NewEdge Advisors LLC Raises Stock Position in Royalty Pharma PLC $RPRX

Key Points

• NewEdge Advisors increased its Royalty Pharma position by 400.2% in the second quarter, bringing its holdings to 21,597 shares worth approximately $1.21 million. Institutional investors collectively own 54.35% of RPRX.
• Royalty Pharma reported quarterly EPS of $1.32, exceeding analyst expectations of $1.27, although revenue of $674.14 million fell short of the $758.93 million estimate. The company also maintains a quarterly dividend of $0.235 per share, representing a 1.6% yield.
• Analysts remain broadly bullish, with eight Buy ratings and a consensus price target of $61.29; TD Cowen recently raised its target to $68. Shares opened at $58.41, while insiders sold approximately $22.5 million of stock during the quarter.

NewEdge Advisors LLC raised its position in Royalty Pharma PLC (NASDAQ:RPRX - Free Report) by 400.2% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 21,597 shares of the biopharmaceutical company's stock after purchasing an additional 17,279 shares during the quarter. NewEdge Advisors LLC's holdings in Royalty Pharma were worth $1,211,000 as of its most recent SEC filing.

Several other hedge funds have also made changes to their positions in RPRX. Barton Investment Management purchased a new stake in shares of Royalty Pharma during the 1st quarter valued at approximately $905,000. Nomura Asset Management Co. Ltd. grew its position in Royalty Pharma by 16.2% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 172,418 shares of the biopharmaceutical company's stock worth $6,662,000 after acquiring an additional 24,048 shares during the period. Hillsdale Investment Management Inc. grew its position in Royalty Pharma by 5,266.7% in the fourth quarter. Hillsdale Investment Management Inc. now owns 24,150 shares of the biopharmaceutical company's stock worth $933,000 after acquiring an additional 23,700 shares during the period. Norges Bank acquired a new stake in Royalty Pharma during the fourth quarter worth $131,923,000. Finally, Eventide Asset Management LLC increased its stake in Royalty Pharma by 41.5% during the fourth quarter. Eventide Asset Management LLC now owns 1,296,826 shares of the biopharmaceutical company's stock worth $50,183,000 after acquiring an additional 380,337 shares during the last quarter. Hedge funds and other institutional investors own 54.35% of the company's stock.

Royalty Pharma Stock Performance

Shares of Royalty Pharma stock opened at $58.41 on Monday. The stock has a market capitalization of $33.59 billion, a price-to-earnings ratio of 40.28, a price-to-earnings-growth ratio of 1.38 and a beta of 0.44. The company has a debt-to-equity ratio of 0.88, a current ratio of 2.80 and a quick ratio of 2.80. The business has a 50-day moving average of $59.45 and a 200 day moving average of $54.12. Royalty Pharma PLC has a 12 month low of $34.63 and a 12 month high of $64.38.

Royalty Pharma (NASDAQ:RPRX - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The biopharmaceutical company reported $1.32 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.27 by $0.05. The company had revenue of $674.14 million for the quarter, compared to analyst estimates of $758.93 million. Royalty Pharma had a net margin of 32.14% and a return on equity of 30.01%. As a group, sell-side analysts forecast that Royalty Pharma PLC will post 5.32 earnings per share for the current year.

Royalty Pharma Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, September 10th. Stockholders of record on Friday, August 14th were given a dividend of $0.235 per share. The ex-dividend date of this dividend was Friday, August 14th. This represents a $0.94 dividend on an annualized basis and a dividend yield of 1.6%. Royalty Pharma's dividend payout ratio is currently 64.83%.

Insider Buying and Selling at Royalty Pharma

In related news, EVP Christopher Hite sold 100,000 shares of the business's stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $59.97, for a total transaction of $5,997,000.00. Following the completion of the transaction, the executive vice president directly owned 370,401 shares of the company's stock, valued at $22,212,947.97. The trade was a 21.26% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Marshall Urist sold 9,099 shares of the company's stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $55.88, for a total value of $508,452.12. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 398,197 shares of company stock worth $22,513,280. Insiders own 18.84% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on RPRX shares. Wall Street Zen upgraded Royalty Pharma from a "buy" rating to a "strong-buy" rating in a research report on Saturday, September 12th. The Goldman Sachs Group reissued a "buy" rating and set a $66.00 price objective on shares of Royalty Pharma in a research report on Thursday, August 6th. TD Cowen boosted their price objective on shares of Royalty Pharma from $65.00 to $68.00 and gave the company a "buy" rating in a report on Tuesday, September 8th. Bank of America reaffirmed a "buy" rating on shares of Royalty Pharma in a research report on Wednesday, August 5th. Finally, Weiss Ratings raised shares of Royalty Pharma from a "buy (b-)" rating to a "buy (b)" rating in a research note on Monday, September 14th. Eight analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock presently has an average rating of "Buy" and a consensus target price of $61.29.

Royalty Pharma Company Profile

Royalty Pharma plc is a biopharmaceutical royalty company that provides funding to life sciences companies in exchange for rights to receive future royalty payments from commercialized or late-stage therapies. Rather than developing and marketing medicines itself, the company invests in pharmaceutical and biotechnology innovations and seeks to generate income from the resulting royalty streams.

Its portfolio is linked to a range of therapies across areas including oncology, immunology, neuroscience, rare diseases and other specialty markets.

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