Ligand raises low end of 2026 adj EPS guidance to $9.00-$9.50 from $8.50-$9.50
Company maintains 2026 total revenue outlook at $270 mln to $310 mln
Company expects 2026 royalty revenue of $225 mln to $250 mln
Overview
Biopharma royalty aggregator's Q2 revenue rose 34% yr/yr, driven by 32% royalty revenue growth
Q2 adjusted EPS rose 48% yr/yr, with adjusted net income up 59%
Company completed $700 mln convertible debt offering and closed XOMA Royalty acquisition
Result drivers
Royalty revenue growth - Q2 results were driven by 32% yr/yr royalty revenue growth, mainly from Filspari, Zelsuvmi, and Ohtuvayre
Contract revenue - Increase in contract revenue was mainly due to timing of milestone events under partner agreements
Portfolio expansion - XOMA acquisition added over 120 assets, further diversifying royalty base and strengthening position as a biopharma royalty aggregator
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the pharmaceuticals peer group is "buy"
Wall Street's median 12-month price target for Ligand Pharmaceuticals Incorporated is $337.50, about 11.5% above its August 5 closing price of $302.57
The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 24 three months ago
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