CM Management LLC Acquires New Stake in Royalty Pharma PLC $RPRX

CM Management LLC bought a new stake in shares of Royalty Pharma PLC (NASDAQ:RPRX) in the third quarter, Holdings Channel reports. The firm bought 50,000 shares of the biopharmaceutical company’s stock, valued at approximately $1,764,000. Royalty Pharma comprises 1.5% of CM Management LLC’s investment portfolio, making the stock its 23rd largest position.

Other institutional investors also recently bought and sold shares of the company. Smartleaf Asset Management LLC lifted its position in shares of Royalty Pharma by 868.1% during the third quarter. Smartleaf Asset Management LLC now owns 881 shares of the biopharmaceutical company’s stock worth $31,000 after purchasing an additional 790 shares in the last quarter. Financial Consulate Inc. purchased a new stake in Royalty Pharma during the 3rd quarter worth approximately $35,000. Richardson Financial Services Inc. acquired a new stake in Royalty Pharma during the 3rd quarter worth approximately $54,000. Farther Finance Advisors LLC lifted its holdings in Royalty Pharma by 44.3% during the 3rd quarter. Farther Finance Advisors LLC now owns 2,060 shares of the biopharmaceutical company’s stock worth $73,000 after buying an additional 632 shares in the last quarter. Finally, Fifth Third Bancorp boosted its position in Royalty Pharma by 16.9% in the 3rd quarter. Fifth Third Bancorp now owns 2,499 shares of the biopharmaceutical company’s stock valued at $88,000 after buying an additional 362 shares during the period. 54.35% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at Royalty Pharma

In other news, EVP Marshall Urist sold 20,000 shares of the stock in a transaction dated Friday, January 23rd. The stock was sold at an average price of $40.26, for a total value of $805,200.00. Following the transaction, the executive vice president owned 20,000 shares in the company, valued at approximately $805,200. This represents a 50.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Terrance P. Coyne sold 114,954 shares of the firm’s stock in a transaction dated Tuesday, February 3rd. The stock was sold at an average price of $42.84, for a total value of $4,924,629.36. Following the sale, the chief financial officer directly owned 23,972 shares in the company, valued at $1,026,960.48. This trade represents a 82.74% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 737,078 shares of company stock valued at $29,862,002. 18.90% of the stock is currently owned by corporate insiders.

Royalty Pharma Price Performance

Shares of RPRX opened at $45.41 on Friday. The firm has a market capitalization of $26.20 billion, a price-to-earnings ratio of 33.64 and a beta of 0.40. The firm’s fifty day simple moving average is $42.54 and its 200-day simple moving average is $39.22. Royalty Pharma PLC has a twelve month low of $29.66 and a twelve month high of $47.86. The company has a current ratio of 2.40, a quick ratio of 2.40 and a debt-to-equity ratio of 0.88.

Royalty Pharma (NASDAQ:RPRX) last issued its earnings results on Wednesday, February 11th. The biopharmaceutical company reported $1.46 EPS for the quarter, topping analysts’ consensus estimates of $1.33 by $0.13. The firm had revenue of $621.99 million during the quarter, compared to the consensus estimate of $839.97 million. Royalty Pharma had a net margin of 32.38% and a return on equity of 28.21%. Equities analysts forecast that Royalty Pharma PLC will post 4.49 EPS for the current fiscal year.

Royalty Pharma Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Friday, February 20th will be given a dividend of $0.235 per share. The ex-dividend date of this dividend is Friday, February 20th. This represents a $0.94 annualized dividend and a dividend yield of 2.1%. This is an increase from Royalty Pharma’s previous quarterly dividend of $0.22. Royalty Pharma’s payout ratio is currently 69.63%.

Analysts Set New Price Targets

Several equities analysts have commented on RPRX shares. Morgan Stanley restated an “overweight” rating and issued a $61.00 price target on shares of Royalty Pharma in a research note on Thursday, February 12th. Wall Street Zen lowered Royalty Pharma from a “strong-buy” rating to a “buy” rating in a report on Saturday, February 14th. Citigroup boosted their target price on Royalty Pharma from $48.00 to $50.00 and gave the stock a “buy” rating in a research note on Tuesday, January 27th. TD Cowen restated a “buy” rating on shares of Royalty Pharma in a report on Friday, February 27th. Finally, Leerink Partners set a $45.00 price target on Royalty Pharma in a research report on Thursday, December 11th. Six analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Royalty Pharma has a consensus rating of “Buy” and an average target price of $48.67.

Royalty Pharma 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.