Lexicon stock: buy or sell?
Updated on:
December 6th, 2019
2
Lexicon Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development and commercialization of pharmaceutical products for the treatment of human diseases.
Should I buy Lexicon stock?
Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. That's why is so important to choose your own trading plan that fits your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.Currently, Lexicon stock doesn't match any of these trading strategies, so our recommendation is not to buy.
| Buy setup | Elegible |
|---|---|
| New all-time high | No |
| New 52 week high | No |
| Price crossing up 200d MA | No |
| 100d MA crossing up 200d MA | No |
Is Lexicon stock a buy?
Financial institutions and banks post stock ratings everyday.
At Stocks2.com, we gathered 8 ratings published for LXRX stock in the last month. The general sentiment of these ratings is bullish for LXRX stock, with 5 positive ratings.| Date | Analyst / Broker | Previous rating | Current rating |
| 2019-9-11 | Gabelli | Hold | Buy |
| 2019-8-1 | Wedbush | n/a | Outperform |
| 2019-7-30 | Citigroup | n/a | Buy |
| 2019-7-29 | Stifel Nicolaus | Buy | Hold |
| 2019-3-4 | Wedbush | n/a | Outperform |
| 2019-3-25 | Stifel Nicolaus | n/a | Buy |
| 2019-3-25 | Needham & Company LLC | n/a | Hold |
| 2019-3-25 | Gabelli | Sell | Hold |
Lexicon stock analysis
Daily outlook
Lexicon crossed up the simple moving average line of 200 days today and closed at $4.87.
Lexicon shares broke up the SMA line of 200 days today and closed at $4.87. In the last 21 days when SMA50d and SMA100d crossed up, LXRX price gained $1.45 per share (42.40%).
Weekly outlook
After sliding a bloodcurdling -9.07% in a week last week, Lexicon closed this week at $4.87 and climbed a super good 37.96%.
Lexicon Pharmaceuticals shows a strong mid-term uptrend with several rising tops and rising bottoms. Since its last bottom by mid November, LXRX stock climbed unceasignly breaking out above its last top at $4.31. Since price and SMA40w lines crossed up this week, LXRX climbed $1.34 (37.96%). Since mid November when SMA10w and SMA20w crossed up, LXRX price gained $1.35 per share (38.35%).
Lexicon stock price history
Lexicon stock went public on April 7th, 2000 with a price of $154.001. Since then, LXRX stock lost a -96.80%, with a yearly average of -5.10%.
1: Adjusted price after possible price splits or reverse-splits.
Lexicon stock historical price chart
LXRX stock reached 52-week highs on March at $8.39, and all-time highs 2000-07-21 with a price of 344.75.
Lexicon stock price target is $12.50
Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we found 6 price predictions for Lexicon stock:| Date | Analyst / Broker | Action | Previous target | Current target | Diff |
| 2019-9-11 | Gabelli | Upgrades | n/a | $3.00 | - |
| 2019-8-1 | Wedbush | Reiterates | $35.00 | $17.00 | -51.4% |
| 2019-7-30 | Citigroup | Lowers Target | $15.00 | $3.00 | -80% |
| 2019-7-29 | Stifel Nicolaus | Downgrades | $10.00 | $4.00 | -60% |
| 2019-3-4 | Wedbush | Reiterates | $36.00 | $38.00 | 5.6% |
| 2019-3-25 | Stifel Nicolaus | Lowers Target | $14.00 | $10.00 | -28.6% |
| (in average) | $22.00 | $12.50 | -43.0% |
Financials and fundamental analysis
Earnings date and Earnings per Share
Lexicon Pharmaceuticals disappointed experts on March when it reported an Earnings per Share (EPS) of $-0.16 when the market consensus was $-0.28.| Quarter | Reporting date | Estimated EPS | Actual EPS | Surprise |
|---|---|---|---|---|
| 2017-Q1 | - | n/a | -0.33 | n/a |
| 2017-Q2 | - | n/a | -0.33 | n/a |
| 2017-Q3 | 2017-11-08 | -0.37 | -0.29 | n/a |
| 2017-Q4 | 2018-02-22 | -0.43 | -0.31 | n/a |
| 2018-Q1 | 2018-05-03 | -0.42 | -0.4 | n/a |
| 2018-Q2 | 2018-07-30 | -0.35 | -0.33 | n/a |
| 2018-Q3 | 2018-11-01 | -0.32 | -0.26 | n/a |
| 2018-Q4 | 2019-03-13 | -0.28 | -0.16 | n/a |
| 2019-Q1 | - | n/a | n/a | n/a |
| 2019-Q2 | - | n/a | n/a | n/a |
Annual financial results
