Adage Capital Partners GP L.L.C. Decreases Stake in Royalty Pharma PLC $RPRX

Key Points

• Adage Capital Partners GP L.L.C. has significantly reduced its stake in Royalty Pharma PLC by 63.2%, selling 10,718,321 shares to hold 6,250,000 shares, valued at approximately $194.56 million.
• Royalty Pharma recently declared a quarterly dividend of $0.22 per share, with a dividend yield of 2.4%, to be paid on September 10th.
• Wall Street analysts have upgraded Royalty Pharma's rating and increased price targets, with a consensus rating of "Buy" and an average price target of $48.00.

Adage Capital Partners GP L.L.C. lowered its position in Royalty Pharma PLC (NASDAQ:RPRX - Free Report) by 63.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 6,250,000 shares of the biopharmaceutical company's stock after selling 10,718,321 shares during the quarter. Adage Capital Partners GP L.L.C. owned about 1.08% of Royalty Pharma worth $194,562,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in RPRX. Voya Investment Management LLC raised its stake in shares of Royalty Pharma by 13.9% in the fourth quarter. Voya Investment Management LLC now owns 57,955 shares of the biopharmaceutical company's stock valued at $1,478,000 after acquiring an additional 7,076 shares during the period. Northern Trust Corp raised its stake in shares of Royalty Pharma by 12.8% in the fourth quarter. Northern Trust Corp now owns 3,330,429 shares of the biopharmaceutical company's stock valued at $84,959,000 after acquiring an additional 376,619 shares during the period. Schonfeld Strategic Advisors LLC grew its holdings in shares of Royalty Pharma by 77.4% in the fourth quarter. Schonfeld Strategic Advisors LLC now owns 79,142 shares of the biopharmaceutical company's stock worth $2,019,000 after purchasing an additional 34,537 shares during the last quarter. AXA S.A. grew its holdings in shares of Royalty Pharma by 761.9% in the fourth quarter. AXA S.A. now owns 156,131 shares of the biopharmaceutical company's stock worth $3,983,000 after purchasing an additional 138,017 shares during the last quarter. Finally, BNP Paribas Financial Markets bought a new position in shares of Royalty Pharma in the fourth quarter worth about $41,959,000. Hedge funds and other institutional investors own 54.35% of the company's stock.

Analyst Ratings Changes

RPRX has been the topic of a number of research analyst reports. Wall Street Zen upgraded shares of Royalty Pharma from a "hold" rating to a "buy" rating in a report on Saturday, August 30th. Morgan Stanley upped their price target on shares of Royalty Pharma from $51.00 to $54.00 and gave the stock an "overweight" rating in a report on Thursday, July 10th. Finally, Citigroup upped their price target on shares of Royalty Pharma from $40.00 to $42.00 and gave the stock a "buy" rating in a report on Tuesday, July 22nd. One equities research analyst has rated the stock with a Strong Buy rating and two have given a Buy rating to the company's stock. Based on data from MarketBeat, Royalty Pharma presently has an average rating of "Buy" and a consensus price target of $48.00.

Royalty Pharma Stock Down 2.2%

Royalty Pharma stock traded down $0.83 during midday trading on Friday, hitting $36.07. 9,231,241 shares of the company's stock were exchanged, compared to its average volume of 3,155,449. The company has a debt-to-equity ratio of 0.74, a quick ratio of 1.26 and a current ratio of 1.26. Royalty Pharma PLC has a 12 month low of $24.05 and a 12 month high of $38.00. The firm has a 50-day moving average of $36.34 and a two-hundred day moving average of $34.18. The company has a market cap of $21.03 billion, a PE ratio of 20.85, a P/E/G ratio of 2.41 and a beta of 0.58.

Royalty Pharma (NASDAQ:RPRX - Get Free Report) last issued its earnings results on Wednesday, August 6th. The biopharmaceutical company reported $1.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.10 by $0.04. Royalty Pharma had a net margin of 44.23% and a return on equity of 25.54%. The company had revenue of $578.67 million for the quarter, compared to analysts' expectations of $750.06 million. As a group, analysts expect that Royalty Pharma PLC will post 4.49 earnings per share for the current fiscal year.

Royalty Pharma Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 10th. Stockholders of record on Friday, August 15th will be issued a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Friday, August 15th. Royalty Pharma's dividend payout ratio (DPR) is currently 50.87%.

Royalty Pharma Company Profile

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.