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Shares of biotechnology company Rigel Pharmaceuticals, Inc. RIGL have surged 41.4% in the past year against the industry’s decline of 13.4%. The stock also outperformed the sector and S&P 500 Index during this time frame.
The outperformance can be attributed to the strong growth of leading drug, Tavalisse, and an impressive pipeline progress.
RIGL Outperforms Industry, Sector and Industry
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Tavalisse Growth Boosts RIGL’s Top Line
Rigel’s first approved product Tavalisse (fostamatinib disodium hexahydrate) showed encouraging uptake in 2024. The drug is the only approved oral SYK inhibitor for the treatment of adult patients with chronic immune thrombocytopenia (ITP) who have had an insufficient response to a previous treatment. The drug is also approved in the EU, UK and Japan.
Last month, Rigel provided a business update and outlook for 2025. Tavalisse generated $104.8 million in net product sales in 2024.
Rigel is also making good progress with its second FDA-approved product, Rezlidhia (olutasidenib). The drug is indicated for the treatment of adult patients with relapsed or refractory (R/R) mutated isocitrate dehydrogenase-1 (mIDH1) acute myeloid leukemia (AM R/R AML with a susceptible IDH1 mutation as detected by an FDA-approved test. Rigel in-licensed the drug from Forma with exclusive, worldwide rights for its development, manufacturing and commercialization.
Rigel entered into an exclusive license agreement with Dr. Reddy's RDY in November to develop and commercialize the drug in all potential indications throughout Dr. Reddy's territory, which includes Latin America, South Africa, certain countries in the Commonwealth of Independent States (CIS), India, certain countries in Southeast Asia and North Africa, Australia and New Zealand.
Rigel is entitled to receive an upfront cash payment of $4.0 million from RDY with the potential for up to $36.0 million in future regulatory and commercial milestone payments.
The company added a third product, Gavreto, to its commercial portfolio in 2024. The drug was added to RIGL’s portfolio after the company acquired commercial rights of the drug from Blueprint Medicines Corporation BPMC. Gavreto became commercially available from Rigel in June 2024. The drug's incremental contribution boosted the company's top line in 2024.
RIGL Makes Impressive Pipeline Progress
Apart from these approved drugs, RIGL is developing other drugs, and the pipeline progress has been encouraging.
Last month, the FDA granted Orphan Drug designation to R289, Rigel's potent and selective dual inhibitor of IRAK1 and IRAK4, for the treatment of myelodysplastic syndromes (MDS). RIGL is evaluating the candidate in an ongoing phase Ib study evaluating the safety, tolerability, pharmacokinetics and preliminary activity in patients with lower-risk myelodysplastic syndromes (LR-MDS) who are relapsed or refractory to prior therapies.