RIGL - Is Rigel Pharmaceuticals Stock a Buy?
Rigel Pharmaceuticals (NASDAQ: RIGL) developed and launched the drug Tavalisse for the treatment of the autoimmune disease called chronic immune thrombocytopenia (or immune thrombocytopenic purpura, "ITP"). In its first five quarters on the market, Tavalisse generated $44 million in net product sales. While sales are on the upswing, this slow growth highlights the difficulty of breaking into a crowded therapeutic area, even with a drug that has a new mechanism of action.
Due to the chronic nature of ITP, patients cycle through a variety of treatment options. Patients often stop therapy during periods when the disease appears to be under control. According to Rigel, at any one time, roughly half of treatable ITP patients fall into this "watchful waiting" category. Of those receiving treatment, approximately 40% receive steroid therapy and the other 60% take other types of drugs. The last group provides an opportunity for a differentiated drug with a new mechanism, like Tavalisse.
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