Is LIGAND PHARMACEUTICALS INC (LGND) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 0.2% / 30% | 6.4% / 30% | 1.1% / 30% | 4.82% / 5% | ✓ HALAL |
| DJIM | 0.2% / 33% | 6.4% / 33% | 1.1% / 33% | 4.82% / 5% | ✓ HALAL |
| MSCI | 0.8% / 33% | 27.2% / 33% | 4.5% / 33% | 4.82% / 5% | ✓ HALAL |
| S&P | 0.2% / 33% | 6.4% / 33% | 1.1% / 33% | 4.82% / 5% | ✓ HALAL |
| FTSE | 0.8% / 33% | 27.2% / 33% | 4.5% / 50% | 4.82% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 64.3% | |
| Operating Margin | 33.6% | |
| Net Margin | 46.4% | |
| Return on Equity (ROE) | 13.5% | |
| Return on Assets (ROA) | 2.4% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $49M |
| Free Cash Flow | $38M |
| Total Debt | $451M |
| Debt-to-Equity | 44.4 |
| Current Ratio | 22.2 |
| Total Assets | $1.6B |
Price & Trading
| Last Close | $203.69 |
| 50-Day MA | $197.99 |
| 200-Day MA | $174.90 |
| Avg Volume | 216K |
| Beta | 1.0 |
|
52-Week Range
$93.58
| |
About LIGAND PHARMACEUTICALS INC (LGND)
Ligand Pharmaceuticals Incorporated, a biopharmaceutical company, develops and licenses biopharmaceutical assets worldwide. It offers Pradefovir, Posaconazole, Voriconazole, CAPVAXIVE, NOXAFIL, MenFive, and ZELSUVMI for infectious disease; EVOMELA and KYPROLIS for multiple myeloma; FILSPARI for the treatment of immunoglobulin a nephropathy; PNEUMOSIL, a pneumococcal conjugate vaccine to help fight against pneumococcal pneumonia in children; and QARZIBA to treat neuroblastoma. The company also provides Teriparatide injection product for osteoporosis; RYLAZE, a recombinant erwinia asparaginase for acute lymphoblastic leukemia or lymphoblastic lymphoma in adult and pediatric patients; TZIELD, a CD3-directed antibody indicated to delay the onset of Stage 3 type 1 diabetes in adults and children aged 8 years and older with Stage 2 T1D; and VAXNEUVANCE for the prevention of invasive disease caused by streptococcus pneumoniae serotypes. In addition, it offers Duavee for menopause; Frovatriptan to treat Neurology; FYCOMPA and SESQUIENT for CNS; MEKINIST for cardiology; Nexterone, a captisol-enabled formulation of amiodarone; VEKLURY, an antiviral treatment for COVID-19; and Viviant for osteoporosis. Further, the company develops ACLX-002, Ciforadenant, UGN-301, Viright, MB07133, BOT/BAL, and Lasofoxifene for oncology; Ensifentrine for respiratory disease; QTORIN for rare disease; Sparsentan for kidney disease; VK2809 for hepatology; ANEB-001 for acute cannabinoid intoxication; Reproxalap for opthamology; VK0214 for Rare Disease; and VK5211 for musculoskeletal disorder. The company was incorporated in 1987 and is based in Jupiter, Florida.
Purification Calculator
As a halal stock with 4.82% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is LIGAND PHARMACEUTICALS INC (LGND) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), LIGAND PHARMACEUTICALS INC is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is LIGAND PHARMACEUTICALS INC's debt ratio?
LIGAND PHARMACEUTICALS INC's debt ratio is 0.2% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 0.8%.
Does LIGAND PHARMACEUTICALS INC require dividend purification?
Yes, LIGAND PHARMACEUTICALS INC has an impermissible income ratio of 4.82%, which means 4.82% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.
What are LIGAND PHARMACEUTICALS INC's key financial metrics?
LIGAND PHARMACEUTICALS INC has a market capitalization of $3.9B, trailing P/E ratio of 31.8, and revenue of $268M. The company maintains a gross margin of 64.3% and a net margin of 46.4%. Return on equity stands at 13.5%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.