Ligand Pharmaceuticals (LGND) saw its stock price plummet 5.25% in pre-market trading on Thursday following the release of its first-quarter 2025 financial results. The biopharmaceutical company reported significant losses, disappointing investors and triggering a sell-off.

According to the earnings report, Ligand posted a basic earnings per share (EPS) of -$2.21 for Q1 2025. The company's operating income came in at -$36.216 million, while its pretax profit stood at a concerning -$50.18 million. These figures paint a picture of substantial financial challenges faced by the company in the first quarter.

Despite the negative results, Ligand Pharmaceuticals has reaffirmed its financial guidance for 2025, suggesting that the company remains optimistic about its long-term prospects. However, the market's immediate reaction indicates that investors are more focused on the current performance rather than future projections. As trading continues, it remains to be seen whether Ligand can regain investor confidence and reverse this downward trend.