Royalty Pharma PLC (NASDAQ:RPRX) Given Average Recommendation of “Buy” by Brokerages

Shares of Royalty Pharma PLC (NASDAQ:RPRX) have been given an average recommendation of “Buy” by the seven research firms that are presently covering the company, MarketBeat Ratings reports. Seven investment analysts have rated the stock with a buy recommendation. The average 1 year target price among brokers that have issued a report on the stock in the last year is $53.7143.

A number of analysts have issued reports on RPRX shares. The Goldman Sachs Group reaffirmed a “buy” rating on shares of Royalty Pharma in a report on Thursday, February 12th. JPMorgan Chase & Co. lifted their price objective on Royalty Pharma from $50.00 to $58.00 and gave the stock an “overweight” rating in a report on Thursday, May 7th. Morgan Stanley lifted their price objective on Royalty Pharma from $61.00 to $63.00 and gave the stock an “overweight” rating in a report on Friday, April 10th. Weiss Ratings lowered Royalty Pharma from a “buy (b)” rating to a “buy (b-)” rating in a report on Friday, May 15th. Finally, UBS Group lifted their price objective on Royalty Pharma from $51.00 to $57.00 and gave the stock a “buy” rating in a report on Tuesday, April 21st.

Royalty Pharma Stock Performance

RPRX opened at $54.50 on Friday. The firm has a market capitalization of $31.38 billion, a P/E ratio of 37.08, a price-to-earnings-growth ratio of 1.47 and a beta of 0.40. The stock’s 50 day moving average price is $49.03 and its two-hundred day moving average price is $43.91. 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 $32.15 and a 12-month high of $54.64.

Royalty Pharma (NASDAQ:RPRX) last released its earnings results on Wednesday, May 6th. The biopharmaceutical company reported $1.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.22 by $0.08. The firm had revenue of $631.00 million for the quarter, compared to analyst estimates of $881.69 million. Royalty Pharma had a return on equity of 29.25% and a net margin of 33.88%. On average, equities analysts forecast that Royalty Pharma will post 5.05 earnings per share for the current year.

Royalty Pharma Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Friday, May 15th will be issued a dividend of $0.235 per share. This represents a $0.94 annualized dividend and a dividend yield of 1.7%. The ex-dividend date of this dividend is Friday, May 15th. Royalty Pharma’s dividend payout ratio (DPR) is presently 63.95%.

Insider Transactions at Royalty Pharma

In other news, EVP Marshall Urist sold 13,684 shares of Royalty Pharma stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $52.75, for a total transaction of $721,831.00. Following the sale, the executive vice president owned 18,197 shares of the company’s stock, valued at approximately $959,891.75. This trade represents a 42.92% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Terrance P. Coyne sold 34,791 shares of Royalty Pharma stock in a transaction that occurred on Tuesday, April 28th. The stock was sold at an average price of $49.78, for a total value of $1,731,895.98. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 169,577 shares of company stock valued at $8,234,191. 18.84% of the stock is owned by corporate insiders.

Institutional Trading of Royalty Pharma

Several institutional investors have recently modified their holdings of RPRX. Vestor Capital LLC lifted its position in shares of Royalty Pharma by 597.4% during the 1st quarter. Vestor Capital LLC now owns 83,688 shares of the biopharmaceutical company’s stock worth $4,014,000 after buying an additional 71,688 shares during the period. NewEdge Advisors LLC bought a new position in shares of Royalty Pharma during the 1st quarter worth approximately $207,000. Bank of America Corp DE lifted its position in shares of Royalty Pharma by 29.0% during the 1st quarter. Bank of America Corp DE now owns 3,495,846 shares of the biopharmaceutical company’s stock worth $167,696,000 after buying an additional 786,921 shares during the period. Bull Harbor Capital LLC bought a new position in shares of Royalty Pharma during the 1st quarter worth approximately $280,000. Finally, ADAR1 Capital Management LLC bought a new position in shares of Royalty Pharma during the 1st quarter worth approximately $240,000. Institutional investors and hedge funds own 54.35% of the company’s stock.

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.