Compared to 2017, last anual turnover report draw a frightening slide of -31.06% to $63.21 million USD. When comparing 2018 vs 2017, aligned with this, profit margin (that is, the net income divided by revenues) collapsed a -56.57% to -190.71%.| Year | Sales | YoY | Income/(margin) | YoY |
|---|---|---|---|---|
| 2013 | $2.22 M | - | $-104.13 M-4690.5% | - |
| 2014 | $23 M | 929.46% | $-100.29 M-438.8% | -3.68% |
| 2015 | $130 M | 468.89% | $-4.68 M-3.6% | -95.33% |
| 2016 | $83 M | -35.90% | $-141.43 M-169.7% | 2,920.70% |
| 2017 | $92 M | 10.02% | $-122.99 M-134.1% | -13.04% |
| 2018 | $63 M | -31.06% | $-120.55 M-190.7% | -1.99% |
Quarterly financial results
Lexicon posted $17.39 M in revenues for 2018-Q4, a 153.69% improvement compared to previous quarter. Reported quarter income marked $-16.26 million with a profit margin of -93.46%. Profit margin climbed a 307.83% compared to previous quarter when profit margin was -401.28%. When comparing revenues to same quarter last year, Lexicon Pharmaceuticals sales marked a dreadful loss and plummed a -47.37%.| Quarter | Sales1 | QoQ2 | Income1/(margin) | QoQ2 |
|---|---|---|---|---|
| 2017-Q1 | $18 M | - | $-34.89 M-190.8% | - |
| 2017-Q2 | $12 M | -34.12% | $-35.06 M-291.0% | 0.49% |
| 2017-Q3 | $27 M | 123.59% | $-30.72 M-114.0% | -12.37% |
| 2017-Q4 | $33 M | 22.66% | $-28.38 M-85.9% | -7.63% |
| 2018-Q1 | $25 M | -23.72% | $-42.08 M-166.9% | 48.27% |
| 2018-Q2 | $14 M | -45.44% | $-34.71 M-252.4% | -17.51% |
| 2018-Q3 | $7 M | -50.15% | $-27.51 M-401.3% | -20.73% |
| 2018-Q4 | $17 M | 153.69% | $-16.26 M-93.5% | -40.92% |
Lexicon ownership
When you are planning to invest in a stock, it's always worth to have a look its ownership structure.Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Lexicon, 0.40% of all outstanding shares are owned by its staff.
Lexicon Pharmaceuticals stock is reported to have a 101.30% of institutional ownership what is obvious to be impossible. The reason of having an institutional holding over 100% is because of the traded shares are being used for short trading. If you are interested in learning more about why this happens, read this interesting article at Investopedia.
For a better understanding, the next table shows ownership data compared to other related stocks:
| LXRX | AERI | ALBO | BMRN | ESPR | |
|---|---|---|---|---|---|
| Market cap | $517.5 M | $920.4 M | $271.6 M | $14.4 B | $1.3 B |
| Total shares | 106.3 M | 46.3 M | 12.7 M | 179.6 M | 27.3 M |
| Float shares | 0.0 M | 35.5 M | 9.3 M | 178.5 M | 24.2 M |
| - Institutional holdings (%) | 101.3% | 112.5% | 75.8% | 102.9% | 108.6% |
| - Insider holdings (%) | 0.4% | 1.8% | 12.3% | 0.4% | 5.0% |
| Shares in short selling | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
Lexicon summary
| Friday, December 6th, 2019 | |
|---|---|
| Open | $4.25 |
| Close | $4.87 |
| Day range | $4.20 - $5.13 |
| Previous close | $4.23 |
| Session gain | 15.13% |
| Average true range | $0.43 |
| 50d mov avg | $3.59 |
| 100d mov avg | $2.98 |
| 200d mov avg | $4.56 |
| Daily pattern | |
| Weekly pattern | lb03c |
Lexicon performance
To measure stock performance is always good to compare with competitors or related stocks. We picked Aerie Pharmaceuticals, Albireo Pharma, BioMarin Pharmaceutical, Esperion Therapeutics, Illumina, Ligand Pharmaceuticals, Ultragenyx Pharmaceutical, Regeneron Pharmaceuticals and Thermo Fisher Scientific as the bechmarking frame for Lexicon stock.| Stock | 3m | 6m | 12m |
|---|---|---|---|
| LXRXLexicon Pharmaceu... | 252.90% | -13.81% | -31.50% |
| AERIAerie Pharmaceuti... | 5.58% | -43.50% | -49.94% |
| ALBOAlbireo Pharma | -15.28% | -34.05% | -16.05% |
| BMRNBioMarin Pharmace... | 10.80% | -0.89% | -13.79% |
| ESPREsperion Therapeu... | 35.06% | -5.22% | -8.72% |
| ILMNIllumina | 20.91% | -2.69% | 1.57% |
| LGNDLigand Pharmaceut... | 23.12% | -4.90% | -25.83% |
| RAREUltragenyx Pharma... | -3.93% | -28.26% | -7.84% |
| REGNRegeneron Pharmac... | 27.49% | 21.37% | -0.15% |
| TMOThermo Fisher Sci... | 8.57% | 13.79% | 36.10% |