Should You Add RIGL Stock to Your Portfolio Pre-Q4 Earnings?

Core Viewpoint - Rigel Pharmaceuticals is expected to report strong earnings for Q4 and full-year 2024, with significant growth in product sales and positive guidance for 2025 [1][6][19]. Financial Performance - The Zacks Consensus Estimate for Q4 2024 sales is $57.57 million, with earnings per share (EPS) expected at 42 cents [1]. - The EPS estimate for 2024 has increased from 17 cents to 22 cents over the past 60 days, while the 2025 EPS estimate has risen from 92 cents to $1.05 [1][2]. - Rigel's total revenues for Q4 2024 are projected to be $57.6 million, up from $35.8 million in the same period last year [6]. Product Sales - Tavalisse is expected to generate quarterly net product sales of $31.0 million, contributing significantly to Rigel's revenue growth [6]. - The company anticipates net product sales of $7.4 million from Rezlidhia and $8.1 million from Gavreto [8][9]. - Total revenues for 2024 are expected to reach $179.3 million, including net product sales of $144.9 million and contract revenues of $34.4 million [11]. Market Position and Valuation - Rigel's shares have increased by 50.6% over the past year, contrasting with a 13.4% decline in the industry [12]. - The current price/sales ratio for Rigel is 1.86x forward sales, lower than its historical mean of 2.37x but higher than the drug industry average of 1.64x [13]. Growth Outlook - Rigel expects total revenues of approximately $200-$210 million in 2025, with product sales projected between $185-$192 million [16]. - The company anticipates achieving positive net income in 2025 while continuing to fund clinical development programs [16]. - Rigel's pipeline includes promising candidates, with R289 receiving Orphan Drug and Fast Track designations for the treatment of myelodysplastic syndromes [17][18].