Jefferies raises Rigel Pharmaceuticals stock price target on strong sales

Published 06/08/2025, 11:40
Jefferies raises Rigel Pharmaceuticals stock price target on strong sales

Investing.com - Jefferies raised its price target on Rigel Pharmaceuticals (NASDAQ:RIGL) to $23.00 from $20.45 while maintaining a Hold rating, citing better-than-expected second-quarter product sales. The stock has shown remarkable momentum, delivering a 160% return over the past year according to InvestingPro data.

The pharmaceutical company reported strong demand across new and existing patients, prompting management to increase its 2025 total net product revenue guidance to $210-220 million from the previous forecast of $185-192 million. This follows impressive revenue growth of 70% in the last twelve months, with a healthy gross margin of 77%.

Rigel’s Gavreto continues to show positive momentum with 32% growth compared to the first quarter of 2025, driven by patient demand.

The company has completed enrollment for its R289 phase Ib dose escalation study in LR-MDS, with a data update expected at ASH’25 and dose expansion scheduled to begin in the third quarter.

Rigel reported $108.4 million in cash and has guided to be net income positive for 2025, providing financial flexibility for potential business development opportunities.

In other recent news, Rigel Pharmaceuticals Inc. reported strong financial results for the second quarter of 2025, leading to a substantial increase in its revenue guidance for the year. The company achieved a notable 76% year-over-year growth in net product sales. Additionally, Rigel transitioned from a net loss to a net income of $59.6 million, highlighting its improved financial performance. These developments have been well received by investors, as evidenced by the positive reaction in aftermarket trading. Rigel’s enhanced guidance reflects its confidence in sustaining this growth trajectory. While the company’s stock movement is not detailed here, the financial results themselves underscore Rigel’s strategic progress. Investors are likely to keep a close eye on how Rigel continues to leverage this momentum in the coming quarters.

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