📊 LXRX Key Takeaways
Is Lexicon Pharmaceuticals, Inc.. (LXRX) a Good Investment?
Lexicon Pharmaceuticals exhibits severe operational distress with negative operating margins exceeding -98% and operating cash burn of $67.9M, indicating the company is consuming substantially more cash than it generates. Despite 60% revenue growth, the company is unprofitable at all levels and burning through cash reserves, with only $34.3M in cash against $49.4M in long-term debt, creating near-term solvency concerns.
Lexicon Pharmaceuticals is showing strong top-line momentum, with revenue up 60.2% year over year and net loss narrowing materially, which suggests some operating progress. However, the business remains deeply unprofitable, with negative operating and net margins near -100% and heavily negative free cash flow, so current growth quality is still weak and dependent on future commercialization scaling and cash preservation.
Why Buy Lexicon Pharmaceuticals, Inc.. Stock? LXRX Key Strengths
- Strong liquidity position with 4.88x current ratio providing short-term flexibility
- Significant revenue growth of 60.2% YoY demonstrates market traction for products
- Moderate leverage with 0.46x debt-to-equity ratio indicates not over-leveraged relative to equity base
- Revenue growth is strong at +60.2% year over year, indicating improving commercial traction
- Liquidity is currently solid, with a 4.88x current ratio and 4.87x quick ratio
- Balance sheet leverage is still manageable, with debt/equity at 0.46x and positive stockholders' equity of $107.54M
LXRX Stock Risks: Lexicon Pharmaceuticals, Inc.. Investment Risks
- Severe cash burn of $67.9M annually with only 6-9 months of cash runway at current burn rate
- Operating losses of $48.9M on $49.8M revenue indicates business model fundamentally unprofitable at scale
- Negative operating cash flow and -136.2% FCF margin indicate growth is destroying rather than creating shareholder value
- Long-term debt of $49.4M approaching total cash reserves creates refinancing risk if operations don't improve
- Operating income of -$48.91M and net income of -$50.34M show the company is still far from sustainable profitability
- Free cash flow of -$67.85M and operating cash flow of -$67.85M indicate significant ongoing cash burn
- Negative interest coverage of -6.4x highlights weak debt-servicing capacity from operations
Key Metrics to Watch
- Operating cash flow trend and path to positive FCF generation
- Quarterly revenue growth sustainability and gross margin expansion as volumes scale
- Monthly cash burn rate and cash runway remaining before potential capital raise or debt covenant issues
- Quarterly revenue growth relative to operating expense growth
- Operating cash flow and ending cash balance
Lexicon Pharmaceuticals, Inc.. (LXRX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 4.88x current ratio provides a solid financial cushion.
LXRX Profit Margin, ROE & Profitability Analysis
LXRX vs Healthcare Sector: How Lexicon Pharmaceuticals, Inc.. Compares
How Lexicon Pharmaceuticals, Inc.. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Lexicon Pharmaceuticals, Inc.. Stock Overvalued? LXRX Valuation Analysis 2026
Based on fundamental analysis, Lexicon Pharmaceuticals, Inc.. shows some fundamental concerns relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Lexicon Pharmaceuticals, Inc.. Balance Sheet: LXRX Debt, Cash & Liquidity
LXRX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Lexicon Pharmaceuticals, Inc..'s revenue has declined by 77% over the 5-year period, indicating business contraction. The most recent EPS of $-0.80 indicates the company is currently unprofitable.
LXRX Revenue Growth, EPS Growth & YoY Performance
LXRX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2025 | $1.1M | -$25.3M | $-0.07 |
| Q3 2024 | $148.0K | -$31.9M | $-0.18 |
| Q2 2024 | $291.0K | -$31.9M | $-0.17 |
| Q1 2024 | N/A | -$31.9M | $-0.17 |
| Q3 2023 | N/A | -$23.4M | $-0.13 |
| Q2 2023 | N/A | -$23.5M | N/A |
| Q3 2021 | N/A | -$18.1M | $-0.16 |
| Q2 2021 | N/A | -$18.1M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Lexicon Pharmaceuticals, Inc.. Dividends, Buybacks & Capital Allocation
LXRX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Lexicon Pharmaceuticals, Inc.. (CIK: 0001062822)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LXRX
What is the AI rating for LXRX?
Lexicon Pharmaceuticals, Inc.. (LXRX) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 84% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LXRX's key strengths?
Claude: Strong liquidity position with 4.88x current ratio providing short-term flexibility. Significant revenue growth of 60.2% YoY demonstrates market traction for products. ChatGPT: Revenue growth is strong at +60.2% year over year, indicating improving commercial traction. Liquidity is currently solid, with a 4.88x current ratio and 4.87x quick ratio.
What are the risks of investing in LXRX?
Claude: Severe cash burn of $67.9M annually with only 6-9 months of cash runway at current burn rate. Operating losses of $48.9M on $49.8M revenue indicates business model fundamentally unprofitable at scale. ChatGPT: Operating income of -$48.91M and net income of -$50.34M show the company is still far from sustainable profitability. Free cash flow of -$67.85M and operating cash flow of -$67.85M indicate significant ongoing cash burn.
What is LXRX's revenue and growth?
Lexicon Pharmaceuticals, Inc.. reported revenue of $49.8M.
Does LXRX pay dividends?
Lexicon Pharmaceuticals, Inc.. does not currently pay dividends.
Where can I find LXRX SEC filings?
Official SEC filings for Lexicon Pharmaceuticals, Inc.. (CIK: 0001062822) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LXRX's EPS?
Lexicon Pharmaceuticals, Inc.. has a diluted EPS of $-0.14.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LXRX a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Lexicon Pharmaceuticals, Inc.. has a SELL rating with 84% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LXRX stock overvalued or undervalued?
Valuation metrics for LXRX: ROE of -46.8% (sector avg: 15%), net margin of -101.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy LXRX stock in 2026?
Our dual AI analysis gives Lexicon Pharmaceuticals, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LXRX's free cash flow?
Lexicon Pharmaceuticals, Inc..'s operating cash flow is $-67.9M, with capital expenditures of $0.0. FCF margin is -136.2%.
How does LXRX compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -101.1% (avg: 12%), ROE -46.8% (avg: 15%), current ratio 4.88 (avg: 2).