Royalty Pharma PLC (NASDAQ:RPRX) Receives Consensus Rating of "Buy" from Analysts

Key Points

• Analysts remain bullish: All seven firms covering Royalty Pharma rate the stock “Buy,” with an average 12-month price target of $56.57. Recent targets range from $57 at UBS to $65 at TD Cowen.
• Royalty Pharma shares recently traded at $59.06, near their 12-month high of $60.44, while the company reported quarterly EPS of $1.30, exceeding the $1.22 consensus estimate.
• The company declared a quarterly dividend of $0.235 per share, equivalent to $0.94 annually and a 1.6% yield; insiders have sold roughly 393,000 shares worth $21.6 million over the past 90 days.

Royalty Pharma PLC (NASDAQ:RPRX - Get Free Report) has received an average recommendation of "Buy" from the seven research firms that are covering the company, Marketbeat.com reports. Seven investment analysts have rated the stock with a buy rating. The average 1-year price objective among analysts that have covered the stock in the last year is $56.5714.

A number of research analysts have recently commented on RPRX shares. Wall Street Zen raised shares of Royalty Pharma from a "buy" rating to a "strong-buy" rating in a research report on Saturday, May 9th. Weiss Ratings lowered shares of Royalty Pharma from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, May 15th. JPMorgan Chase & Co. upped their price objective on shares of Royalty Pharma from $50.00 to $58.00 and gave the company an "overweight" rating in a research report on Thursday, May 7th. UBS Group lifted their target price on Royalty Pharma from $51.00 to $57.00 and gave the stock a "buy" rating in a research report on Tuesday, April 21st. Finally, TD Cowen increased their price target on Royalty Pharma from $50.00 to $65.00 and gave the company a "buy" rating in a report on Monday, July 13th.

Royalty Pharma Stock Down 0.2%

Shares of NASDAQ RPRX traded down $0.12 on Thursday, hitting $59.06. The company had a trading volume of 224,466 shares, compared to its average volume of 3,559,284. The company has a quick ratio of 2.66, a current ratio of 2.66 and a debt-to-equity ratio of 0.86. Royalty Pharma has a 12-month low of $34.08 and a 12-month high of $60.44. The firm has a market capitalization of $34.01 billion, a P/E ratio of 40.17, a PEG ratio of 10.62 and a beta of 0.43. The business has a 50 day moving average of $56.01 and a two-hundred day moving average of $49.67.

Royalty Pharma (NASDAQ:RPRX - Get Free Report) last announced its earnings results on Wednesday, May 6th. The biopharmaceutical company reported $1.30 EPS for the quarter, beating the consensus estimate of $1.22 by $0.08. The business had revenue of $630.58 million for the quarter, compared to the consensus estimate of $881.69 million. Royalty Pharma had a return on equity of 29.25% and a net margin of 33.88%. As a group, equities research analysts forecast that Royalty Pharma will post 5.18 earnings per share for the current fiscal year.

Royalty Pharma Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Friday, August 14th will be given a $0.235 dividend. This represents a $0.94 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, August 14th. Royalty Pharma's dividend payout ratio is presently 63.95%.

Insiders Place Their Bets

In other news, Director Gregory Norden sold 3,045 shares of the stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $53.00, for a total transaction of $161,385.00. Following the completion of the transaction, the director directly owned 191,803 shares in the company, valued at approximately $10,165,559. This represents a 1.56% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Terrance P. Coyne sold 64,399 shares of the firm's stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $53.98, for a total transaction of $3,476,258.02. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 393,009 shares of company stock valued at $21,601,827. Corporate insiders own 18.84% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of RPRX. LM Advisors LLC acquired a new stake in Royalty Pharma during the fourth quarter worth about $26,000. Lloyd Advisory Services LLC. acquired a new stake in shares of Royalty Pharma during the 4th quarter worth approximately $30,000. Private Trust Co. NA lifted its holdings in shares of Royalty Pharma by 52.9% in the 4th quarter. Private Trust Co. NA now owns 832 shares of the biopharmaceutical company's stock worth $32,000 after purchasing an additional 288 shares during the last quarter. Blue Trust Inc. boosted its position in Royalty Pharma by 173.4% during the 1st quarter. Blue Trust Inc. now owns 689 shares of the biopharmaceutical company's stock valued at $33,000 after purchasing an additional 437 shares during the period. Finally, CIBC Private Wealth Group LLC boosted its position in Royalty Pharma by 66.4% during the 4th quarter. CIBC Private Wealth Group LLC now owns 1,118 shares of the biopharmaceutical company's stock valued at $43,000 after purchasing an additional 446 shares during the period. 54.35% of the stock is owned by institutional investors and hedge funds.

Royalty Pharma Company Profile

Royalty Pharma plc is a specialty finance company that acquires biopharmaceutical royalty interests and provides non-dilutive financing to drug developers and rights holders. The firm purchases future royalty streams, milestone-contingent payments and other revenue rights linked to approved and late-stage pharmaceutical and biotechnology products. By paying upfront consideration for these rights, Royalty Pharma seeks to generate long-term cash flows tied to the commercial performance of a diversified portfolio of medicines.

The company's transaction structures include outright royalty purchases, structured financings and milestone arrangements tailored to the needs of innovator companies, academic institutions and investors.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.