Royalty Pharma (RPRX) Stock Price, News & Analysis

Company Overview

Royalty Pharma plc operates as a buyer of biopharmaceutical royalties and a funder of innovations in the biopharmaceutical industry in the United States. It is also involved in the identification, evaluation, and acquisition of royalties on various biopharmaceutical therapies. In addition, the company collaborates with innovators from academic institutions, research hospitals and not-for-profits, small and mid-cap biotechnology companies, and pharmaceutical companies. Its portfolio consists of royalties on approximately 35 commercial products and 14 development-stage product candidates that address various therapeutic areas, such as rare disease, cancer, neuroscience, immunology, respiratory, infectious disease, hematology, and diabetes. The company was founded in 1996 and is based in New York, New York.

Key Stats

• Today's Range: $25.80 to $26.29
• 50-Day Range: $25.58 to $28.38
• 52-Week Range: $25.10 to $31.66
• Volume: 2.00 million shs
• Average Volume: 2.63 million shs
• Market Capitalization: $15.45 billion
• P/E Ratio: 13.59
• Dividend Yield: 3.20%
• Price Target: $41.67
• Consensus Rating: Moderate Buy

Royalty Pharma Stock Analysis - MarketRank™

Royalty Pharma scored higher than 94% of companies evaluated by MarketBeat, and ranked 52nd out of 930 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.4 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

Royalty Pharma has received a consensus rating of Moderate Buy. The company's average rating score is 2.83, and is based on 5 buy ratings, 1 hold rating, and no sell ratings.

Amount of Analyst Coverage

Royalty Pharma has only been the subject of 1 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 5.90%

Earnings Growth

Earnings for Royalty Pharma are expected to grow by 5.90% in the coming year, from $4.07 to $4.31 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Royalty Pharma is 13.59, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 131.16.

Price to Earnings Ratio vs. Sector

The P/E ratio of Royalty Pharma is 13.59, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 49.34.

Price to Earnings Growth Ratio

Royalty Pharma has a PEG Ratio of 3.76. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Royalty Pharma has a P/B Ratio of 1.55. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

3.84% of the float of Royalty Pharma has been sold short.

Short Interest Ratio / Days to Cover

Royalty Pharma has a short interest ratio ("days to cover") of 6.5.

Change versus previous month

Short interest in Royalty Pharma has recently increased by 0.62%, indicating that investor sentiment is decreasing.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

Royalty Pharma pays a meaningful dividend of 3.27%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Royalty Pharma does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Royalty Pharma is 43.52%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Royalty Pharma will have a dividend payout ratio of 19.49% next year. This indicates that Royalty Pharma will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 3.7 / 5
• Environmental Score: -2.25

Percentage of Shares Shorted

3.84% of the float of Royalty Pharma has been sold short.

Short Interest Ratio / Days to Cover

Royalty Pharma has a short interest ratio ("days to cover") of 6.5.

Change versus previous month

Short interest in Royalty Pharma has recently increased by 0.62%, indicating that investor sentiment is decreasing.

News and Social Media

• Score: 3.2 / 5
• News Sentiment: 0.83

News Sentiment

Royalty Pharma has a news sentiment score of 0.83. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This news sentiment score is similar to the average news sentiment of Finance companies.

News Coverage This Week

MarketBeat has tracked 10 news articles for Royalty Pharma this week, compared to 6 articles on an average week.

Search Interest

19 people have searched for RPRX on MarketBeat in the last 30 days. This is an increase of 73% compared to the previous 30 days.

MarketBeat Follows

11 people have added Royalty Pharma to their MarketBeat watchlist in the last 30 days. This is an increase of 57% compared to the previous 30 days.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Royalty Pharma insiders have not sold or bought any company stock.

Percentage Held by Insiders

18.90% of the stock of Royalty Pharma is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

54.35% of the stock of Royalty Pharma is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

RPRX Stock Analysis - Frequently Asked Questions

How have RPRX shares performed this year?

