Ligand Pharmaceuticals Incorporated cash flow to debt ratio of 10.93% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Ligand Pharmaceuticals Incorporated's free cash flow has decreased 36.82% from $77.41M last year to $48.91M, signaling decreasing performance

Ligand Pharmaceuticals Incorporated's debt to equity ratio is 1.16, which means that the company's assets are unhealthy financed, signaling financial risk.

Ligand Pharmaceuticals Incorporated's debt has increased relative to shareholder equity from 0.01 last year to 1.16 today, signaling weakened financials

Ligand Pharmaceuticals Incorporated has a net cash position, so leverage is healthy.

Ligand Pharmaceuticals Incorporated earns at least as much interest as it pays. Interest obligations are fully covered.

Ligand Pharmaceuticals Incorporated's profit margin has increased (-2.91K%) in the last year from -2.41% to 67.88%, signaling increasing performance

Ligand Pharmaceuticals Incorporated's short-term assets of $832.27M exceed its short-term liabilities of $37.45M

Ligand Pharmaceuticals Incorporated's return on assets of 9.02% is higher than the 5.00% threshold, indicating efficient asset utilization

Ligand Pharmaceuticals Incorporated's return on equity of 20.06%, is higher than 15.00%, indicating good performance

Ligand Pharmaceuticals Incorporated's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Ligand Pharmaceuticals Incorporated had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Ligand Pharmaceuticals Incorporated has positive free cash flow, indicating the company generates cash after capital expenditures

Ligand Pharmaceuticals Incorporated has a free cash flow yield of 0.83%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Ligand Pharmaceuticals Incorporated's yearly earnings has increased -3.19K% since last year from $-4.03M to $124.45M, signaling increasing performance

Ligand Pharmaceuticals Incorporated's yearly revenue has increased 60.40% since last year from $167.13M to $268.09M, signaling increasing performance

ROIC 5.28% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Ligand Pharmaceuticals Incorporated's 3-year revenue CAGR of 10.96% is positive, indicating growing revenue over the past 3 years

Ligand Pharmaceuticals Incorporated had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Ligand Pharmaceuticals Incorporated had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Ligand Pharmaceuticals Incorporated is overvalued relative to its fair value price of 14.25 based on Discounted Cash Flow model

Ligand Pharmaceuticals Incorporated has an earnings yield of 3.32%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Ligand Pharmaceuticals Incorporated is overvalued relative to its fair value price of 53.79 based on EBITDA multiple model

Ligand Pharmaceuticals Incorporated has an EV/EBITDA ratio of 29.28x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Ligand Pharmaceuticals Incorporated is overvalued relative to its fair value price of 6.55 based on Earnings Fair Value model

Ligand Pharmaceuticals Incorporated had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Ligand Pharmaceuticals Incorporated has a price-to-book ratio of 6.13x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Ligand Pharmaceuticals Incorporated has a price-to-sales ratio of 20.42x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue