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RIGL, Rigel Pharmaceuticals Inc.

We are a biotechnology company dedicated to developing and providing novel therapies that significantly improve the lives of patients with hematologic disorders and cancer.

We focus on products that address signaling pathways that are critical to disease mechanisms.

TAVALISSE (fostamatinib disodium hexahydrate) is our first FDA-approved product and is the only approved oral spleen tyrosine kinase (SYK) inhibitor for the treatment of adult patients with chronic immune thrombocytopenia (ITP) who have had an insufficient response to a previous treatment.

Latest annual: FY2025 10-K

RIGL · Rigel Pharmaceuticals Inc.

The business

What it sells, where the money comes from, the kind of company it is.

Revenue · FY2025

$294M

+64.1% YoY · 22% 5-yr CAGR

Vital signs · TTM, with 5-yr average

Revenue $300M 5-yr avg $172M

Gross margin 93% 5-yr avg 92%

Operating margin 41.6% 5-yr avg −3.2%

ROIC 30% 5-yr avg −760%

Owner-earnings margin 26% 5-yr avg −29%

Free cash flow margin 26% 5-yr avg −29%

The business in brief

read the 10-K →

What this business is and what moves its needle, from its own SEC filings.

What moves the needle: Operating margin has reached 43% at its best but run negative through the cycle (median −46%) on a 98% gross margin — so the question is which reading is truer: whether the median was pulled below zero by one-off charges, by the cycle, or by spending it is still growing into, and whether it settles back at a profit. Stock-based pay runs about 7.5% of sales, a real and recurring claim on owners that the GAAP margin understates. Read this kind of business on the pipeline against the patent cliff, and pricing. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.
Is it a good business?: Return on capital has rarely cleared the cost of capital (median −117%, above 15% in 1 of 8 years). Owner earnings, the cash-based check, have been thin too. This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.

Every line is arithmetic on the company's filings, shown in full in the sections below.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2025

