JPMorgan Chase & Co. Raises Royalty Pharma (NASDAQ:RPRX) Price Target to $62.00

Royalty Pharma (NASDAQ:RPRX) had its target price raised by JPMorgan Chase & Co. from $58.00 to $62.00 in a research note issued on Friday,Benzinga reports. The firm currently has an “overweight” rating on the biopharmaceutical company’s stock. JPMorgan Chase & Co.‘s price target would suggest a potential upside of 8.70% from the company’s previous close.

Other research analysts have also issued research reports about the company. The Goldman Sachs Group reaffirmed a “buy” rating and set a $66.00 price target on shares of Royalty Pharma in a research report on Thursday. Citigroup lifted their price objective on Royalty Pharma from $50.00 to $66.00 and gave the company a “buy” rating in a research report on Thursday, May 7th. UBS Group increased their price objective on shares of Royalty Pharma from $51.00 to $57.00 and gave the company a “buy” rating in a report on Tuesday, April 21st. Bank of America restated a “buy” rating on shares of Royalty Pharma in a research report on Wednesday. Finally, TD Cowen raised their price target on Royalty Pharma from $50.00 to $65.00 and gave the company a “buy” rating in a research note on Monday, July 13th. Eight analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the stock presently has an average rating of “Buy” and an average target price of $60.86.

Royalty Pharma Stock Performance

Shares of NASDAQ RPRX traded down $0.22 during trading on Friday, reaching $57.04. 817,802 shares of the stock traded hands, compared to its average volume of 3,537,848. The stock has a market capitalization of $32.84 billion, a P/E ratio of 39.38, a price-to-earnings-growth ratio of 10.11 and a beta of 0.43. The company has a debt-to-equity ratio of 0.88, a current ratio of 2.80 and a quick ratio of 2.66. The company has a 50-day moving average of $56.45 and a 200-day moving average of $50.42. Royalty Pharma has a 52-week low of $34.08 and a 52-week high of $60.44.

Royalty Pharma (NASDAQ:RPRX) last announced its quarterly earnings results on Wednesday, August 5th. The biopharmaceutical company reported $1.32 EPS for the quarter, beating analysts’ consensus estimates of $1.27 by $0.05. Royalty Pharma had a net margin of 32.14% and a return on equity of 30.01%. The company had revenue of $674.14 million for the quarter, compared to analysts’ expectations of $758.93 million. Analysts forecast that Royalty Pharma will post 5.24 EPS for the current fiscal year.

Insider Transactions at Royalty Pharma

In other news, CFO Terrance P. Coyne sold 64,399 shares of the stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $53.98, for a total value of $3,476,258.02. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Christopher Hite sold 100,000 shares of the firm’s stock in a transaction dated Tuesday, June 30th. The stock was sold at an average price of $56.52, for a total transaction of $5,652,000.00. Following the completion of the transaction, the executive vice president directly owned 459,399 shares in the company, valued at approximately $25,965,231.48. This represents a 17.88% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 393,009 shares of company stock valued at $21,601,827. Insiders own 18.84% of the company’s stock.

Institutional Trading of Royalty Pharma

Several large investors have recently bought and sold shares of the business. Morgan Stanley raised its position in Royalty Pharma by 25.2% in the fourth quarter. Morgan Stanley now owns 55,274,069 shares of the biopharmaceutical company’s stock valued at $2,135,790,000 after purchasing an additional 11,110,115 shares during the period. Capital International Investors increased its holdings in Royalty Pharma by 14.3% in the 4th quarter. Capital International Investors now owns 31,104,309 shares of the biopharmaceutical company’s stock valued at $1,201,870,000 after purchasing an additional 3,891,615 shares during the last quarter. Norges Bank purchased a new stake in Royalty Pharma in the fourth quarter valued at approximately $131,923,000. Qube Research & Technologies Ltd lifted its stake in Royalty Pharma by 737.3% during the third quarter. Qube Research & Technologies Ltd now owns 2,481,771 shares of the biopharmaceutical company’s stock worth $87,557,000 after purchasing an additional 2,185,366 shares in the last quarter. Finally, Millennium Management LLC boosted its position in shares of Royalty Pharma by 379.2% during 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 period. Hedge funds and other 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.