LIGAND PHARMACEUTICALS (LGND) Stock Fundamental Analysis

NASDAQ:LGND • US53220K5048

198.31 USD
+2.14 (+1.09%)
At close: Feb 27, 2026
198.289 USD
-0.02 (-0.01%)
After Hours: 2/27/2026, 8:15:33 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

LGND gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 193 industry peers in the Pharmaceuticals industry. While LGND belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. LGND has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year LGND was profitable.
  • In the past year LGND had a positive cash flow from operations.
  • The reported net income has been mixed in the past 5 years: LGND reported negative net income in multiple years.
  • LGND had a positive operating cash flow in 4 of the past 5 years.
LGND Yearly Net Income VS EBIT VS OCF VS FCFLGND Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M

1.2 Ratios

  • LGND has a Return On Assets of 3.29%. This is amongst the best in the industry. LGND outperforms 83.42% of its industry peers.
  • LGND's Return On Equity of 5.11% is amongst the best of the industry. LGND outperforms 83.94% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 1.58%, LGND is in the better half of the industry, outperforming 79.27% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for LGND is significantly below the industry average of 12.93%.
  • The last Return On Invested Capital (1.58%) for LGND is above the 3 year average (1.12%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 3.29%
ROE 5.11%
ROIC 1.58%
ROA(3y)0.61%
ROA(5y)1.2%
ROE(3y)0.46%
ROE(5y)1.58%
ROIC(3y)1.12%
ROIC(5y)1.78%
LGND Yearly ROA, ROE, ROICLGND Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60 80

1.3 Margins

  • With an excellent Profit Margin value of 19.34%, LGND belongs to the best of the industry, outperforming 91.19% of the companies in the same industry.
  • With an excellent Operating Margin value of 11.48%, LGND belongs to the best of the industry, outperforming 84.97% of the companies in the same industry.
  • In the last couple of years the Operating Margin of LGND has declined.
  • The Gross Margin of LGND (94.27%) is better than 96.37% of its industry peers.
  • LGND's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 11.48%
PM (TTM) 19.34%
GM 94.27%
OM growth 3Y-21.5%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.37%
GM growth 5Y0.62%
LGND Yearly Profit, Operating, Gross MarginsLGND Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100 200 300 400 500

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • LGND has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • There is no outstanding debt for LGND. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
LGND Yearly Shares OutstandingLGND Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M
LGND Yearly Total Debt VS Total AssetsLGND Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B

2.2 Solvency

  • An Altman-Z score of 5.82 indicates that LGND is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of LGND (5.82) is better than 78.24% of its industry peers.
  • The Debt to FCF ratio of LGND is 14.48, which is on the high side as it means it would take LGND, 14.48 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 14.48, LGND is in the better half of the industry, outperforming 78.76% of the companies in the same industry.
  • LGND has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
  • The Debt to Equity ratio of LGND (0.47) is worse than 60.62% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 14.48
Altman-Z 5.82
ROIC/WACC0.17
WACC9.17%
LGND Yearly LT Debt VS Equity VS FCFLGND Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M

2.3 Liquidity

  • LGND has a Current Ratio of 24.69. This indicates that LGND is financially healthy and has no problem in meeting its short term obligations.
  • LGND has a better Current ratio (24.69) than 94.30% of its industry peers.
  • LGND has a Quick Ratio of 24.30. This indicates that LGND is financially healthy and has no problem in meeting its short term obligations.
  • The Quick ratio of LGND (24.30) is better than 93.26% of its industry peers.
Industry RankSector Rank
Current Ratio 24.69
Quick Ratio 24.3
LGND Yearly Current Assets VS Current LiabilitesLGND Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • LGND shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.81%, which is quite impressive.
  • The Earnings Per Share has been growing by 12.06% on average over the past years. This is quite good.
EPS 1Y (TTM)40.81%
EPS 3Y23.39%
EPS 5Y12.06%
EPS Q2Q%59.06%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%39.38%

3.2 Future

  • Based on estimates for the next years, LGND will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.89% on average per year.
  • Based on estimates for the next years, LGND will show a quite strong growth in Revenue. The Revenue will grow by 15.13% on average per year.
EPS Next Y5.22%
EPS Next 2Y10.46%
EPS Next 3Y12.15%
EPS Next 5Y12.89%
Revenue Next Year9.77%
Revenue Next 2Y13.73%
Revenue Next 3Y15.21%
Revenue Next 5Y15.13%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
LGND Yearly Revenue VS EstimatesLGND Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 200M 400M 600M
LGND Yearly EPS VS EstimatesLGND Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 5 10 15

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 24.67 indicates a rather expensive valuation of LGND.
  • Compared to the rest of the industry, the Price/Earnings ratio of LGND indicates a somewhat cheap valuation: LGND is cheaper than 79.79% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of LGND to the average of the S&P500 Index (27.07), we can say LGND is valued inline with the index average.
  • A Price/Forward Earnings ratio of 23.44 indicates a rather expensive valuation of LGND.
  • Based on the Price/Forward Earnings ratio, LGND is valued a bit cheaper than 76.17% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.05. LGND is around the same levels.
Industry RankSector Rank
PE 24.67
Fwd PE 23.44
LGND Price Earnings VS Forward Price EarningsLGND Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, LGND is valued a bit cheaper than the industry average as 77.72% of the companies are valued more expensively.
  • 76.17% of the companies in the same industry are more expensive than LGND, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 126.88
EV/EBITDA 50.11
LGND Per share dataLGND EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LGND does not grow enough to justify the current Price/Earnings ratio.
  • LGND has a very decent profitability rating, which may justify a higher PE ratio.
  • LGND's earnings are expected to grow with 12.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.73
PEG (5Y)2.05
EPS Next 2Y10.46%
EPS Next 3Y12.15%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • LGND does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

