Latest Ratios: P/E Ratio -12.8x · EV/EBITDA N/A · ROE -39.7%. (1999–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $797M | $418M | $236M | $338M | $317M | $574M | $379M | $485M | $703M | $1.0B | $1.4B |
| Enterprise Value | $825M | $445M | $278M | $422M | $325M | $512M | $266M | $695M | $788M | $975M | $1.2B |
| P/E Ratio → | -12.82 | — | — | — | — | — | — | 3.74 | — | — | — |
| P/S Ratio | 16.01 | 8.38 | 7.60 | 281.00 | 2277.34 | 1925.73 | 15.80 | 1.50 | 11.12 | 11.51 | 17.24 |
| P/B Ratio | 6.06 | 3.88 | 1.62 | 3.63 | 2.70 | 5.05 | 2.42 | 4.14 | — | 19.96 | 9.13 |
| P/FCF | — | — | — | — | — | — | — | 4.26 | — | — | — |
| P/OCF | — | — | — | — | — | — | — | 4.26 | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 8.94 | 8.95 | 350.44 | 2341.72 | 1718.40 | 11.07 | 2.16 | 12.46 | 10.79 | 14.30 |
| EV / EBITDA | — | — | — | — | — | — | — | 4.79 | — | — | — |
| EV / EBIT | — | — | — | — | — | — | — | 4.80 | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | 6.11 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 99.4% | 99.4% | 98.0% | -4798.0% | -37681.3% | -18371.8% | 92.0% | 99.0% | 96.1% | 97.9% | -96.8% |
| Operating Margin | -98.2% | -98.2% | -634.2% | -14265.0% | -72489.2% | -29224.8% | -199.2% | 43.9% | -163.4% | -151.3% | -164.6% |
| Net Profit Margin | -101.1% | -101.1% | -644.8% | -14710.9% | -73341.0% | -29449.0% | -244.1% | 40.4% | -190.7% | -142.9% | -169.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -39.7% | -39.7% | -167.7% | -168.5% | -88.4% | -65.0% | -42.8% | 111.1% | — | -123.2% | -63.8% |
| ROA | -20.8% | -20.8% | -75.9% | -83.6% | -61.6% | -51.5% | -18.8% | 37.1% | -33.5% | -28.3% | -25.0% |
| ROIC | -22.7% | -22.7% | -81.1% | -85.1% | -85.0% | -137.9% | -19.3% | 32.4% | — | — | — |
| ROCE | -23.4% | -23.4% | -87.4% | -93.1% | -70.5% | -64.1% | -18.8% | 47.2% | -36.9% | -43.9% | -32.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.58 | 0.58 | 0.74 | 1.14 | 0.47 | 0.02 | 0.08 | 2.11 | — | 4.72 | 0.64 |
| Debt / EBITDA | — | — | — | — | — | — | — | 1.70 | — | — | — |
| Net Debt / Equity | — | 0.26 | 0.29 | 0.90 | 0.08 | -0.54 | -0.73 | 1.80 | — | -1.25 | -1.56 |
| Net Debt / EBITDA | — | — | — | — | — | — | — | 1.45 | — | — | — |
| Debt / FCF | — | — | — | — | — | — | — | 1.85 | — | — | — |
| Interest Coverage | -5.04 | -5.04 | -11.86 | -13.00 | -36.14 | -108.42 | -3.03 | 7.00 | -4.80 | -18.42 | -19.02 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 4.88 | 4.88 | 5.44 | 5.60 | 6.08 | 4.02 | 3.37 | 5.17 | 4.72 | 2.59 | 2.17 |
| Quick Ratio | 4.87 | 4.87 | 5.44 | 5.58 | 6.08 | 4.02 | 3.37 | 5.10 | 4.59 | 2.58 | 2.17 |
| Cash Ratio | 4.61 | 4.61 | 5.26 | 5.39 | 5.97 | 3.92 | 3.25 | 4.16 | 4.36 | 2.50 | 2.10 |
| Asset Turnover | — | 0.27 | 0.10 | 0.01 | 0.00 | 0.00 | 0.12 | 0.77 | 0.22 | 0.21 | 0.18 |
| Inventory Turnover | 0.98 | 0.98 | 2.67 | 154.78 | — | — | — | 0.76 | 0.53 | 0.97 | — |
| Days Sales Outstanding | — | 17.47 | 40.79 | 306.19 | 73.53 | 17.15 | 6.01 | 64.07 | 34.21 | 19.50 | 32.81 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | 26.7% | — | — | — |
| FCF Yield | — | — | — | — | — | — | — | 23.5% | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.7% | 0.2% | 0.3% | 0.5% | 0.3% | 0.2% | 0.1% | 0.2% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.7% | 0.2% | 0.3% | 0.5% | 0.3% | 0.2% | 0.1% | 0.2% | 0.0% |
| Shares Outstanding | — | $363M | $320M | $221M | $166M | $146M | $111M | $117M | $106M | $105M | $104M |
Includes 30+ ratios · 27 years · Updated daily
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Quick answers to the most common questions about buying LXRX stock.
