Royalty Pharma PLC (NASDAQ:RPRX) Receives Consensus Recommendation of “Buy” from Brokerages

Royalty Pharma PLC (NASDAQ:RPRX) has been assigned a consensus recommendation of “Buy” from the seven brokerages that are currently covering the company, MarketBeat reports. Seven analysts have rated the stock with a buy recommendation. The average 12-month price target among analysts that have issued ratings on the stock in the last year is $53.7143.

A number of equities research analysts have recently commented on RPRX shares. Weiss Ratings downgraded Royalty Pharma from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, May 15th. UBS Group increased their price objective on Royalty Pharma from $51.00 to $57.00 and gave the company a “buy” rating in a research report on Tuesday, April 21st. TD Cowen reiterated a “buy” rating on shares of Royalty Pharma in a research report on Friday, February 27th. Wall Street Zen upgraded Royalty Pharma from a “buy” rating to a “strong-buy” rating in a research report on Saturday, May 9th. Finally, JPMorgan Chase & Co. increased their price objective on Royalty Pharma from $50.00 to $58.00 and gave the company an “overweight” rating in a research report on Thursday, May 7th.

Royalty Pharma Stock Up 1.4%

RPRX stock opened at $55.63 on Wednesday. Royalty Pharma has a 12 month low of $33.40 and a 12 month high of $56.50. The firm has a 50 day simple moving average of $51.15 and a 200 day simple moving average of $45.28. The firm has a market cap of $32.03 billion, a PE ratio of 37.84, a P/E/G ratio of 1.51 and a beta of 0.43. The company has a debt-to-equity ratio of 0.86, a current ratio of 2.66 and a quick ratio of 2.66.

Royalty Pharma (NASDAQ:RPRX) last announced its quarterly earnings data on Wednesday, May 6th. The biopharmaceutical company reported $1.30 EPS for the quarter, beating analysts’ consensus estimates of $1.22 by $0.08. Royalty Pharma had a return on equity of 29.25% and a net margin of 33.88%.The company had revenue of $630.58 million during the quarter, compared to the consensus estimate of $881.69 million. Equities research analysts forecast that Royalty Pharma will post 5.05 earnings per share for the current fiscal year.

Royalty Pharma Dividend Announcement

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

Insider Activity

In other news, CFO Terrance P. Coyne sold 64,399 shares of the stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $53.98, for a total transaction of $3,476,258.02. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gregory Norden sold 3,045 shares of the stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $53.00, for a total value of $161,385.00. Following the completion of the sale, the director owned 191,803 shares of the company’s stock, valued at $10,165,559. The trade was a 1.56% decrease in their position. 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 sold 199,185 shares of company stock worth $10,082,926. Insiders own 18.84% of the company’s stock.

Institutional Trading of Royalty Pharma

Hedge funds have recently modified their holdings of the business. LM Advisors LLC purchased a new stake in shares of Royalty Pharma in the fourth quarter valued at $26,000. Lloyd Advisory Services LLC. purchased a new stake in shares of Royalty Pharma in the fourth quarter valued at $30,000. Smartleaf Asset Management LLC lifted its holdings in shares of Royalty Pharma by 868.1% in the third quarter. Smartleaf Asset Management LLC now owns 881 shares of the biopharmaceutical company’s stock valued at $31,000 after purchasing an additional 790 shares in the last quarter. Private Trust Co. NA lifted its holdings in shares of Royalty Pharma by 52.9% in the fourth quarter. Private Trust Co. NA now owns 832 shares of the biopharmaceutical company’s stock valued at $32,000 after purchasing an additional 288 shares in the last quarter. Finally, Blue Trust Inc. lifted its holdings in shares of Royalty Pharma by 173.4% in the first quarter. Blue Trust Inc. now owns 689 shares of the biopharmaceutical company’s stock valued at $33,000 after purchasing an additional 437 shares in the last quarter. Hedge funds and other institutional investors own 54.35% of the company’s stock.

About Royalty Pharma

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.