Ligand Pharmaceuticals Incorporated (LGND) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-87.1%

$40.07

vs $310.32 price

Levered DCF

$64.71

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

3.83

Safe zone

Rating

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	29.36×	-487.05×	23.65×	-33.74×	27.85×	-344.67×	1.96×	14.2×
P/B	3.59×	2.36×	1.76×	1.89×	1.95×	1.42×	1.61×	3.63×
P/S	13.64×	11.73×	9.41×	5.74×	6.63×	6.14×	10.27×	8.1×
EV / EBITDA	20.41×	46.44×	12.09×	14.4×	13.36×	24.93×	2.07×	8.27×
Gross margin	97.5%	93.4%	73.3%	73.1%	74.3%	81.4%	90.6%	97.5%
Operating margin	17.6%	-13.5%	9.1%	1.5%	43.0%	22.9%	671.0%	65.1%
Net margin	46.4%	-2.4%	39.7%	-17.0%	23.7%	-1.8%	523.2%	57.0%
Current ratio	22.23×	8.93×	14.15×	2.67×	11.15×	5×	66.09×	10.58×
Debt / equity	0.44×	0.01×	0.01×	0.15×	0.4×	0.64×	0.85×	1.13×
Interest coverage	10.01×	-7.44×	18.2×	1.69×	5.29×	1.37×	22.58×	3.39×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	12.2%	-0.5%	7.4%	-5.6%	7.0%	-0.4%	82.0%	25.6%
Return on invested capital	2.4%	4.0%	1.3%	-0.1%	8.3%	3.0%	43.1%	11.2%
Return on assets	8.0%	-0.4%	6.6%	-4.4%	4.4%	-0.2%	42.1%	11.4%
Free cash flow yield	1.3%	3.9%	-0.3%	10.6%	4.4%	5.0%	-2.6%	8.9%
Earnings yield	3.4%	-0.2%	4.2%	-3.0%	3.6%	-0.3%	50.9%	7.0%
Enterprise value	$3.9B	$1.9B	$1.2B	$1.2B	$1.9B	$1.4B	$1.8B	$2B
Net debt / EBITDA	1.43×	-1.6×	-0.17×	0.53×	2.14×	7.21×	0.66×	-0.35×
Cash conversion cycle (days)	409	385	334	120	250	404	284	250