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	2025’25	TTMTTMMar 2026
											Income statement
$20M	$4M	$45M	$59M	$109M	$149M	$120M	$117M	$179M	$294M	$300M	RevenueRevenue
—	—	99%	98%	99%	99%	99%	94%	90%	93%	93%	Gross marginGross mgn
103%	844%	157%	126%	71%	62%	94%	90%	63%	39%	40%	SG&A / revenueSG&A/rev
311%	n/m	105%	89%	55%	44%	50%	21%	13%	11%	12%	R&D / revenueR&D/rev
($70M)	($80M)	($73M)	($69M)	($29M)	($12M)	($56M)	($20M)	$24M	$125M	$125M	Operating incomeOp. inc.
−342.2%	n/m	−163.3%	−116.5%	−26.7%	−8.4%	−46.2%	−17.5%	13.5%	42.6%	41.6%	Operating marginOp. mgn
($69M)	($78M)	($70M)	($67M)	($30M)	($18M)	($59M)	($25M)	$17M	$367M	$364M	Net incomeNet inc.
											Cash flow & returns
($76M)	($78M)	($59M)	($42M)	($52M)	$6M	($74M)	($6M)	$31M	$76M	$79M	Operating cash flowOp. cash
$941K	$465K	$594K	$683K	$706K	$1M	$998K	$1M	$2M	$2M	$2M	DepreciationDeprec.
($15M)	($6M)	$3M	$16M	($30M)	$13M	($29M)	$9M	($635K)	($306M)	($300M)	Working capital & otherWC & other
$804K	$164K	$1M	$1M	$1M	$627K	$450K	—	—	—	$450K	CapexCapex
3.9%	3.7%	2.5%	2.5%	1.2%	0.4%	0.4%	—	—	—	0.2%	Capex / revenueCapex/rev
($77M)	($78M)	($59M)	($42M)	($53M)	$5M	($74M)	—	—	—	$79M	Owner earningsOwner earn.
−376.3%	n/m	−133.5%	−71.2%	−48.7%	3.5%	−61.7%	—	—	—	26.3%	Owner earnings marginOE mgn
($77M)	($78M)	($60M)	($43M)	($53M)	$5M	($74M)	—	—	—	$79M	Free cash flowFCF
−376.3%	n/m	−134.7%	−72.5%	−49.2%	3.5%	−61.7%	—	—	—	26.3%	Free cash flow marginFCF mgn
-147%	-101%	-171%	-132%	-97%	-31%	-2280%	—	—	31%	30%	ROICROIC
-126%	-77%	-64%	-124%	-87%	-59%	—	—	532%	94%	91%	Return on equityROE
−126%	−77%	−64%	−124%	−87%	−59%	—	—	532%	94%	91%	Retained to equityRetained/eq
											Balance sheet
$75M	$116M	$129M	$98M	$57M	$125M	$58M	$57M	$77M	$155M	$147M	Cash & investmentsCash+inv
$0	$0	$4M	$10M	$16M	$15M	$40M	$31M	$42M	$52M	$50M	ReceivablesReceiv.
—	—	$894K	$1M	$2M	$7M	$9M	$6M	$6M	$12M	$12M	InventoryInvent.
$6M	$3M	$6M	$4M	$4M	$4M	$23M	$7M	$3M	$7M	$4M	Accounts payablePayables
($6M)	($3M)	($1M)	$7M	$14M	$18M	$27M	$29M	$44M	$56M	$57M	Operating working capitalOper. WC
$76M	$117M	$137M	$119M	$89M	$154M	$116M	$99M	$135M	$240M	$234M	Current assetsCur. assets
$23M	$18M	$28M	$58M	$41M	$64M	$65M	$53M	$63M	$99M	$89M	Current liabilitiesCur. liab.
3.4×	6.4×	4.9×	2.0×	2.2×	2.4×	1.8×	1.9×	2.1×	2.4×	2.6×	Current ratioCurr. ratio
$78M	$119M	$139M	$148M	$110M	$167M	$134M	$117M	$164M	$514M	$505M	Total assetsAssets
—	—	—	$10M	$20M	$20M	$40M	$60M	$60M	$53M	$45M	Total debtDebt
—	—	—	($88M)	($37M)	($105M)	($18M)	$3M	($17M)	($102M)	($102M)	Net debt / (cash)Net debt
—	—	—	-206.2×	-21.4×	-2.6×	-15.0×	-3.0×	3.1×	17.1×	18.1×	Interest coverageInt. cov.
$55M	$101M	$110M	$54M	$34M	$30M	($14M)	($29M)	$3M	$391M	$400M	Shareholders’ equityEquity
36.0%	133.5%	17.3%	15.4%	6.7%	6.4%	10.3%	7.5%	6.9%	4.3%	4.3%	Stock comp / revenueSBC/rev
											Per share
9.4M	12.6M	16.1M	16.7M	16.9M	17.0M	17.0M	17.4M	17.7M	18.8M	19.7M	Shares out (diluted)Shares
$2.16	$0.35	$2.77	$3.54	$6.44	$8.75	$7.05	$6.72	$10.14	$15.62	$15.23	Revenue / shareRev/sh
$-7.33	$-6.17	$-4.39	$-4.00	$-1.76	$-1.05	$-3.44	$-1.44	$0.99	$19.48	$18.50	EPS (diluted)EPS
$-8.13	$-6.15	$-3.70	$-2.52	$-3.13	$0.31	$-4.35	—	—	—	$4.00	Owner earnings / shareOE/sh
$-8.13	$-6.15	$-3.73	$-2.57	$-3.17	$0.31	$-4.35	—	—	—	$4.00	Free cash flow / shareFCF/sh
$0.09	$0.01	$0.07	$0.09	$0.07	$0.04	$0.03	—	—	—	$0.02	Cap. spending / shareCapex/sh
$5.83	$7.97	$6.84	$3.21	$2.02	$1.78	$-0.80	$-1.65	$0.19	$20.78	$20.31	Book value / shareBVPS

Share counts before 2022 are restated ×1/10 for a stock split, so per-share figures sit on one basis.

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	+24.6%/yr	+19.4%/yr
Capital spending / share	−17.7%/yr (6-yr)	+15.2%/yr
Book value / share	+15.2%/yr	+59.4%/yr

The record, charted

FY2016–2025

Each measure over its full record; the current point and the worst year marked. Share counts on the current split basis.

