GuruFocus - On August 26, 2024, Matthew Korenberg, President & Chief Operating Officer of Ligand Pharmaceuticals Inc (NASDAQ:LGND), sold 18,858 shares of the company. The transaction was executed at a price of $105.34 per share, as detailed in the SEC Filing. Following this sale, the insider now owns 49,510 shares of Ligand Pharmaceuticals Inc.
Ligand Pharmaceuticals Inc is engaged in the development and licensing of biopharmaceutical assets. The company's business model focuses primarily on royalty partnerships, which involve out-licensing drug discovery technologies in exchange for future revenues.
Over the past year, the insider has sold a total of 54,701 shares and has not made any purchases. This recent transaction continues a trend observed over the last year, where there have been 8 insider sells and only 2 insider buys within the company.
The shares of Ligand Pharmaceuticals Inc were trading at $105.34 on the day of the sale, giving the company a market cap of approximately $1.93 billion. The price-earnings ratio of the company stands at 45.54, which is above both the industry median of 25.26 and the historical median for the company.
According to the GF Value, Ligand Pharmaceuticals Inc is significantly overvalued with a price-to-GF-Value ratio of 2.14. The GF Value of $49.25 is calculated based on historical trading multiples, an adjustment factor from GuruFocus, and future business performance estimates from analysts.
This insider sale might interest investors tracking insider behaviors as an indicator of the company's future performance and valuation alignment. The ongoing insider selling trend, coupled with the stock's valuation metrics, could be significant for market watchers and potential investors.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
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