Perrigo (PRGO) Competitors

Perrigo (NYSE:PRGO) and Royalty Pharma (NASDAQ:RPRX) are both medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, media sentiment, risk, analyst recommendations, profitability, institutional ownership, dividends, community ranking and earnings.

Is PRGO or RPRX more profitable?

Royalty Pharma has a net margin of 50.53% compared to Perrigo's net margin of -3.64%. Royalty Pharma's return on equity of 24.65% beat Perrigo's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Perrigo	-3.64%	7.38%	3.18%
Royalty Pharma	50.53%	24.65%	14.44%

Do institutionals & insiders believe in PRGO or RPRX?

95.9% of Perrigo shares are held by institutional investors. Comparatively, 54.4% of Royalty Pharma shares are held by institutional investors. 0.4% of Perrigo shares are held by company insiders. Comparatively, 18.9% of Royalty Pharma shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Which has more risk and volatility, PRGO or RPRX?

Perrigo has a beta of 0.52, indicating that its share price is 48% less volatile than the S&P 500. Comparatively, Royalty Pharma has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500.

Is PRGO or RPRX a better dividend stock?

Perrigo pays an annual dividend of $1.10 per share and has a dividend yield of 3.9%. Royalty Pharma pays an annual dividend of $0.84 per share and has a dividend yield of 3.2%. Perrigo pays out -94.0% of its earnings in the form of a dividend. Royalty Pharma pays out 43.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Perrigo has increased its dividend for 22 consecutive years. Perrigo is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media favor PRGO or RPRX?

In the previous week, Royalty Pharma had 4 more articles in the media than Perrigo. MarketBeat recorded 15 mentions for Royalty Pharma and 11 mentions for Perrigo. Royalty Pharma's average media sentiment score of 1.12 beat Perrigo's score of 0.54 indicating that Royalty Pharma is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Perrigo	6 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Royalty Pharma	12 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts rate PRGO or RPRX?

Perrigo presently has a consensus target price of $37.00, indicating a potential upside of 29.82%. Royalty Pharma has a consensus target price of $41.67, indicating a potential upside of 57.65%. Given Royalty Pharma's stronger consensus rating and higher probable upside, analysts plainly believe Royalty Pharma is more favorable than Perrigo.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perrigo	0 Sell rating(s)	1 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.75
Royalty Pharma	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83

Which has better earnings & valuation, PRGO or RPRX?

Royalty Pharma has lower revenue, but higher earnings than Perrigo. Perrigo is trading at a lower price-to-earnings ratio than Royalty Pharma, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perrigo	$4.66B	0.84	-$12.70M	-$1.17	-24.36
Royalty Pharma	$2.36B	6.61	$1.13B	$1.93	13.69

Does the MarketBeat Community favor PRGO or RPRX?

Perrigo received 447 more outperform votes than Royalty Pharma when rated by MarketBeat users. However, 67.86% of users gave Royalty Pharma an outperform vote while only 66.67% of users gave Perrigo an outperform vote.

Company	Underperform	Outperform
Perrigo	Outperform Votes 770 66.67%	Underperform Votes 385 33.33%
Royalty Pharma	Outperform Votes 323 67.86%	Underperform Votes 153 32.14%

Summary

Royalty Pharma beats Perrigo on 14 of the 21 factors compared between the two stocks.