Share count

19Mpeak FY2025

ROIC

31%low FY2022

Gross margin

93%low FY2024

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

($74M)owner earningsvs.($59M)net incomelow FY2017

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetained

Each year's operating cash, by what management did with it: the mix, and how it drifts.

FY2021FY2025

Owner-earnings bridge

FY2018–FY2022cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2022 the business reported a $59M loss but ($74M) of owner earnings: $16M less than the profit line, taken out by capital spending and the timing of cash.

	FY2022	FY2021	FY2020	FY2019	FY2018
Reported net income	($59M)	($18M)	($30M)	($67M)	($70M)
Depreciation & amortizationnon-cash charge added back	+$998K	+$1M	+$706K	+$683K	+$594K
Stock-based compensationreal costnon-cash, but a real cost	+$12M	+$9M	+$7M	+$9M	+$8M
Working capital & othertiming of cash in and out, other non-cash items	−$29M	+$13M	−$30M	+$16M	+$3M
Cash from operations	($74M)	$6M	($52M)	($42M)	($59M)
Maintenance capital expenditurethe spending needed just to hold position and volume	−$450K	−$627K	−$706K	−$683K	−$594K
Owner earnings	($74M)	$5M	($53M)	($42M)	($59M)
Growth capital expenditurediscretionary; spent to get bigger, not to stand still	—	—	−$556K	−$772K	−$512K
Free cash flow	($74M)	$5M	($53M)	($43M)	($60M)
Owner-earnings marginowner earnings ÷ revenue	-62%	4%	-49%	-71%	-134%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $12M), owner earnings is nearer ($87M).

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2025 10-K · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 17.1×

Comfortable

Operating income $125M ÷ interest expense $7M

What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
How heavy is the debt, net of cash? +$102M

Net cash

Cash $41M + ST investments $114M − debt $53M

What this means
Cash and short-term investments exceed every dollar of debt by $102M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? 144d

Long (60+ days)

DSO 64 + DIO 214 − DPO 134 days

What this means
Days cash is tied up between paying suppliers and collecting from customers. Lower is better; a long cycle means growth itself eats cash.

Is it a good business?

Return on invested capital -132%

Below average through the cycle

8-yr median, range -2280%–31%; 31% latest = NOPAT $125M ÷ invested capital $403M

Industry peers: median -37%

What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 8 years (it ran 31% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
Owner-earnings margin 26%

Positive this year, negative across the cycle

latest $75M = operating cash $76M − maintenance capex $450K (positive this year), after an earlier loss stretch (7-yr median -71%)

Industry peers: median -1%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 26% of revenue this year, a -71% median across 7 years. Treating stock comp as the real expense it is (less $13M of SBC) leaves $62M.
Are earnings backed by cash? 0.21×

Thinly cash-backed

Cash from ops $76M ÷ net income $367M

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? —

Not enough data

What this means
The filing data didn't include the inputs for this check.
Investing or harvesting? 0.19×

Harvesting

Capex $450K ÷ depreciation $2M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 2 of 5 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size Miss

Revenue ≥ $2B · $294M

What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
Strong liquidity Pass

Current ratio ≥ 2× · 2.42×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Conservative debt Pass

Debt ≤ working capital · $53M vs $141M WC

What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
Earnings stability Miss

A profit every year (10-yr record) · 8 loss years

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · none paid

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth —

Earnings +33% over the record · —

What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $6.48/share (latest year $19.84), the averaged base the calculator's gate runs on, and book value is $21.16/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2025

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 2 of 10

What this means
Lost money in 8 year(s), look at what happened there before trusting the average.
Return on capital ≥ 15% 2 of 6 yrs

What this means
A moat shows up as a high return on invested capital that holds year after year, not one good vintage.
Operating margin −760% → 13% (3-yr avg ends)

In the filing’s words The record and the words agree: the margin widened and the filing attributes the gain to its own pricing, not volume alone.

