• If you are wondering whether TG Therapeutics at around US$31.63 is offering fair value or an opportunity, it helps to start by grounding the share price in a clear valuation framework.
• The stock has returned 3.0% over the last 7 days, 2.9% over the past month, 8.0% year to date and 8.9% over the past year, while the 3 year return of 123.5% sits against a 5 year return of a 34.2% decline.
• Recent moves sit in the context of ongoing interest in TG Therapeutics and its product portfolio, as investors reassess the company after earlier volatility. That mix of strong multi year gains and a weaker 5 year picture means many holders are asking whether the current price properly reflects the business today.
• On Simply Wall St's 6 point valuation framework, TG Therapeutics scores 5 out of 6 for being undervalued across different checks. This sets up a deeper look at how various valuation methods stack up and hints at an even richer way to think about value that we will come back to at the end.

Approach 1: TG Therapeutics Discounted Cash Flow (DCF) Analysis

A Discounted Cash Flow, or DCF, model estimates what a company might be worth by projecting its future cash flows and then discounting those back to today using a required rate of return.

For TG Therapeutics, the latest twelve month Free Cash Flow is a loss of $70.18 million. Analysts have supplied forecasts out to 2026, with Simply Wall St extending those projections further. By 2030, Free Cash Flow is projected at $775.18 million, with interim estimates such as $316.15 million in 2026 and $678.85 million in 2029, all in dollar terms.

Using a 2 Stage Free Cash Flow to Equity model, these cash flows are discounted and aggregated to produce an estimated intrinsic value of $131.33 per share. Compared with a current share price around $31.63, this implies a discount of 75.9%, indicating that the stock screens as materially undervalued on this DCF view.

Result: UNDERVALUED

Our Discounted Cash Flow (DCF) analysis suggests TG Therapeutics is undervalued by 75.9%. Track this in your watchlist or portfolio, or discover 880 more undervalued stocks based on cash flows.

Approach 2: TG Therapeutics Price vs Earnings

For a company that is generating earnings, the P/E ratio is a straightforward way to see how much investors are paying for each dollar of profit. It ties directly to the bottom line, which is usually what ultimately supports a share price over time.

What counts as a “normal” P/E depends on how fast earnings are expected to grow and how risky those earnings are. Higher growth and lower perceived risk often support a higher P/E, while slower growth or higher risk usually point to a lower multiple being reasonable.

TG Therapeutics currently trades on a P/E of 10.33x. That sits below the Biotechs industry average P/E of 19.92x and also below the peer group average of 55.09x. Simply Wall St’s Fair Ratio for TG Therapeutics is 18.95x, which is its proprietary estimate of what the P/E could be given factors like the company’s earnings profile, industry, profit margins, market cap and risk characteristics. Compared with simple peer or industry comparisons, this Fair Ratio aims to give a more tailored benchmark that reflects TG Therapeutics’ specific mix of growth, risk and profitability. With the current P/E at 10.33x versus a Fair Ratio of 18.95x, the shares screen as undervalued on this measure.

Result: UNDERVALUED

P/E ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1427 companies where insiders are betting big on explosive growth.

Upgrade Your Decision Making: Choose your TG Therapeutics Narrative

Earlier we mentioned that there is an even better way to understand valuation, so let us introduce you to Narratives. Narratives let you attach a clear story about TG Therapeutics to your numbers, such as your fair value and your expectations for future revenue, earnings and margins.

A Narrative is simply your view of the business written down and then linked directly to a forecast and a fair value estimate. Instead of just seeing a P/E or a DCF output, you see the reasoning that gets you there.

On Simply Wall St, within the Community page used by millions of investors, Narratives are easy to create and compare. The platform updates them automatically when new information such as earnings reports or news is added.

This helps you decide what to do, because you can compare the Fair Value from your Narrative to TG Therapeutics’ current share price and see whether your story suggests it is above or below what you are willing to pay. Another investor might use the same data to justify a much higher or much lower fair value based on a different view of future growth, risk and margins.

Do you think there's more to the story for TG Therapeutics? Head over to our Community to see what others are saying!

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.