Royalty Pharma's stock was trading at $28.09 on January 1st, 2024. Since then, RPRX shares have decreased by 6.7% and is now trading at $26.22.
View the best growth stocks for 2024 here.

How were Royalty Pharma's earnings last quarter?

Royalty Pharma plc (NASDAQ:RPRX) posted its quarterly earnings data on Thursday, August, 8th. The biopharmaceutical company reported $0.96 earnings per share for the quarter, beating analysts' consensus estimates of $0.95 by $0.01. The biopharmaceutical company earned $537 million during the quarter, compared to analysts' expectations of $600.83 million. Royalty Pharma had a trailing twelve-month return on equity of 24.65% and a net margin of 50.53%.

When did Royalty Pharma IPO?

Royalty Pharma (RPRX) raised $1.9 billion in an initial public offering (IPO) on Tuesday, June 16th 2020. The company issued 70,000,000 shares at a price of $25.00-$28.00 per share. J.P. Morgan, Morgan Stanley, BofA Securities, Goldman Sachs, Citigroup and UBS Investment Bank served as the underwriters for the IPO and Evercore ISI, Cowen and SunTrust Robinson Humphrey were co-managers.

Who are Royalty Pharma's major shareholders?

Top institutional shareholders of Royalty Pharma include FMR LLC (4.70%), Baillie Gifford & Co. (2.72%), Swedbank AB (1.86%) and State Street Corp (1.60%). Insiders that own company stock include 1978 Sicaf Sif SA Gg, 1978 Sicaf Sif SA - Gg St Gg, Mario Germano Giuliani, Avara Management Ltd, Terrance P Coyne, James F Reddoch, Pablo G Legorreta, George W Lloyd, Marshall Urist, Rory B Riggs and Henry A Fernandez.
View institutional ownership trends.

How do I buy shares of Royalty Pharma?

Shares of RPRX stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Royalty Pharma own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Royalty Pharma investors own include Bristol-Myers Squibb (BMY), Chevron (CVX), McKesson (MCK), Comcast (CMCSA), NVIDIA (NVDA), Charles Schwab (SCHW) and Invesco QQQ (QQQ).

Company Calendar

• Last Earnings: 8/08/2024
• Ex-Dividend for 9/13 Dividend: 8/16/2024
• Dividend Payable: 9/13/2024
• Ex-Dividend for 12/10 Dividend: 11/15/2024
• Today: 11/20/2024
• Dividend Payable: 12/10/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 2/20/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Finance
• Industry: Pharmaceutical preparations
• Sub-Industry: Pharmaceuticals
• Current Symbol: NASDAQ:RPRX
• CUSIP: 76028H20
• CIK: 897075
• Web: www.royaltypharma.com
• Phone: 212-883-0200
• Fax: N/A
• Employees: 80
• Year Founded: 1996

Price Target and Rating

• Average Stock Price Target: $41.67
• High Stock Price Target: $51.00
• Low Stock Price Target: $28.00
• Potential Upside/Downside: +58.9%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.83
• Research Coverage: 6 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $1.93
• Trailing P/E Ratio: 13.59
• Forward P/E Ratio: 6.44
• P/E Growth: 3.76
• Net Income: $1.13 billion
• Net Margins: 50.53%
• Pretax Margin: 75.64%
• Return on Equity: 24.65%
• Return on Assets: 14.44%

Debt

• Debt-to-Equity Ratio: 0.64
• Current Ratio: 1.54
• Quick Ratio: 1.54

Sales & Book Value

• Annual Sales: $2.36 billion
• Price / Sales: 6.56
• Cash Flow: $4.66 per share
• Price / Cash Flow: 5.63
• Book Value: $16.88 per share
• Price / Book: 1.55

Miscellaneous

• Outstanding Shares: 589,180,000
• Free Float: 477,827,000
• Market Cap: $15.45 billion
• Optionable: Optionable
• Beta: 0.47