Ligand Pharmaceuticals Incorporated (LGND)vsVertex Pharmaceuticals Inc (VRTX)
LGND
Ligand Pharmaceuticals Incorporated
$204.81
-2.70%
HEALTHCARE · Cap: $4.08B
VRTX
Vertex Pharmaceuticals Inc
$454.00
-0.88%
HEALTHCARE · Cap: $115.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Vertex Pharmaceuticals Inc generates 4377% more annual revenue ($12.00B vs $268.09M). LGND leads profitability with a 46.4% profit margin vs 32.9%. LGND appears more attractively valued with a PEG of 1.53. LGND earns a higher WallStSmart Score of 71/100 (B).
LGND
Strong Buy71
out of 100
Grade: B
VRTX
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+35.1%
Fair Value
$286.42
Current Price
$204.81
$81.61 discount
Margin of Safety
+36.6%
Fair Value
$716.04
Current Price
$454.00
$262.04 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 46 of every $100 in revenue as profit
Strong operational efficiency at 33.6%
Revenue surging 39.4% year-over-year
Earnings expanding 103.2% YoY
Safe zone — low bankruptcy risk
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 39.6%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
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, Operating Margin, Revenue Growth. Profitability is solid with margins at 46.4% and operating margin at 33.6%. Revenue growth of 39.4% demonstrates continued momentum.
Bull Case : VRTX
The strongest argument for VRTX centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 32.9% and operating margin at 39.6%.
Bear Case : LGND
The primary concerns for LGND are PEG Ratio, P/E Ratio.
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 1.03 — expect wider price swings.
LGND is growing revenue faster at 39.4% — sustainability is the question.
VRTX generates stronger free cash flow (349M), providing more financial flexibility.
Bottom Line
LGND scores higher overall (71/100 vs 66/100), backed by strong 46.4% margins and 39.4% revenue growth. VRTX offers better value entry with a 36.6% margin of safety. Both earn "Strong Buy" and "Strong 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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