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3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
Ligand Pharmaceuticals's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 0.00%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Ligand Pharmaceuticals's 3-Year ROIIC % or its related term are showing as below:
FRA:LGDN's 3-Year ROIIC % is not ranked *
in the Biotechnology industry.
Industry Median: -4.82 * Ranked among companies with meaningful 3-Year ROIIC % only.
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Ligand Pharmaceuticals 3-Year ROIIC % Related Terms
Ligand Pharmaceuticals 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Ligand Pharmaceuticals's 3-Year ROIIC % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:LGDN vs DFTX, CGON, XENE: 3-Year ROIIC % Comparison
For the Biotechnology subindustry, Ligand Pharmaceuticals's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ligand Pharmaceuticals 3-Year ROIIC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Ligand Pharmaceuticals's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Ligand Pharmaceuticals's 3-Year ROIIC % falls into.
Ligand Pharmaceuticals's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 31.5571332 (Dec. 2025) - 0 (Dec. 2022) )
/
( 662.194 (Dec. 2025) - 551.024 (Dec. 2022) )
=
/
111.17
=
0.00%***
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Ligand Pharmaceuticals (FRA:LGDN) has a 3-Year ROIIC % of 0.00 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Ligand Pharmaceuticals and its competitors. According to the industry distribution chart, Ligand Pharmaceuticals ranks #999999 out of 1322 companies in the Biotechnology industry.
Is Ligand Pharmaceuticals' 3-Year ROIIC % too high?
Ligand Pharmaceuticals' current 3-Year ROIIC % is 0.00. Based on the distribution chart, Ligand Pharmaceuticals ranks #999999 out of 1322 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Ligand Pharmaceuticals has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ligand Pharmaceuticals' 3-Year ROIIC % compare to DFTX and CGON?
According to the Biotechnology industry distribution chart, Ligand Pharmaceuticals ranks #999999 out of 1322 companies for 3-Year ROIIC %. This places Ligand Pharmaceuticals in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Biotechnology company?
A good 3-Year ROIIC % depends on the Biotechnology industry context. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Ligand Pharmaceuticals and its competitors. Ligand Pharmaceuticals's current 3-Year ROIIC % is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ligand Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Ligand Pharmaceuticals (FRA:LGDN) is currently considered Significantly Overvalued. The stock's GF Value™ is €150.69, compared to a current price of €266.00 — trading 76.5% above its estimated fair value. The current 3-Year ROIIC % is 0.00. Ligand Pharmaceuticals' overall GF Score™ is 78/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Ligand Pharmaceuticals (FRA:LGDN), the current 3-Year ROIIC % is 0.00 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ligand Pharmaceuticals (FRA:LGDN) Overvalued in 2026?
Based on GuruFocus' analysis, Ligand Pharmaceuticals stock appears to be overvalued.
The current stock price of €266.00 is trading 76.5% above its estimated GF Value™ of €150.69.
GuruFocus considers Ligand Pharmaceuticals to be Significantly Overvalued.
Key valuation signals for FRA:LGDN:
3-Year ROIIC %: 0.00
GF Value™: €150.69 vs. price of €266.00 (76.5% above fair value)
No single metric tells the full story. See the FRA:LGDN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ligand Pharmaceuticals Inc is a biopharmaceutical company focused on developing and acquiring technologies that aid in creating medicine. The company has partnerships and license agreements with various pharmaceutical and biotechnology companies. Ligand's business model is based on drug discovery, early-stage drug development, product reformulation, and partnerships. The company's revenue consists of three primary elements: royalties from commercialized products, license and milestone payments, and sale of its trademarked Captisol material.
78GF Score
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