Rigel Pharmaceuticals, Inc.
Rigel Pharmaceuticals, Inc. Fundamental Analysis
Rigel Pharmaceuticals, Inc. (RIGL) shows moderate financial fundamentals with a PE ratio of 1.35, profit margin of 1.25%, and ROE of 2.41%. The company generates $0.3B in annual revenue with strong year-over-year growth of 53.38%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 89.9/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze RIGL's fundamental strength across five key dimensions:
Efficiency Score
ExcellentRIGL demonstrates superior asset utilization.
Valuation Score
ExcellentRIGL trades at attractive valuation levels.
Growth Score
ModerateRIGL shows steady but slowing expansion.
Financial Health Score
ExcellentRIGL maintains a strong and stable balance sheet.
Profitability Score
ModerateRIGL maintains healthy but balanced margins.
Key Financial Metrics
Is RIGL Expensive or Cheap?
P/E Ratio
RIGL trades at 1.35 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, RIGL's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Rigel Pharmaceuticals, Inc. at 1.26 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.88 times EBITDA. This is generally considered low.
How Well Does RIGL Make Money?
Net Profit Margin
For every $100 in sales, Rigel Pharmaceuticals, Inc. keeps $1.25 as profit after all expenses.
Operating Margin
Core operations generate 42.63 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.41 in profit for every $100 of shareholder equity.
ROA
Rigel Pharmaceuticals, Inc. generates $71.46 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Rigel Pharmaceuticals, Inc. generates strong operating cash flow of $77.70M, reflecting robust business health.
Free Cash Flow
Rigel Pharmaceuticals, Inc. generates strong free cash flow of $77.70M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.21 in free cash annually.
FCF Yield
RIGL converts 14.88% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.006
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.26
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.14
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.42
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
2.41
vs 25 benchmark
ROA
Return on assets percentage
0.71
vs 25 benchmark
ROCE
Return on capital employed
0.30
vs 25 benchmark
How RIGL Stacks Against Its Sector Peers
| Metric | RIGL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 1.35 | 28.45 | Better (Cheaper) |
| ROE | 240.83% | 763.00% | Weak |
| Net Margin | 124.72% | -45265.00% (disorted) | Strong |
| Debt/Equity | 0.14 | 0.34 | Strong (Low Leverage) |
| Current Ratio | 2.42 | 2795.60 | Strong Liquidity |
| ROA | 71.46% | -16588.00% (disorted) | Strong |
RIGL outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Rigel Pharmaceuticals, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
187.68%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
125.00%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
172.13%
Industry Style: Defensive, Growth, Innovation
High Growth