Ligand Pharmaceuticals Incorporated (LGND) vs Mirum Pharmaceuticals, Inc. (MIRM)

Ligand Pharmaceuticals Incorporated and Mirum Pharmaceuticals, Inc. are both Biotechnology companies. Ligand Pharmaceuticals Incorporated and Mirum Pharmaceuticals, Inc. are of similar size ($6.1B and $5.8B). Mirum Pharmaceuticals, Inc. has negative trailing earnings, so its P/E is not meaningful; Ligand Pharmaceuticals Incorporated trades at 30.1×. Ligand Pharmaceuticals Incorporated grew revenue faster over the last twelve months: 54.9% against 44.0%. Ligand Pharmaceuticals Incorporated has the higher net margin (67.9% vs −139.2%) and the higher return on invested capital (8.19% vs −173.0%). Across the 16 metrics below, Ligand Pharmaceuticals Incorporated leads on 12 and Mirum Pharmaceuticals, Inc. on 4.

Valuation

Metric LGND MIRM Biotechnology median
P/E 30.12 n/m 7.88
P/S 20.82 9.20 11.47
P/B 6.25 n/m 2.52
Price to free cash flow 42.20 n/m 21.16
EV/EBITDA 46.73 n/m 0.74
EV/Sales 19.98 9.70 10.73
Earnings yield 3.32% (16.21%) (28.84%)
Free cash flow yield 2.37% (4.82%) (23.03%)

Profitability

Metric LGND MIRM Biotechnology median
Gross margin 95.43% 81.72% 65.16%
Operating margin 32.61% (134.93%) 0.00%
Net margin 67.88% (139.18%) 0.00%
Free cash flow margin 49.34% (44.29%) 0.00%
Return on equity 21.96% (702.97%) (57.72%)
Return on assets 12.58% (97.15%) (49.22%)
Return on invested capital 8.19% (172.96%) 0.00%

Growth

Metric LGND MIRM Biotechnology median
Revenue growth (TTM) 54.89% 44.02% 5.64%
EPS growth (last fiscal year) 2,886.36% 74.59% —
Revenue growth, 5-year CAGR 10.39% — 8.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric LGND MIRM Biotechnology median
Debt to equity 1.16 (71.97) 0.00
Current ratio 31.18 2.86 4.73
Net debt to EBITDA (4.36) (19.11) 0.96

Dividend

Metric LGND MIRM Biotechnology median
Dividend yield 2.04% — 2.10%
Payout ratio 0.00 0.00 0.00

Size

Metric LGND MIRM Biotechnology median
Market cap 6.09b 5.84b 162.10m

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