Ligand Pharmaceuticals (NASDAQ:LGND) Issues Quarterly Earnings Results

Ligand Pharmaceuticals (NASDAQ:LGND) announced its earnings results on Thursday. The biotechnology company reported $2.67 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.33 by $0.34, FiscalAI reports. The company had revenue of $78.75 million for the quarter, compared to analysts’ expectations of $77.00 million. Ligand Pharmaceuticals had a net margin of 67.88% and a return on equity of 20.06%. The firm’s quarterly revenue was down 31.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $3.09 EPS.

Here are the key takeaways from Ligand Pharmaceuticals’ conference call:

• Royalty revenue rose 51% year over year to $70.3 million, driven by FILSPARI, OHTUVAYRE and the newly acquired XOMA assets. Ligand raised its 2026 adjusted diluted EPS guidance to $9.50–$9.75 per share while reaffirming revenue guidance.
• The XOMA acquisition added three commercial assets and more than 100 pipeline programs, with management reporting that cost synergies are tracking slightly better than expected. Ligand expects XOMA to contribute approximately $0.50 to 2026 EPS and $1.50 to 2027 EPS.
• Ligand enters a catalyst-rich period, with up to seven pivotal readouts through 2027. Key opportunities include QTORIN rapamycin’s February 2027 PDUFA date, FILSPARI’s FSGS launch, and late-stage programs such as mezagitamab, volixibat and osavampator.
• The company has approximately $750 million of deployable capital and reviewed more than 180 investment opportunities in 2026, but management continues to emphasize selective deployment. Revenue and earnings timing remain uncertain because of Captisol orders, partner reporting, clinical milestones and regulatory events.
• Third-quarter GAAP results included a net loss of $28.5 million, or $1.43 per share, and adjusted EPS declined from $3.09 to $2.67 because the prior-year period included $24.5 million of one-time ZELSUVMI licensing income. Reported G&A also increased substantially due to $35 million of XOMA transaction and integration costs.

Ligand Pharmaceuticals Trading Down 0.5%

Shares of LGND stock traded down $1.45 on Thursday, hitting $317.33. 299,327 shares of the stock traded hands, compared to its average volume of 230,170. The firm’s 50-day moving average price is $295.68 and its two-hundred day moving average price is $251.72. The company has a debt-to-equity ratio of 1.16, a quick ratio of 30.96 and a current ratio of 31.18. The stock has a market capitalization of $6.33 billion, a PE ratio of 33.94, a PEG ratio of 2.55 and a beta of 1.14. Ligand Pharmaceuticals has a twelve month low of $175.89 and a twelve month high of $326.63.

Analyst Ratings Changes

Several equities analysts have recently weighed in on the stock. Bank of America raised their price target on shares of Ligand Pharmaceuticals from $266.00 to $388.00 and gave the stock a “buy” rating in a research note on Thursday, July 9th. Royal Bank Of Canada increased their price objective on shares of Ligand Pharmaceuticals from $340.00 to $345.00 and gave the company an “outperform” rating in a report on Friday, August 7th. Weiss Ratings raised shares of Ligand Pharmaceuticals from a “buy (b-)” rating to a “buy (b)” rating in a research note on Monday, September 21st. Citigroup raised their target price on shares of Ligand Pharmaceuticals from $390.00 to $397.00 and gave the stock a “buy” rating in a research note on Wednesday, September 23rd. Finally, Barclays initiated coverage on Ligand Pharmaceuticals in a report on Friday, September 25th. They set an “overweight” rating and a $345.00 target price on the stock. Ten equities research analysts have rated the stock with a Buy rating. According to data from MarketBeat, Ligand Pharmaceuticals has a consensus rating of “Buy” and a consensus price target of $337.89.

Insider Activity

In other Ligand Pharmaceuticals news, insider Andrew Reardon sold 5,000 shares of Ligand Pharmaceuticals stock in a transaction dated Friday, October 2nd. The shares were sold at an average price of $304.07, for a total transaction of $1,520,350.00. Following the transaction, the insider directly owned 31,854 shares of the company’s stock, valued at $9,685,845.78. The trade was a 13.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Jason Haas sold 7,138 shares of Ligand Pharmaceuticals stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $292.81, for a total transaction of $2,090,077.78. Following the transaction, the director directly owned 3,981 shares in the company, valued at $1,165,676.61. This trade represents a 64.20% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 54,979 shares of company stock valued at $16,068,898 in the last ninety days. 5.60% of the stock is currently owned by company insiders.

About Ligand Pharmaceuticals

Ligand Pharmaceuticals Incorporated (NASDAQ: LGND) is a biopharmaceutical company that develops, acquires and licenses technologies intended to improve the development and commercialization of medicines. Rather than operating primarily as a traditional drug manufacturer, Ligand generally works with pharmaceutical and biotechnology partners, receiving licensing payments, royalties and other consideration tied to partnered products.

The company’s principal technology is Captisol, a modified cyclodextrin designed to improve the solubility, stability and delivery of certain active pharmaceutical ingredients.