LIGAND PHARMACEUTICALS

NASDAQ:LGND (2/27/2026, 8:15:33 PM)

After market: 198.289 -0.02 (-0.01%)

198.31

+2.14 (+1.09%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-26
Earnings (Next)05-06
Inst Owners106.73%
Inst Owner Change-42.5%
Ins Owners1.62%
Ins Owner Change1.93%
Market Cap3.90B
Revenue(TTM)N/A
Net Income(TTM)48.58M
Analysts85.71
Price Target248.31 (25.21%)
Short Float %6.67%
Short Ratio5.87
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.83%
Min EPS beat(2)10.36%
Max EPS beat(2)57.31%
EPS beat(4)4
Avg EPS beat(4)19.98%
Min EPS beat(4)4.63%
Max EPS beat(4)57.31%
EPS beat(8)8
Avg EPS beat(8)37.45%
EPS beat(12)12
Avg EPS beat(12)53.58%
EPS beat(16)15
Avg EPS beat(16)61.91%
Revenue beat(2)2
Avg Revenue beat(2)25.66%
Min Revenue beat(2)6.44%
Max Revenue beat(2)44.89%
Revenue beat(4)4
Avg Revenue beat(4)18.43%
Min Revenue beat(4)6.44%
Max Revenue beat(4)44.89%
Revenue beat(8)8
Avg Revenue beat(8)17.31%
Revenue beat(12)11
Avg Revenue beat(12)12.65%
Revenue beat(16)14
Avg Revenue beat(16)16.25%
PT rev (1m)0%
PT rev (3m)6.72%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.6%
EPS NY rev (1m)0%
EPS NY rev (3m)10.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)12.73%
Valuation
Industry RankSector Rank
PE 24.67
Fwd PE 23.44
P/S 15.53
P/FCF 126.88
P/OCF 122.29
P/B 4.11
P/tB 9.55
EV/EBITDA 50.11
EPS(TTM)8.04
EY4.05%
EPS(NY)8.46
Fwd EY4.27%
FCF(TTM)1.56
FCFY0.79%
OCF(TTM)1.62
OCFY0.82%
SpS12.77
BVpS48.28
TBVpS20.77
PEG (NY)4.73
PEG (5Y)2.05
Graham Number93.46
Profitability
Industry RankSector Rank
ROA 3.29%
ROE 5.11%
ROCE 1.99%
ROIC 1.58%
ROICexc 2.92%
ROICexgc 9.48%
OM 11.48%
PM (TTM) 19.34%
GM 94.27%
FCFM 12.24%
ROA(3y)0.61%
ROA(5y)1.2%
ROE(3y)0.46%
ROE(5y)1.58%
ROIC(3y)1.12%
ROIC(5y)1.78%
ROICexc(3y)1.91%
ROICexc(5y)2.67%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)1.42%
ROCE(5y)2.25%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-16.87%
ROICexc growth 5YN/A
OM growth 3Y-21.5%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.37%
GM growth 5Y0.62%
F-Score5
Asset Turnover0.17
Health
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 14.48
Debt/EBITDA 7.07
Cap/Depr 3.38%
Cap/Sales 0.46%
Interest Coverage 96.15
Cash Conversion 50.63%
Profit Quality 63.32%
Current Ratio 24.69
Quick Ratio 24.3
Altman-Z 5.82
F-Score5
WACC9.17%
ROIC/WACC0.17
Cap/Depr(3y)71.95%
Cap/Depr(5y)50.12%
Cap/Sales(3y)19.71%
Cap/Sales(5y)12.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40.81%
EPS 3Y23.39%
EPS 5Y12.06%
EPS Q2Q%59.06%
EPS Next Y5.22%
EPS Next 2Y10.46%
EPS Next 3Y12.15%
EPS Next 5Y12.89%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%39.38%
Revenue Next Year9.77%
Revenue Next 2Y13.73%
Revenue Next 3Y15.21%
Revenue Next 5Y15.13%
EBIT growth 1Y64.02%
EBIT growth 3Y-33.67%
EBIT growth 5YN/A
EBIT Next Year674.52%
EBIT Next 3Y155.59%
EBIT Next 5Y79.19%
FCF growth 1Y-61.26%
FCF growth 3Y10.8%
FCF growth 5YN/A
OCF growth 1Y-66.41%
OCF growth 3Y7.19%
OCF growth 5YN/A

LIGAND PHARMACEUTICALS / LGND FAQ

What is the ChartMill fundamental rating of LIGAND PHARMACEUTICALS (LGND) stock?

ChartMill assigns a fundamental rating of 5 / 10 to LGND.


What is the valuation status of LIGAND PHARMACEUTICALS (LGND) stock?

ChartMill assigns a valuation rating of 4 / 10 to LIGAND PHARMACEUTICALS (LGND). This can be considered as Fairly Valued.


How profitable is LIGAND PHARMACEUTICALS (LGND) stock?

LIGAND PHARMACEUTICALS (LGND) has a profitability rating of 7 / 10.


What is the financial health of LIGAND PHARMACEUTICALS (LGND) stock?

The financial health rating of LIGAND PHARMACEUTICALS (LGND) is 6 / 10.