Ligand Pharmaceuticals Incorporated (LGND)vsVertex Pharmaceuticals Inc (VRTX)
LGND
Ligand Pharmaceuticals Incorporated
$283.49
-0.43%
HEALTHCARE · Cap: $5.74B
VRTX
Vertex Pharmaceuticals Inc
$508.34
-1.55%
HEALTHCARE · Cap: $130.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Vertex Pharmaceuticals Inc generates 4232% more annual revenue ($12.59B vs $290.54M). LGND leads profitability with a 67.9% profit margin vs 35.0%. LGND appears more attractively valued with a PEG of 1.53. LGND earns a higher WallStSmart Score of 67/100 (B-).
LGND
Strong Buy67
out of 100
Grade: B-
VRTX
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-7.0%
Fair Value
$173.85
Current Price
$283.49
$109.64 premium
Margin of Safety
+46.3%
Fair Value
$960.82
Current Price
$508.34
$452.48 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 68 of every $100 in revenue as profit
Revenue surging 33.7% year-over-year
Earnings expanding 825.0% YoY
Keeps 35 of every $100 in revenue as profit
Strong operational efficiency at 38.1%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Elevated debt levels
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : LGND
The strongest argument for LGND centers on Profit Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 67.9% and operating margin at 13.5%. Revenue growth of 33.7% demonstrates continued momentum.
Bull Case : VRTX
The strongest argument for VRTX centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 35.0% and operating margin at 38.1%. Revenue growth of 12.5% demonstrates continued momentum.
Bear Case : LGND
The primary concerns for LGND are PEG Ratio, P/E Ratio, Debt/Equity.
Bear Case : VRTX
The primary concerns for VRTX are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
LGND profiles as a growth stock while VRTX is a mature play — different risk/reward profiles.
LGND carries more volatility with a beta of 0.98 — expect wider price swings.
LGND is growing revenue faster at 33.7% — sustainability is the question.
VRTX generates stronger free cash flow (1.0B), providing more financial flexibility.
Bottom Line
LGND scores higher overall (67/100 vs 64/100), backed by strong 67.9% margins and 33.7% revenue growth. VRTX offers better value entry with a 46.3% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ligand Pharmaceuticals Incorporated
HEALTHCARE · BIOTECHNOLOGY · USA
Ligand Pharmaceuticals Incorporated, a biopharmaceutical company, focuses on developing or acquiring technologies that help pharmaceutical companies discover and develop drugs globally. The company is headquartered in San Diego, California.
Visit Website →Vertex Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Vertex Pharmaceuticals, Inc. is an American biopharmaceutical company based in Boston, Massachusetts.
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