tiprankstipranks
Trending News
More News >
Rigel (RIGL)
NASDAQ:RIGL
Advertisement

Rigel (RIGL) AI Stock Analysis

Compare
1,455 Followers

Top Page

RIGL

Rigel

(NASDAQ:RIGL)

Rating:73Outperform
Price Target:
$22.00
▲(9.07%Upside)
Rigel's overall score is driven by strong financial performance and positive earnings call insights, offset by technical analysis concerns. The stock's attractive valuation further supports its potential, while leverage risks remain a consideration.
Positive Factors
Efficacy and Safety Results
ARROW trial wraps with strong efficacy and safety results for GAVRETO.
International Expansion
Approval from the Korean Ministry of Food and Drug Safety for Tavalisse boosts Rigel's presence in the international market.
Revenue Growth
Rigel Pharmaceuticals reported higher-than-expected revenue growth, primarily driven by stronger-than-projected sales of Gavreto and Tavalisse.
Negative Factors
Strategic Decisions
Rigel decided not to exercise its opt-in right for ocadusertib under its agreement with Eli Lilly, based on internal strategic prioritization.

Rigel (RIGL) vs. SPDR S&P 500 ETF (SPY)

Rigel Business Overview & Revenue Model

Company DescriptionRigel Pharmaceuticals, Inc. (RIGL) is a biotechnology company focused on the discovery, development, and commercialization of small molecule drugs for the treatment of immune and hematologic disorders, cancer, and rare diseases. Based in the United States, Rigel is recognized for its expertise in immunology and signal transduction, leveraging this knowledge to develop innovative therapeutics that address unmet medical needs.
How the Company Makes MoneyRigel Pharmaceuticals generates revenue primarily through the sale of its FDA-approved products, such as fostamatinib, which is marketed under the brand name TAVALISSE for the treatment of chronic immune thrombocytopenia (ITP) in adults. The company also earns revenue through collaborative agreements, which may include upfront payments, milestone payments, and royalties from partners who commercialize its products in territories outside the United States. Additionally, Rigel engages in research and development collaborations, where they receive funding or share in the profits from jointly developed therapies. The company's financial performance is supported by its ability to secure strategic partnerships and licensing agreements, which enhance its market reach and provide additional revenue streams.

Rigel Earnings Call Summary

Earnings Call Date:May 06, 2025
(Q1-2025)
|
% Change Since: 10.46%|
Next Earnings Date:Aug 05, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant financial growth and strategic advancements in product development and international market expansion. Despite minor concerns about potential tariffs and decisions regarding development expenses with Lilly, Rigel's overall performance and outlook remain strong.
Q1-2025 Updates
Positive Updates
Significant Revenue Growth
Rigel Pharmaceuticals reported a 68% year-over-year net product sales growth, with total revenue of $53.3 million for the quarter.
Positive Financial Performance
Generated $11.4 million in net income for the quarter, demonstrating a profitable start to the fiscal year.
Expansion of Product Portfolio
The commercial portfolio now includes three products: TAVALISSE, GAVRETO, and REZLIDHIA, with each showing significant sales growth.
Successful International Expansion
TAVALISSE is now commercially available in several international markets, including Japan, Europe, Canada, Israel, and Mexico.
Advancement in Development Pipeline
Progress in the clinical development of R289 and olutasidenib, with plans for a Phase II study in recurrent glioma.
Strategic Collaborations
Partnerships with MD Anderson and CONNECT to advance the potential of olutasidenib in multiple indications.
Negative Updates
Potential Tariffs Impact
Possible impact of global trade tensions and potential tariffs on manufacturing costs, though expected to be modest.
RIP Kinase 1 Inhibitor Program Update
Decided not to exercise the right to share future development expenses for ocadusertib, which could affect future royalty rates.
Company Guidance
During the first quarter of 2025, Rigel Pharmaceuticals reported robust year-over-year growth, with net product sales increasing by 68% to $43.6 million. The growth was driven by the addition of GAVRETO to their portfolio, as well as continued momentum in sales of TAVALISSE and REZLIDHIA. TAVALISSE alone contributed $28.5 million in net product sales, reflecting a 35% increase compared to the same period in 2024. The total revenue for the quarter reached $53.3 million, including $9.8 million from collaborations. Notably, Rigel achieved a net income of $11.4 million during a time when the business environment is challenging for the biotech sector. The company maintained its guidance for 2025, expecting total revenue between $200 million and $210 million and a positive net income for the full year. Additionally, Rigel highlighted the progress in their development pipeline, including R289, a dual IRAK1 and 4 inhibitor, and plans to expand olutasidenib into a Phase II study for recurrent glioma.