Lexicon Pharmaceuticals, Inc.'s current P/E ratio is -12.8x. The historical average is 3.7x.
Lexicon Pharmaceuticals, Inc.'s return on equity (ROE) is -39.7%. The historical average is -52.8%.
Based on historical data, Lexicon Pharmaceuticals, Inc. is trading at a P/E of -12.8x. Compare with industry peers and growth rates for a complete picture.
Lexicon Pharmaceuticals, Inc. has 99.4% gross margin and -98.2% operating margin.
Key Metrics
Top Statement Risk
Critical cash runway relative to burn rate
Metrics are mathematically derived from official filings.
Premium Price Tag on Negative Earnings
Lexicon's P/S ratio of 20.60 and P/B of 7.80, as reported in financial statements, command a significant premium over most peers despite its lack of profitability and ongoing cash burn, suggesting the market is pricing future pipeline success rather than current fundamentals.
The current price-to-sales multiple is elevated compared to profitable peers like ACADIA (36.5% net margin) and Innoviva (63.8% net margin), indicating that Lexicon's valuation is almost entirely dependent on the commercial potential of its current or future products. The negative P/E ratio of -16.50 is not meaningful for valuation in the traditional sense, but the high P/B multiple of 7.80 suggests investors are ascribing significant value to the company's remaining tangible and intangible assets, which warrants further investigation given the large cumulative deficit and ongoing losses.
Operational Losses Overwhelm Gross Margins
Despite maintaining gross margins above 94% in recent quarters, as per SEC filings, Lexicon's operating margin has plunged to -38.4% in Q2 2026, indicating that high product-level profitability is entirely consumed by structural overhead in R&D and SG&A.
The stark divergence between gross margin and net margin, which hit -45.9% in the latest quarter, underscores that the company's core earning power is deeply negative and driven by its cost structure rather than its product economics. This pattern, consistent over multiple quarters, suggests the business model is currently in a pre-scale phase where revenue cannot yet support the fixed and semi-fixed costs required for commercialization and ongoing research.
Destruction of Invested Capital Persists
Lexicon's return on equity has been negative in nine of the last ten quarters, hitting -16.8% in Q2 2026 per recent filings, demonstrating a persistent trend of capital erosion rather than compounding returns.
The consistently negative ROIC and ROE figures indicate that the company is destroying value with the capital it deploys, as operating losses continue to erode the equity base. The brief positive quarters in 2025 appear to be statistical anomalies rather than a sustainable trend, given the immediately following returns to significant losses, implying the underlying business has not yet achieved a self-sustaining level of profitability.
Debt-Free Status Amplifies Equity Risk
Lexicon appears to have eliminated all debt, as shown by a D/E ratio of zero in Q2 2026, but this shifts all financial risk directly onto equity holders, who bear the full impact of ongoing losses and negative free cash flow.
While the absence of debt simplifies the capital structure and removes interest coverage concerns, it also means there is no financial leverage to potentially amplify returns during a future turnaround. The primary risk for equity investors is now the dilution required to fund operations, as the company's cash generation is negative and the asset base, excluding goodwill, is shrinking.
Current Ratio Masking Short-Term Funding Risk
A headline current ratio of 13.37 in Q2 2026, as seen in SEC filings, is misleadingly strong, as the company's cash position of approximately $40.9M would be depleted in less than two quarters at its recent quarterly cash burn rate of over $23 million.
The quick ratio is nearly identical to the current ratio, confirming the liquidity is almost entirely in cash with minimal inventory or receivables. However, the extreme cash burn rate relative to the available liquidity suggests a near-term funding gap, making the company highly dependent on additional financing or a rapid and dramatic improvement in commercial revenue to avoid a liquidity crisis.
The Peril of Applying Standard Leverage Ratios
The debt-to-equity ratio is the most misapplied metric for Lexicon's current model, as a zero reading obscures the far more critical and existential risk of equity dilution to fund persistent negative cash flows.
Standard leverage analysis focuses on debt servicing risk, but Lexicon has eliminated its debt. The real financial stress is borne entirely by equity holders, who face the certainty of continued cash burn and the high probability of dilutive financing. Therefore, metrics like the cash runway (current cash / quarterly cash burn) or equity dilution per dollar of funding are far more relevant indicators of financial health and shareholder risk for this business model.