Royalty Pharma (NASDAQ:RPRX) Hits New 12-Month High – Should You Buy?

Royalty Pharma PLC (NASDAQ:RPRX)’s stock price reached a new 52-week high during mid-day trading on Wednesday. The company traded as high as $69.83 and last traded at $69.07, with a volume of 452,424 shares trading hands. The stock had previously closed at $69.45.

Analysts Set New Price Targets

Several equities analysts recently issued reports on the stock. The Goldman Sachs Group reissued a “buy” rating and set a $66.00 price objective on shares of Royalty Pharma in a research note on Thursday, August 6th. Morgan Stanley boosted their price target on Royalty Pharma from $65.00 to $67.00 and gave the company an “overweight” rating in a report on Wednesday, October 7th. Wall Street Zen downgraded Royalty Pharma from a “strong-buy” rating to a “buy” rating in a report on Saturday, September 26th. TD Cowen increased their price target on Royalty Pharma from $65.00 to $68.00 and gave the stock a “buy” rating in a research note on Tuesday, September 8th. Finally, Weiss Ratings upgraded Royalty Pharma from a “buy (b-)” rating to a “buy (b)” rating in a report on Monday, September 14th. Eight equities research analysts have rated the stock with a Buy rating. Based on data from MarketBeat.com, Royalty Pharma has a consensus rating of “Buy” and a consensus target price of $63.29.

Royalty Pharma Price Performance

The company’s fifty day moving average is $61.13 and its 200 day moving average is $54.10. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.77. The stock has a market cap of $40.00 billion, a PE ratio of 57.98, a price-to-earnings-growth ratio of 1.36 and a beta of 0.37.

Royalty Pharma Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Friday, November 13th will be paid a dividend of $0.2350 per share. The ex-dividend date is Friday, November 13th. This represents a $0.94 dividend on an annualized basis and a dividend yield of 1.4%. Royalty Pharma’s dividend payout ratio (DPR) is currently 78.33%.

Insider Buying and Selling at Royalty Pharma

In related news, EVP Christopher Hite sold 100,000 shares of the company’s stock in a transaction on Tuesday, September 22nd. The shares were sold at an average price of $58.53, for a total value of $5,853,000.00. Following the sale, the executive vice president directly owned 270,401 shares of the company’s stock, valued at $15,826,570.53. This represents a 27.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Marshall Urist sold 4,126 shares of the company’s stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $57.10, for a total transaction of $235,594.60. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 208,252 shares of company stock worth $12,324,407 in the last ninety days. 18.84% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Royalty Pharma

Institutional investors have recently modified their holdings of the business. Hsbc Holdings PLC increased its position in Royalty Pharma by 2,562.2% in the first quarter. Hsbc Holdings PLC now owns 1,544,018 shares of the biopharmaceutical company’s stock worth $74,000,000 after buying an additional 1,486,020 shares during the period. Renaissance Technologies LLC bought a new stake in shares of Royalty Pharma during the 1st quarter worth $37,941,000. Bank of America Corp DE raised its position in shares of Royalty Pharma by 29.0% during the first quarter. Bank of America Corp DE now owns 3,495,846 shares of the biopharmaceutical company’s stock worth $167,696,000 after purchasing an additional 786,921 shares during the period. Carmignac Gestion acquired a new position in shares of Royalty Pharma in the 1st quarter valued at $30,279,000. Finally, Congress Asset Management Co. acquired a new position in shares of Royalty Pharma in the third quarter worth about $30,761,000. Institutional investors own 54.35% of the company’s stock.

Royalty Pharma Company Profile

Royalty Pharma plc is a biopharmaceutical royalty company that provides funding to companies and inventors in exchange for royalty interests in medicines. It acquires existing royalties and helps finance drug development and commercialization through royalty-based transactions and other forms of funding. The company’s portfolio includes royalty interests in medicines across a range of therapeutic areas, spanning both approved treatments and products in development. Royalty Pharma generally earns revenue when these medicines are sold; it does not operate as a conventional drug manufacturer or commercialize medicines itself.