Royalty Pharma (NASDAQ:RPRX) Rating Increased to Buy at Wall Street Zen

Key Points

• Royalty Pharma has been upgraded from a "hold" to a "buy" rating by Wall Street Zen, indicating positive sentiment towards the company's stock.
• Analysts have boosted price targets for Royalty Pharma, with Morgan Stanley raising it to $54.00 and Citigroup to $42.00, contributing to a consensus target price of $48.00.
• The company reported $1.14 EPS in its last earnings release, exceeding estimates, and has a net margin of 44.23% with revenue of $578.67 million.

Royalty Pharma (NASDAQ:RPRX - Get Free Report) was upgraded by analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued to clients and investors on Saturday.

A number of other brokerages have also recently commented on RPRX. Morgan Stanley raised their price objective on Royalty Pharma from $51.00 to $54.00 and gave the company an "overweight" rating in a research note on Thursday, July 10th. Citigroup increased their price objective on shares of Royalty Pharma from $40.00 to $42.00 and gave the company a "buy" rating in a research note on Tuesday, July 22nd. One research analyst has rated the stock with a Strong Buy rating and two have issued a Buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Buy" and an average price target of $48.00.

Royalty Pharma Trading Up 0.8%

RPRX traded up $0.30 during trading on Friday, reaching $36.47. 1,643,471 shares of the stock traded hands, compared to its average volume of 4,274,004. Royalty Pharma has a 12 month low of $24.05 and a 12 month high of $38.00. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.74. The stock's 50-day moving average is $36.29 and its 200 day moving average is $34.11. The stock has a market capitalization of $21.27 billion, a PE ratio of 21.07, a P/E/G ratio of 2.35 and a beta of 0.58.

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

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Louisbourg Investments Inc. bought a new stake in Royalty Pharma during the first quarter worth about $28,000. MassMutual Private Wealth & Trust FSB lifted its position in Royalty Pharma by 76.4% in the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 956 shares of the biopharmaceutical company's stock worth $30,000 after buying an additional 414 shares during the last quarter. USA Financial Formulas bought a new stake in Royalty Pharma in the 2nd quarter worth approximately $32,000. Summit Securities Group LLC purchased a new stake in Royalty Pharma in the first quarter worth approximately $36,000. Finally, WPG Advisers LLC bought a new position in Royalty Pharma during the first quarter valued at approximately $39,000. Institutional investors own 54.35% of the company's stock.

About Royalty Pharma

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.