On Wednesday, Ligand Pharmaceuticals got an upgrade to its Relative Strength (RS) Rating, from 68 to 72.

As you try to find the best stocks to buy and watch, be sure to pay attention to relative price strength.

IBD's proprietary RS Rating tracks technical performance by using a 1 (worst) to 99 (best) score that shows how a stock's price performance over the trailing 52 weeks matched up against all other stocks.

Over 100 years of market history reveals that the top-performing stocks typically have an RS Rating of over 80 in the early stages of their moves. See if Ligand Pharmaceuticals can continue to rebound and clear that threshold.

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Ligand Pharmaceuticals is not currently offering a proper buying opportunity. See if the stock goes on to form a base that could ignite a new run.

Earnings grew 63% last quarter, up from 58% in the prior report. Revenue also increased, from 66% to 104%.

The company holds the No. 9 rank among its peers in the Medical-Biomed/Biotech industry group. Biontech Se Ads and Alkermes are also among the group's highest-rated stocks.