198.41 USD
+1.27 (+0.64%)
Overall LGND gets a fundamental rating of 6 out of 10. We evaluated LGND against 192 industry peers in the Pharmaceuticals industry. LGND has an excellent profitability rating, but there are some minor concerns on its financial health. LGND is not overvalued while it is showing excellent growth. This is an interesting combination. This makes LGND very considerable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year LGND was profitable.
LGND had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: LGND reported negative net income in multiple years.
In the past 5 years LGND always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.29%, LGND belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
With an excellent Return On Equity value of 5.11%, LGND belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.58%, LGND is in the better half of the industry, outperforming 78.65% of the companies in the same industry.
LGND had an Average Return On Invested Capital over the past 3 years of 1.12%. This is significantly below the industry average of 12.85%.
The 3 year average ROIC (1.12%) for LGND is below the current ROIC(1.58%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
The Profit Margin of LGND (19.34%) is better than 90.63% of its industry peers.
The Operating Margin of LGND (11.48%) is better than 84.38% of its industry peers.
In the last couple of years the Operating Margin of LGND has declined.
With an excellent Gross Margin value of 94.27%, LGND belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
LGND's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LGND is destroying value.
The number of shares outstanding for LGND has been increased compared to 1 year ago.
The number of shares outstanding for LGND has been increased compared to 5 years ago.
Compared to 1 year ago, LGND has a worse debt to assets ratio.
2.2 Solvency
LGND has an Altman-Z score of 5.79. This indicates that LGND is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.79, LGND is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
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.
LGND's Debt to FCF ratio of 14.48 is fine compared to the rest of the industry. LGND outperforms 77.08% of its industry peers.
LGND has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
LGND has a Debt to Equity ratio of 0.47. This is in the lower half of the industry: LGND underperforms 61.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 14.48 | ||
| Altman-Z | 5.79 |
ROIC/WACC0.17
WACC9.38%
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.
Looking at the Current ratio, with a value of 24.69, LGND belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
A Quick Ratio of 24.30 indicates that LGND has no problem at all paying its short term obligations.
LGND has a better Quick ratio (24.30) than 92.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 24.69 | ||
| Quick Ratio | 24.3 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.26% over the past year.
LGND shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.44% yearly.
LGND shows a strong growth in Revenue. In the last year, the Revenue has grown by 64.83%.
Measured over the past years, LGND shows a small growth in Revenue. The Revenue has been growing by 6.80% on average per year.
EPS 1Y (TTM)25.26%
EPS 3Y-3.83%
EPS 5Y13.44%
EPS Q2Q%67.93%
Revenue 1Y (TTM)64.83%
Revenue growth 3Y-15.51%
Revenue growth 5Y6.8%
Sales Q2Q%67.71%
3.2 Future
LGND is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.25% yearly.
Based on estimates for the next years, LGND will show a very strong growth in Revenue. The Revenue will grow by 21.75% on average per year.
EPS Next Y35.02%
EPS Next 2Y18.34%
EPS Next 3Y20.06%
EPS Next 5Y16.25%
Revenue Next Year57.16%
Revenue Next 2Y25.98%
Revenue Next 3Y23.91%
Revenue Next 5Y21.75%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.22 indicates a quite expensive valuation of LGND.
Based on the Price/Earnings ratio, LGND is valued a bit cheaper than 78.65% of the companies in the same industry.
When comparing the Price/Earnings ratio of LGND to the average of the S&P500 Index (26.59), we can say LGND is valued inline with the index average.
With a Price/Forward Earnings ratio of 24.81, LGND is valued on the expensive side.
Based on the Price/Forward Earnings ratio, LGND is valued a bit cheaper than 74.48% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.03, LGND is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.22 | ||
| Fwd PE | 24.81 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LGND indicates a somewhat cheap valuation: LGND is cheaper than 77.08% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LGND is valued a bit cheaper than the industry average as 74.48% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 126.94 | ||
| EV/EBITDA | 49.74 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of LGND may justify a higher PE ratio.
A more expensive valuation may be justified as LGND's earnings are expected to grow with 20.06% in the coming years.
PEG (NY)0.78
PEG (5Y)2.03
EPS Next 2Y18.34%
EPS Next 3Y20.06%
5. Dividend
5.1 Amount
LGND does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:LGND (12/26/2025, 10:54:31 AM)
198.41
+1.27 (+0.64%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners106.5%
Inst Owner Change87.96%
Ins Owners1.62%
Ins Owner Change-1.3%
Market Cap3.90B
Revenue(TTM)251.23M
Net Income(TTM)48.58M
Analysts84.62
Price TargetN/A
Short Float %5.77%
Short Ratio5.64
Dividend
| Industry Rank | Sector 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)29.69%
PT rev (3m)29.69%
EPS NQ rev (1m)6.27%
EPS NQ rev (3m)-23.87%
EPS NY rev (1m)10.1%
EPS NY rev (3m)10.15%
Revenue NQ rev (1m)0.29%
Revenue NQ rev (3m)-10.5%
Revenue NY rev (1m)19.55%
Revenue NY rev (3m)19.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.22 | ||
| Fwd PE | 24.81 | ||
| P/S | 15.54 | ||
| P/FCF | 126.94 | ||
| P/OCF | 122.35 | ||
| P/B | 4.11 | ||
| P/tB | 9.55 | ||
| EV/EBITDA | 49.74 |
EPS(TTM)7.29
EY3.67%
EPS(NY)8
Fwd EY4.03%
FCF(TTM)1.56
FCFY0.79%
OCF(TTM)1.62
OCFY0.82%
SpS12.77
BVpS48.28
TBVpS20.77
PEG (NY)0.78
PEG (5Y)2.03
Graham Number88.99
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 5.79 |
F-Score5
WACC9.38%
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)25.26%
EPS 3Y-3.83%
EPS 5Y13.44%
EPS Q2Q%67.93%
EPS Next Y35.02%
EPS Next 2Y18.34%
EPS Next 3Y20.06%
EPS Next 5Y16.25%
Revenue 1Y (TTM)64.83%
Revenue growth 3Y-15.51%
Revenue growth 5Y6.8%
Sales Q2Q%67.71%
Revenue Next Year57.16%
Revenue Next 2Y25.98%
Revenue Next 3Y23.91%
Revenue Next 5Y21.75%
EBIT growth 1Y64.02%
EBIT growth 3Y-33.67%
EBIT growth 5YN/A
EBIT Next Year652.88%
EBIT Next 3Y145.93%
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 6 / 10 to LGND.
Can you provide the valuation status for LIGAND PHARMACEUTICALS?
ChartMill assigns a valuation rating of 5 / 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 valuation of LIGAND PHARMACEUTICALS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for LIGAND PHARMACEUTICALS (LGND) is 27.22 and the Price/Book (PB) ratio is 4.11.
Can you provide the expected EPS growth for LGND stock?
The Earnings per Share (EPS) of LIGAND PHARMACEUTICALS (LGND) is expected to grow by 35.02% in the next year.