Rigel Financial Statement Overview

Summary
Rigel's financial statements show strong revenue growth and profitability improvements, with an impressive Gross Profit Margin and Net Profit Margin. However, the high leverage seen in the balance sheet is a concern despite strong cash flow metrics. Overall, the company is on a positive trajectory but needs to manage debt carefully.
Income Statement
75
Positive
Rigel's income statement reflects a strong performance in recent periods, with significant improvements in profitability. The TTM Gross Profit Margin stands at 89.66%, and the Net Profit Margin is 18.31%, showcasing efficient cost management. Revenue growth is robust, with a 13.28% increase from the previous year, indicating a positive trajectory. EBIT and EBITDA margins are also showing healthy improvements. However, the company has experienced periods of negative earnings in the past, which suggests some volatility in its profitability.
Balance Sheet
60
Neutral
The balance sheet shows a mixed picture. The Debt-to-Equity Ratio is high, reflecting a leverage risk, but the company has managed to improve its equity position over the TTM. Return on Equity (ROE) is an impressive 200.22%, driven by improved earnings, although this is partly due to a low equity base. The Equity Ratio is only 10.55%, pointing to a significant reliance on debt financing. Overall, while there are positive signs, the high leverage remains a concern.
Cash Flow
80
Positive
Cash flow statements indicate strong operational cash generation, with Operating Cash Flow significantly exceeding Net Income, resulting in a healthy Operating Cash Flow to Net Income Ratio. Free Cash Flow has also shown substantial growth, with a Free Cash Flow Growth Rate of 13.57% in the TTM. The Free Cash Flow to Net Income Ratio is 0.96, showing strong cash conversion from earnings. This robust cash flow performance provides a solid foundation for future growth and debt servicing.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue179.28M116.88M120.24M149.24M108.62M
Gross Profit160.63M109.77M118.49M148.15M107.73M
EBITDA28.51M-16.98M-53.87M-11.29M-27.68M
Net Income17.48M-25.09M-58.57M-17.91M-29.74M
Balance Sheet
Total Assets163.98M117.22M134.28M167.33M110.38M
Cash, Cash Equivalents and Short-Term Investments77.32M56.93M58.21M124.97M57.33M
Total Debt59.97M60.58M41.55M30.57M39.09M
Total Liabilities160.69M145.87M147.90M136.95M76.35M
Stockholders Equity3.29M-28.64M-13.62M30.37M34.03M
Cash Flow
Free Cash Flow31.43M-20.74M-74.21M5.25M-53.45M
Operating Cash Flow31.47M-5.74M-73.76M5.88M-52.19M
Investing Cash Flow4.13M-4.30M72.78M-80.04M47.47M
Financing Cash Flow-11.64M18.37M6.55M62.67M12.57M

Rigel Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.17
Price Trends
50DMA
19.67
Positive
100DMA
19.20
Positive
200DMA
19.51
Positive
Market Momentum
MACD
0.21
Negative
RSI
55.31
Neutral
STOCH
70.17
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RIGL, the sentiment is Positive. The current price of 20.17 is above the 20-day moving average (MA) of 19.29, above the 50-day MA of 19.67, and above the 200-day MA of 19.51, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 55.31 is Neutral, neither overbought nor oversold. The STOCH value of 70.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RIGL.

Rigel Risk Analysis

Rigel disclosed 60 risk factors in its most recent earnings report. Rigel reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Rigel Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$365.13M9.73531.78%68.74%
60
Neutral
HK$17.07B5.63-7.44%2.87%11.55%-28.15%
60
Neutral
$242.52M7.907.22%5.74%24.45%
57
Neutral
$289.87M40.36%12.43%91.67%
54
Neutral
$460.05M-47.44%80.70%46.66%
43
Neutral
$276.66M-92.00%
42
Neutral
$447.31M344.74%-47.32%-26.67%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RIGL
Rigel
20.17
9.56
90.10%
HRTX
Heron Therapeutics
1.91
-1.02
-34.81%
RGNX
RegenXBio
8.96
-5.39
-37.56%
MREO
Mereo Biopharma Group Plc
1.76
-2.38
-57.49%
IVA
Inventiva
3.17
0.96
43.44%
TRDA
Entrada Therapeutics Inc
6.54
-10.15
-60.81%

Rigel Corporate Events

Executive/Board ChangesShareholder Meetings
Rigel Pharmaceuticals Approves Equity Plan Amendment
Neutral
May 23, 2025

On May 22, 2025, Rigel Pharmaceuticals, Inc. held its 2025 Annual Meeting of Stockholders, where stockholders approved an amendment to the 2018 Equity Incentive Plan, adding 700,000 shares for issuance. The plan became effective immediately upon approval. Additionally, stockholders elected directors to serve until the 2028 Annual Meeting, approved executive compensation, and ratified Ernst & Young LLP as the independent accounting firm for the fiscal year ending December 31, 2023.

The most recent analyst rating on (RIGL) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on Rigel stock, see the RIGL Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 22, 2025