Analysts Set Royalty Pharma PLC (NASDAQ:RPRX) PT at $45.60

Royalty Pharma PLC (NASDAQ:RPRX) has earned a consensus rating of “Moderate Buy” from the six ratings firms that are currently covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a hold recommendation and five have given a buy recommendation to the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $45.60.

A number of analysts have recently weighed in on RPRX shares. Weiss Ratings lowered Royalty Pharma from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Saturday, October 25th. TD Cowen raised their price target on shares of Royalty Pharma from $42.00 to $45.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Wall Street Zen upgraded shares of Royalty Pharma from a “buy” rating to a “strong-buy” rating in a research report on Saturday. Cowen reiterated a “buy” rating on shares of Royalty Pharma in a report on Thursday, December 11th. Finally, Leerink Partners set a $45.00 price target on Royalty Pharma in a report on Thursday, December 11th.

Insider Buying and Selling at Royalty Pharma

In other news, CFO Terrance P. Coyne sold 69,594 shares of Royalty Pharma stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $39.30, for a total transaction of $2,735,044.20. Following the sale, the chief financial officer owned 54,760 shares of the company’s stock, valued at approximately $2,152,068. The trade was a 55.96% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP George W. Lloyd sold 132,426 shares of the firm’s stock in a transaction dated Wednesday, November 19th. The stock was sold at an average price of $38.34, for a total transaction of $5,077,212.84. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 936,093 shares of company stock valued at $36,499,945 over the last 90 days. Company insiders own 18.90% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Capital International Investors increased its position in Royalty Pharma by 24.4% during the 3rd quarter. Capital International Investors now owns 27,212,694 shares of the biopharmaceutical company’s stock valued at $960,064,000 after buying an additional 5,332,074 shares in the last quarter. Norges Bank bought a new position in Royalty Pharma in the 2nd quarter worth about $181,388,000. Dorsey Asset Management LLC purchased a new stake in Royalty Pharma during the 3rd quarter valued at about $82,924,000. Qube Research & Technologies Ltd increased its stake in Royalty Pharma by 737.3% during the 3rd quarter. Qube Research & Technologies Ltd now owns 2,481,771 shares of the biopharmaceutical company’s stock valued at $87,557,000 after purchasing an additional 2,185,366 shares in the last quarter. Finally, Millennium Management LLC raised its holdings in Royalty Pharma by 379.2% in the third quarter. Millennium Management LLC now owns 2,235,133 shares of the biopharmaceutical company’s stock worth $78,855,000 after buying an additional 1,768,702 shares during the last quarter. 54.35% of the stock is currently owned by institutional investors.

Royalty Pharma Stock Performance

NASDAQ:RPRX opened at $39.55 on Friday. The company has a market capitalization of $22.83 billion, a price-to-earnings ratio of 29.96, a PEG ratio of 1.90 and a beta of 0.43. The business has a 50 day moving average of $39.29 and a 200 day moving average of $37.43. The company has a debt-to-equity ratio of 0.89, a current ratio of 3.48 and a quick ratio of 3.48. Royalty Pharma has a 1-year low of $29.66 and a 1-year high of $41.70.

Royalty Pharma (NASDAQ:RPRX) last posted its quarterly earnings results on Wednesday, November 5th. The biopharmaceutical company reported $1.17 EPS for the quarter, topping the consensus estimate of $1.11 by $0.06. Royalty Pharma had a net margin of 32.51% and a return on equity of 26.36%. The firm had revenue of $609.29 million for the quarter, compared to the consensus estimate of $765.01 million. On average, sell-side analysts predict that Royalty Pharma will post 4.49 earnings per share for the current fiscal year.

Royalty Pharma Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 10th. Investors of record on Friday, February 20th will be issued a dividend of $0.235 per share. This is a boost from Royalty Pharma’s previous quarterly dividend of $0.22. This represents a $0.94 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Friday, February 20th. Royalty Pharma’s dividend payout ratio is currently 71.21%.

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.