Royalty Pharma (NASDAQ:RPRX) Hits New 1-Year High – What’s Next?

Royalty Pharma PLC (NASDAQ:RPRX) shares hit a new 52-week high during mid-day trading on Monday . The company traded as high as $56.29 and last traded at $56.3110, with a volume of 2862 shares. The stock had previously closed at $55.87.

Analysts Set New Price Targets

Several research firms recently commented on RPRX. Citigroup boosted their target price on Royalty Pharma from $50.00 to $66.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. UBS Group boosted 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. Wall Street Zen raised shares of Royalty Pharma from a “buy” rating to a “strong-buy” rating in a research note on Saturday, May 9th. The Goldman Sachs Group reaffirmed a “buy” rating on shares of Royalty Pharma in a research note on Thursday, February 12th. Finally, TD Cowen reiterated a “buy” rating on shares of Royalty Pharma in a research report on Friday, February 27th. Seven equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, the stock currently has an average rating of “Buy” and an average target price of $53.71.

Royalty Pharma Price Performance

The company has a debt-to-equity ratio of 0.86, a quick ratio of 2.66 and a current ratio of 2.66. The business has a 50-day simple moving average of $50.81 and a 200 day simple moving average of $45.05. The firm has a market cap of $32.32 billion, a P/E ratio of 38.31, a price-to-earnings-growth ratio of 1.54 and a beta of 0.43.

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

Royalty Pharma Dividend Announcement

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

Insider Transactions at Royalty Pharma

In related news, EVP Marshall Urist sold 13,684 shares of the company’s stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $52.75, for a total value of $721,831.00. Following the sale, the executive vice president owned 18,197 shares in the company, valued at $959,891.75. This represents a 42.92% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gregory Norden sold 3,045 shares of Royalty Pharma stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $53.00, for a total value of $161,385.00. Following the completion of the transaction, the director directly owned 191,803 shares of the company’s stock, valued at approximately $10,165,559. This represents 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. Insiders have sold a total of 199,185 shares of company stock valued at $10,082,926 in the last ninety days. 18.84% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Royalty Pharma

Several hedge funds and other institutional investors have recently bought and sold shares of RPRX. LM Advisors LLC purchased a new stake in shares of Royalty Pharma during the 4th quarter valued at about $26,000. Blue Trust Inc. lifted its position in Royalty Pharma by 173.4% during 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 during the period. Lloyd Advisory Services LLC. purchased a new stake in Royalty Pharma in the fourth quarter worth approximately $30,000. Private Trust Co. NA boosted its holdings in Royalty Pharma by 52.9% in the fourth 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. Finally, Smartleaf Asset Management LLC grew its position in Royalty Pharma by 868.1% in the 3rd quarter. Smartleaf Asset Management LLC now owns 881 shares of the biopharmaceutical company’s stock worth $31,000 after purchasing an additional 790 shares during the period. Institutional investors 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.