Lexicon Pharmaceuticals Stock Price and Value Analysis

Should you buy Lexicon Pharmaceuticals stock? (NasdaqGS:LXRX). Let's see how it does in our automated value investing analysis system.

LXRX Free Cash Flow Trend

Free Cash Flow trendline for LXRX
Free Cash Flow trendline for Lexicon Pharmaceuticals

Based on historical returns, we believe that Lexicon Pharmaceuticals can grow its free cash at a rate of about 41%. That's positive!

AdvantagesDisadvantagesNeutral
  • This company is making money at a great rate!
  • This company is solid.
  • This stock is available at a great discount!
  • This company has wild ups and downs.
  • This company pays no dividend.

Inside the LXRX Numbers

LXRX Price
(Lexicon Pharmaceuticals stock price per share)
$4.58
[?] LXRX Fair Price
(based on intrinsic value)
$70.43
[?] LXRX Safety Price (based on a variable margin of safety) $45.78
[?] PE Ratio versus Sector 78% lower than other Healthcare stocks
[?] PE Ratio versus Industry 92% lower than other Biotechnology stocks
[?] Cash Yield 27.98%
[?] Free Cash Flow Jitter 38%

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 4,478,983 shares shorted. With 55,315,551 shares available for purchase and an average trading volume over the past 10 trading days of 712,000, it would take at least 6.291 days for all of the short holders to cover their shorts.

Is Lexicon Pharmaceuticals Stock on Sale?

We believe that Lexicon Pharmaceuticals may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Even better, Lexicon Pharmaceuticals looks like a stock on sale. Based on our analysis—if the company keeps making money the way it has been—you may be looking at a bargain. Keep this stock in mind as you put together your portfolio! See Before You Buy for your next steps (and read our disclaimer about investing risk).

Should You Buy LXRX Stock?

Does Lexicon Pharmaceuticals have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.