Reviewing Rigel Pharmaceuticals (RIGL) and Its Rivals

Rigel Pharmaceuticals (NASDAQ:RIGL) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it contrast to its peers? We will compare Rigel Pharmaceuticals to related companies based on the strength of its institutional ownership, analyst recommendations, earnings, dividends, profitability, risk and valuation.

Insider & Institutional Ownership

66.2% of Rigel Pharmaceuticals shares are owned by institutional investors. Comparatively, 47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 10.5% of Rigel Pharmaceuticals shares are owned by insiders. Comparatively, 13.0% of shares of all “Biotechnology” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings for Rigel Pharmaceuticals and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rigel Pharmaceuticals	1	2	3	0	2.33
Rigel Pharmaceuticals Competitors	9839	15124	45438	1588	2.54

Rigel Pharmaceuticals currently has a consensus target price of $65.50, suggesting a potential upside of 65.20%. As a group, “Biotechnology” companies have a potential upside of 103.00%. Given Rigel Pharmaceuticals’ peers stronger consensus rating and higher possible upside, analysts plainly believe Rigel Pharmaceuticals has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Rigel Pharmaceuticals and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Rigel Pharmaceuticals	$294.28 million	$367.02 million	2.56
Rigel Pharmaceuticals Competitors	$727.18 million	$12.84 million	-15.18

Rigel Pharmaceuticals’ peers have higher revenue, but lower earnings than Rigel Pharmaceuticals. Rigel Pharmaceuticals is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Rigel Pharmaceuticals and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rigel Pharmaceuticals	106.59%	15.25%	12.05%
Rigel Pharmaceuticals Competitors	-12,346.73%	-197.60%	-30.56%

Risk & Volatility

Rigel Pharmaceuticals has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500. Comparatively, Rigel Pharmaceuticals’ peers have a beta of 1.10, suggesting that their average share price is 10% more volatile than the S&P 500.

Summary

Rigel Pharmaceuticals beats its peers on 7 of the 13 factors compared.

About Rigel Pharmaceuticals

Rigel Pharmaceuticals, Inc., a biotechnology company, engages in discovering, developing, and providing therapies that enhance the lives of patients with hematologic disorders and cancer. The company’s commercialized products include Tavalisse, an oral spleen tyrosine kinase inhibitor for the treatment of adult patients with chronic immune thrombocytopenia; Rezlidhia, a non-intensive monotherapy for the treatment of adult patients with relapsed or refractory (R/R) acute myeloid leukemia (AML) with a susceptible isocitrate dehydrogenase-1 (IDH1) mutation as detected by an FDA-approved test; and GAVRETO, a once daily, small molecule, oral, kinase inhibitor for the treatment of adult patients with metastatic rearranged during transfection (RET) fusion-positive non-small cell lung cancer, as well as for the treatment of adult and pediatric patients 12 years of age and older with advanced or metastatic RET fusion-positive thyroid cancer. It also develops R289, an oral IRAK1/4 Inhibitor, which is in Phase 1b clinical trials for the treatment of hematology-oncology, autoimmune, and inflammatory diseases; and a receptor-interacting serine/threonine-protein kinase 1 (RIPK1) inhibitor program in clinical development with partner Eli Lilly and Company. In addition, the company has product candidates in clinical development with partners BerGenBio ASA and Daiichi Sankyo. The company has strategic development collaboration with The University of Texas MD Anderson Cancer Center for the development of REZLIDHIA (Olutasidenib) in acute myeloid leukemia (AML) and other hematologic cancers. The company was incorporated in 1996 and is headquartered in South San Francisco, California.