.23%
Invesco Capital Management LLC
208,118$17.9m13.38%0.01%
1.17%
Northern Trust Global Investments
197,221$17.0m-2.47%no data
1.09%
Impax Asset Management Group plc
184,320$15.9m12.17%0.05%
1.08%
Matthew Foehr
182,491$15.7m6.81%no data
0.96%
BNY Mellon Asset Management
162,586$14.0m-10.95%no data
0.94%
Charles Schwab Investment Management, Inc.
159,064$13.7m2.97%no data
0.89%
Columbia Management Investment Advisers, LLC
150,132$12.9m34.83%no data
0.75%
Medical Strategy GmbH, Asset Management Arm
126,021$10.9m3.41%0.69%
0.73%
Norges Bank Investment Management
122,456$10.5m0%no data
0.68%
Knott Partners Management, LLC
115,000$9.9m0%3.3%

Company Information

Ligand Pharmaceuticals Incorporated's employee growth, exchange listings and data sources


Key Information

  • Name: Ligand Pharmaceuticals Incorporated
  • Ticker: LGND
  • Exchange: NasdaqGM
  • Founded: 1987
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$1.454b
  • Shares outstanding: 16.88m
  • Website: https://www.ligand.com

Number of Employees


Location

  • Ligand Pharmaceuticals Incorporated
  • 5980 Horton Street
  • Suite 405
  • EmeryVille
  • California
  • 94608
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LGNDNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDNov 1994
LGDNDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1994

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.