Royalty Pharma (NASDAQ:RPRX) Sets New 52-Week High – Still a Buy?

Royalty Pharma PLC (NASDAQ:RPRX) reached a new 52-week high on Monday. The company traded as high as $65.01 and last traded at $65.1190, with a volume of 101,514 shares. The stock had previously closed at $63.86.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on RPRX shares. Weiss Ratings raised Royalty Pharma from a “buy (b-)” rating to a “buy (b)” rating in a research note on Monday, September 14th. Wall Street Zen lowered shares of Royalty Pharma from a “strong-buy” rating to a “buy” rating in a research note on Saturday, September 26th. JPMorgan Chase & Co. lifted their price objective on shares of Royalty Pharma from $58.00 to $62.00 and gave the company an “overweight” rating in a report on Friday, August 7th. Bank of America reaffirmed a “buy” rating on shares of Royalty Pharma in a research note on Wednesday, August 5th. Finally, Morgan Stanley increased their target price on shares of Royalty Pharma from $65.00 to $67.00 and gave the stock an “overweight” rating in a report on Wednesday, October 7th. Eight research analysts have rated the stock with a Buy rating. According to data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $61.57.

Royalty Pharma Stock Up 1.2%

The company has a market capitalization of $37.15 billion, a price-to-earnings ratio of 44.62, a PEG ratio of 1.75 and a beta of 0.42. The firm’s 50 day simple moving average is $59.83 and its 200-day simple moving average is $56.28. The company has a current ratio of 2.80, a quick ratio of 2.80 and a debt-to-equity ratio of 0.88.

Royalty Pharma (NASDAQ:RPRX) last announced its quarterly earnings data on Wednesday, August 5th. The biopharmaceutical company reported $1.32 earnings per share for the quarter, beating analysts’ consensus estimates of $1.27 by $0.05. The company had revenue of $674.14 million for the quarter, compared to analyst estimates of $758.93 million. Royalty Pharma had a return on equity of 30.01% and a net margin of 32.14%. On average, sell-side analysts anticipate that Royalty Pharma PLC will post 5.29 EPS for the current fiscal year.

Royalty Pharma Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Friday, November 13th will be issued a $0.2350 dividend. The ex-dividend date of this dividend is Friday, November 13th. This represents a $0.94 dividend on an annualized basis and a yield of 1.5%. Royalty Pharma’s dividend payout ratio (DPR) is 64.83%.

Insider Buying and Selling

In other Royalty Pharma news, EVP Christopher Hite sold 100,000 shares of the business’s stock in a transaction on Tuesday, September 22nd. The stock was sold at an average price of $58.53, for a total transaction of $5,853,000.00. Following the sale, the executive vice president directly owned 270,401 shares in the company, valued at approximately $15,826,570.53. The trade was a 27.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed 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 business’s stock in a transaction dated Monday, October 5th. The stock was sold at an average price of $57.10, for a total transaction of $235,594.60. 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 quarter, insiders have sold 208,252 shares of company stock valued at $12,324,407. Insiders own 18.84% of the company’s stock.

Hedge Funds Weigh In On Royalty Pharma

Several institutional investors and hedge funds have recently modified their holdings of RPRX. Viewpoint Investment Partners Corp acquired a new stake in Royalty Pharma in the 3rd quarter worth about $479,000. Signaturefd LLC raised its stake in shares of Royalty Pharma by 13.4% in the 3rd quarter. Signaturefd LLC now owns 4,818 shares of the biopharmaceutical company’s stock valued at $281,000 after acquiring an additional 569 shares during the period. Wedbush Securities Inc. purchased a new stake in Royalty Pharma during the 3rd quarter worth $250,000. Yousif Capital Management LLC grew its stake in shares of Royalty Pharma by 7.0% in the third quarter. Yousif Capital Management LLC now owns 7,424 shares of the biopharmaceutical company’s stock valued at $433,000 after buying an additional 485 shares in the last quarter. Finally, MBL Wealth LLC lifted its position in Royalty Pharma by 7.3% during the 3rd quarter. MBL Wealth LLC now owns 3,908 shares of the biopharmaceutical company’s stock worth $228,000 after acquiring an additional 266 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 (NASDAQ:RPRX) is a biopharmaceutical royalty investment company that provides funding to life sciences companies, academic institutions, and other organizations in exchange for rights to future payments tied to approved or development-stage medicines. Its business model gives innovators access to capital while allowing Royalty Pharma to participate in the long-term commercial success of pharmaceutical products.

The company acquires and manages royalty interests across a broad range of therapeutic areas, including immunology, oncology, neuroscience, rare diseases, and infectious diseases.