Royalty Pharma (RPRX) Stock Price, News & Analysis

Company Overview

Royalty Pharma plc is a biopharmaceutical royalty company headquartered in New York City. Founded in 1996 by Pablo Legorreta, the firm acquires royalty and revenue interests in biopharmaceutical products at various stages of development. By purchasing future royalty streams, Royalty Pharma provides biotechnology and pharmaceutical companies with non-dilutive capital to advance drug discovery, development, and commercialization.

The company’s core business involves structuring and financing transactions that grant it rights to a portion of future sales from therapies ranging from oncology and immunology to rare diseases and neuroscience. Royalty Pharma evaluates potential acquisitions based on clinical data, commercial forecasts, and regulatory milestones, enabling it to build a diversified portfolio that balances marketed products with earlier‐stage assets.

Over the years, Royalty Pharma has assembled a broad portfolio that includes interests in blockbuster and specialty therapies developed by leading pharmaceutical companies. Its transactions often involve well-known medicines alongside emerging therapeutics, reflecting a strategy designed to generate stable, long‐term cash flows while supporting innovation across global markets.

Under the leadership of founder and Chief Executive Officer Pablo Legorreta, Royalty Pharma operates in more than 20 countries across North America, Europe, and Asia. The company collaborates with research institutions, biotechnology firms, and major pharmaceutical companies, acting as a financial partner that enables life sciences organizations to accelerate the delivery of new treatments to patients worldwide.

Key Stats

• Today's Range: $35.52 to $36.00
• 50-Day Range: $35.27 to $37.91
• 52-Week Range: $24.05 to $38.00
• Volume: 2.99 million shs
• Average Volume: 3.15 million shs
• Market Capitalization: $20.98 billion
• P/E Ratio: 20.80
• Dividend Yield: 2.45%
• Price Target: $48.00
• Consensus Rating: Buy

Royalty Pharma Stock Analysis - MarketRank™

Royalty Pharma scored higher than 99% of companies evaluated by MarketBeat, and ranked 8th out of 944 stocks in the medical sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.7 / 5
• Analyst Rating: Buy

Consensus Rating

Royalty Pharma has received a consensus rating of Buy. The company's average rating score is 3.33, and is based on 2 buy ratings, no hold ratings, and no sell ratings.

Amount of Analyst Coverage

Royalty Pharma has only been the subject of 2 research reports in the past 90 days.

Earnings and Valuation

• Score: 2.5 / 5
• Proj. Earnings Growth: 8.24%

Earnings Growth

Earnings for Royalty Pharma are expected to grow by 8.24% in the coming year, from $4.49 to $4.86 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Royalty Pharma is 20.80, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 268.93.

Price to Earnings Ratio vs. Sector

The P/E ratio of Royalty Pharma is 20.80, which means that it is trading at a less expensive P/E ratio than the Medical sector average P/E ratio of about 83.11.

Price to Earnings Growth Ratio

Royalty Pharma has a PEG Ratio of 2.32. 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 2.21. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

4.57% 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 3.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Royalty Pharma has recently decreased by 9.26%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 3.3 / 5
• Dividend Strength: Strong

Dividend Yield

Royalty Pharma pays a meaningful dividend of 2.47%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Royalty Pharma has been increasing its dividend for 5 years.

Dividend Coverage

The dividend payout ratio of Royalty Pharma is 50.87%. 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 18.11% 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

4.57% 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 3.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Royalty Pharma has recently decreased by 9.26%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 3.5 / 5
• News Sentiment: 1.27

News Sentiment

Royalty Pharma has a news sentiment score of 1.27. 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 is a higher news sentiment than the 1.05 average news sentiment score of Medical companies.

News Coverage This Week

MarketBeat has tracked 22 news articles for Royalty Pharma this week, compared to 11 articles on an average week.

Search Interest

17 people have searched for RPRX on MarketBeat in the last 30 days. This is an increase of 6% compared to the previous 30 days.

MarketBeat Follows

Only 7 people have added Royalty Pharma to their MarketBeat watchlist in the last 30 days. This is a decrease of -13% 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 $25.51 at the beginning of the year. Since then, RPRX shares have increased by 41.0% and is now trading at $35.98.

How were Royalty Pharma's earnings last quarter?

Royalty Pharma PLC (NASDAQ:RPRX) announced its quarterly earnings data on Wednesday, August, 6th. The biopharmaceutical company reported $1.14 earnings per share for the quarter, beating analysts' consensus estimates of $1.10 by $0.04. The biopharmaceutical company had revenue of $578.67 million for the quarter, compared to analyst estimates of $750.06 million. Royalty Pharma had a trailing twelve-month return on equity of 25.54% and a net margin of 44.23%.
Read the conference call transcript.

When did Royalty Pharma IPO?

Royalty Pharma (RPRX) raised $1.9 billion in an initial public offering 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 Vanguard Group Inc. (6.47%), State Street Corp (1.81%), Geode Capital Management LLC (1.45%) and Adage Capital Partners GP L.L.C. (1.07%). 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 and Rory B Riggs.
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.

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

• Record date for 6/10 Dividend: 5/16/2025
• Ex-Dividend for 6/10 Dividend: 5/16/2025
• Dividend Payable: 6/10/2025
• Last Earnings: 8/06/2025
• Record date for 9/10 Dividend: 8/15/2025
• Ex-Dividend for 9/10 Dividend: 8/15/2025
• Today: 8/29/2025
• Dividend Payable: 9/10/2025
• Next Earnings (Estimated): 11/05/2025
• Fiscal Year End: 12/31/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Medical
• Industry: MED - BIOMED/GENE
• Sub-Industry: Pharmaceuticals
• Current Symbol: NASDAQ:RPRX
• CIK: 1802768
• Web: www.royaltypharma.com
• Phone: 212-883-0200
• Fax: N/A
• Employees: 80
• Year Founded: 1996

Price Target and Rating

• Average Price Target for Royalty Pharma: $48.00
• High Price Target: $54.00
• Low Price Target: $42.00
• Potential Upside/Downside: +33.4%
• Consensus Rating: Buy
• Rating Score (0-4): 3.33
• Research Coverage: 3 Analysts

Profitability

• EPS (Trailing Twelve Months): $1.73
• Trailing P/E Ratio: 20.80
• Forward P/E Ratio: 8.01
• P/E Growth: 2.35
• Net Income: $858.98 million
• Net Margins: 44.23%
• Pretax Margin: 72.19%
• Return on Equity: 25.54%
• Return on Assets: 14.11%

Debt

• Debt-to-Equity Ratio: 0.74
• Current Ratio: 1.26
• Quick Ratio: 1.26

Sales & Book Value

• Annual Sales: $2.31 billion
• Price / Sales: 9.10
• Cash Flow: $4.18 per share
• Price / Cash Flow: 8.60
• Book Value: $16.30 per share
• Price / Book: 2.21

Miscellaneous

• Outstanding Shares: 583,174,000
• Free Float: 472,954,000
• Market Cap: $20.98 billion
• Optionable: Optionable
• Beta: 0.55