Rigel (RIGL) AI Stock Analysis

• Market Cap: $669.06M
• Dividend Yield: N/A
• Average Volume (3M): 880.11K
• Price to Earnings (P/E): 6.9
• Beta (1Y): 2.20
• Revenue Growth: 105.62%
• EPS Growth: N/A
• Country: US
• Employees: 162
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 3.28
• Shares Outstanding: 17,937,340
• 10 Day Avg. Volume: 649,170
• 30 Day Avg. Volume: 880,113
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.44
• Enterprise Value/Revenue: 1.09
• Enterprise Value/Gross Profit: 1.19
• Enterprise Value/Ebitda: 2.68
• 1Y Price Target: $42.50
• Price Target Upside: 24.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 74 Outperform
• Price Target: $33.00 ▼(-3.57% Downside)

Rigel's strong financial performance and positive earnings call are the primary drivers of its stock score. The technical indicators suggest caution due to overbought conditions, but the stock's valuation remains attractive.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for Rigel's products and effective market penetration, supporting long-term business expansion.

Global Market Expansion

Expanding global market access enhances Rigel's revenue potential and diversifies its geographic risk, strengthening its competitive position.

Cash Flow Generation

Strong cash flow growth supports Rigel's ability to fund R&D and strategic initiatives, ensuring sustainable business operations and growth.

Negative Factors

High Debt Levels

High leverage can strain Rigel's financial flexibility and increase risk, potentially impacting its ability to invest in growth opportunities.

Negative Return on Equity

Negative ROE indicates potential inefficiencies in capital utilization, which could hinder Rigel's ability to deliver shareholder value.

Operational Challenges

Volatility in operational margins may reflect underlying inefficiencies or market pressures, posing risks to Rigel's profitability and stability.

Rigel Business Overview & Revenue Model

Company Description

Rigel Pharmaceuticals, Inc. (RIGL) is a biotechnology company focused on the discovery and development of innovative therapies for patients with rare diseases and cancer. The company operates primarily in the biopharmaceutical sector and is known for its targeted treatments that leverage its expertise in small-molecule drug development. Rigel's core products include medications that address hematologic disorders and oncology, with a focus on advancing its pipeline of candidates through various stages of clinical trials.

How the Company Makes Money

Rigel Pharmaceuticals generates revenue through several key streams, primarily from the commercialization of its approved therapies. The company earns money by selling its marketed drugs, which include treatments for specific hematologic conditions. Additionally, Rigel may receive milestone payments and royalties from partnerships with larger pharmaceutical companies that involve co-development or licensing agreements for its drug candidates. Research and development collaborations also contribute to its revenue, allowing Rigel to leverage its technology and expertise while sharing costs and risks with partners. The success of its clinical trials and the subsequent approval of new therapies are critical factors influencing its earnings potential.

Rigel Financial Statement Overview

Summary

Rigel shows strong revenue growth and profitability improvements, with a high gross profit margin and significant cash flow generation. However, the high debt-to-equity ratio and negative return on equity are concerns.

Income Statement

Rigel's income statement shows strong revenue growth with a 31.93% increase in TTM, indicating robust sales performance. The gross profit margin remains high at 89.64%, reflecting efficient cost management. The net profit margin improved significantly to 18.31%, showcasing enhanced profitability. However, historical volatility in EBIT and EBITDA margins suggests potential operational challenges.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 3.29 in TTM, indicating significant leverage, which could pose financial risk. Despite this, the company has improved its equity position over time. The return on equity is negative, suggesting inefficiencies in generating returns from shareholders' equity.

Cash Flow

Rigel's cash flow statement is strong, with an impressive 85.33% growth in free cash flow in TTM, indicating improved cash generation. The free cash flow to net income ratio is healthy at 1.00, showing effective conversion of profits into cash. However, the operating cash flow to net income ratio is moderate, suggesting room for improvement in operational cash efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	267.92M	179.28M	116.88M	120.24M	149.24M	108.62M
Gross Profit	245.19M	160.63M	109.77M	118.49M	148.15M	107.73M
EBITDA	109.30M	28.51M	-16.98M	-53.87M	-11.29M	-27.68M
Net Income	97.82M	17.48M	-25.09M	-58.57M	-17.91M	-29.74M
Balance Sheet
Total Assets	206.74M	163.98M	117.22M	134.28M	167.33M	110.38M
Cash, Cash Equivalents and Short-Term Investments	108.38M	77.32M	56.93M	58.21M	124.97M	57.33M
Total Debt	61.04M	59.97M	60.58M	41.55M	30.57M	39.09M
Total Liabilities	124.80M	160.69M	145.87M	147.90M	136.95M	76.35M
Stockholders Equity	81.93M	3.29M	-28.64M	-13.62M	30.37M	34.03M
Cash Flow
Free Cash Flow	66.15M	31.43M	-20.74M	-74.21M	5.25M	-53.45M
Operating Cash Flow	65.83M	31.47M	-5.74M	-73.76M	5.88M	-52.19M
Investing Cash Flow	-40.94M	4.13M	-4.30M	72.78M	-80.04M	47.47M
Financing Cash Flow	-7.47M	-11.64M	18.37M	6.55M	62.67M	12.57M

Rigel Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 34.22 is below the 20-day moving average (MA) of 39.01, above the 50-day MA of 30.76, and above the 200-day MA of 22.51, indicating a neutral trend. The MACD of 1.02 indicates Positive momentum. The RSI at 43.91 is Neutral, neither overbought nor oversold. The STOCH value of 10.71 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RIGL.

Rigel Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RIGL	74 Outperform	$669.06M	6.89	376.09%	―	105.62%	―
RGNX	59 Neutral	456.14M	-2.61	-82.17%	―	74.95%	34.25%
IVA	53 Neutral	719.93M	-1.58	172.73%	―	-47.32%	-26.67%
HRTX	48 Neutral	221.81M	-122.22	3.42%	―	9.78%	98.13%
MREO	43 Neutral	275.07M	-5.44	0.00%	―	0.00%	0.00%
TRDA	41 Neutral	193.61M	-2.85	-19.33%	―	-66.80%	-157.68%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Rigel Corporate Events

Rigel Pharmaceuticals Approves Equity Plan Amendment

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.