What this means
Through the cycle the operating margin widened — about −760% early to 13% lately, median −46% — pricing power intact or improving.
Reinvestment, incremental ROIC —

What this means
The reinvested base moved too little against the change in profit to read a reliable return on it here — the figure would be a small-denominator artifact, not a moat. Judge this one on the owner-earnings record and the cash it returns instead.
Worst year 2017 · −1775.6% op. margin

What this means
Operations went underwater in 2017, understand why before trusting the good years.

Does AI threaten the moat?

Low contestability

The moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.

In its own filing Raised, but not as a competitor

The filing raises AI among its risks, but in other terms (security, regulation, energy or the like), not as a competitor to its product; it frames AI mainly as a capability.

AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of the latest quarter, Mar 31, 2026

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assets$234M

Cash & short-term investments$147M
Receivables$50M
Inventory$12M
Other current assets$26M

Current liabilities$89M

Accounts payable$4M
Other current liabilities$85M

Current ratio2.62×all current assets ÷ what's due · Graham looked for 2×

Quick ratio2.48×stricter: inventory excluded

Cash ratio1.64×strictest: cash alone against what's due

Working capital$145Mthe cushion left after near-term bills

Revenue, latest quarter vs. a year ago+10.3%the freshest read on whether the business is still growing

Current ratio, recent quarters1.6× → 2.6×

Deeper floors

Tangible book value$376Mequity stripped of goodwill & intangibles

Net current asset value$129MGraham's net-net: current assets less all liabilities

Debt incl. operating leases$46M$864K of it operating leases

Deferred revenue$2Mcustomer cash collected before delivery; operating float

From the company's latest filing.

Management, ownership & pay

read the proxy →

From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.

Fiscal year	Chief executive	Pay, as filed	“Actually paid”	Net income
2021	Raul Rodriguez	$3.4M	$867k	($18M)
2022	Raul Rodriguez	$2.9M	$1.5M	($59M)
2023	Raul Rodriguez	$3.4M	$2.1M	($25M)
2024	Raul Rodriguez	$3.0M	$5.1M	$17M
2025	Raul Rodriguez	$4.7M	$8.7M	$367M

Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Net income is the whole business's, as filed, for the same fiscal years.

Insider ownership10.5%
The stake all directors and executive officers hold together, per the 2026 proxy: skin in the game, the first thing Munger reads.
Stock-based compensation$13M
The slice of the business handed to employees in shares this year, 4% of revenue, equal to 10% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.

Peers, Pharmaceuticals

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
CRMDCorMedix Inc.	$312M	8%	-8961.5%	-202%	-7330%
EOLSEvolus Inc.	$297M	68%	-44.0%	-142%	-34%
IRWDIronwood Pharmaceuticals Inc.	$296M	94%	27.3%	44%	35%
RIGLRigel Pharmaceuticals Inc.	$294M	99%	-36.4%	-117%	-71%
XERSXeris Biopharma Holdings Inc.	$292M	—	-50.6%	-44%	9%
HROWHarrow Inc.	$272M	70%	0.8%	-11%	-1%
LGNDLigand Pharmaceuticals	$268M	96%	31.6%	2%	45%
ARVNArvinas Inc.	$263M	—	-306.3%	-37%	-118%
Group median	—	82%	-40.2%	-41%	-17%

The price

What a price has to assume.

What the price implies

reverse-DCF

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Rigel Pharmaceuticals Inc. has delivered.

Today’s price $

Base Normalize · through-cycle (($41M)) Net of stock comp (−$13M)

—

The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth, delivered—

Owner-earnings yield—

P/E (3-yr earnings ’23–’25)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings $79M on 19M shares outstanding, per the 10-Q cover, as of 2026-04-30; net cash $102M. The if-converted diluted count is 20M, 6% above the shares outstanding: the dilution overhang (convertibles, options) a buyer inherits. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh RIGL against another business →

The owners of RIGL: the meeting and the votes →

Cite: Owner Scorecard, "Rigel Pharmaceuticals Inc. (RIGL), the owner's record," https://ownerscorecard.com/c/RIGL, data as of 2026-07-09.

Manual order: ← RIG its page in the Manual RILY →

Industry order: ← REGN the Pharmaceuticals chapter RLMD →