Royalty Pharma (NASDAQ:RPRX) Reaches New 12-Month High – Still a Buy?

Royalty Pharma PLC (NASDAQ:RPRX) shares hit a new 52-week high on Tuesday . The company traded as high as $62.58 and last traded at $62.2280, with a volume of 110214 shares. The stock had previously closed at $61.41.

Analyst Ratings Changes

A number of analysts have commented on the stock. The Goldman Sachs Group reaffirmed a “buy” rating and set a $66.00 price objective on shares of Royalty Pharma in a research note on Thursday, August 6th. Morgan Stanley restated an “overweight” rating and set a $65.00 price target on shares of Royalty Pharma in a report on Thursday, August 6th. Weiss Ratings restated a “buy (b-)” rating on shares of Royalty Pharma in a research report on Wednesday, August 12th. JPMorgan Chase & Co. raised their price objective on shares of Royalty Pharma from $58.00 to $62.00 and gave the stock an “overweight” rating in a research note on Friday, August 7th. Finally, Citigroup lifted their price objective on shares of Royalty Pharma from $50.00 to $66.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Eight research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Royalty Pharma presently has an average rating of “Buy” and an average target price of $60.86.

Royalty Pharma Stock Performance

The firm has a 50 day moving average of $58.64 and a 200-day moving average of $52.88. The stock has a market capitalization of $36.29 billion, a PE ratio of 43.52, a P/E/G ratio of 1.45 and a beta of 0.44. The company has a debt-to-equity ratio of 0.88, a quick ratio of 2.80 and a current ratio of 2.80.

Royalty Pharma (NASDAQ:RPRX) last released its earnings results on Wednesday, August 5th. The biopharmaceutical company reported $1.32 earnings per share for the quarter, beating the consensus estimate of $1.27 by $0.05. The company had revenue of $674.14 million for the quarter, compared to analysts’ expectations of $758.93 million. Royalty Pharma had a return on equity of 30.01% and a net margin of 32.14%. Research analysts forecast that Royalty Pharma PLC will post 5.3 earnings per share for the current year.

Royalty Pharma Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Friday, August 14th will be issued a dividend of $0.235 per share. This represents a $0.94 annualized dividend and a dividend yield of 1.5%. The ex-dividend date is Friday, August 14th. Royalty Pharma’s dividend payout ratio (DPR) is currently 64.83%.

Insider Buying and Selling

In other Royalty Pharma news, EVP Marshall Urist sold 9,099 shares of the stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $55.88, for a total value of $508,452.12. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Christopher Hite sold 150,000 shares of Royalty Pharma stock in a transaction on Tuesday, June 23rd. The shares were sold at an average price of $54.40, for a total transaction of $8,160,000.00. Following the sale, the executive vice president directly owned 559,399 shares of the company’s stock, valued at $30,431,305.60. This trade represents a 21.14% 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 398,197 shares of company stock worth $22,513,280 over the last ninety days. 18.84% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Royalty Pharma

Hedge funds have recently modified their holdings of the stock. Phillips Wealth Planners LLC boosted its position in Royalty Pharma by 1.9% during the fourth quarter. Phillips Wealth Planners LLC now owns 13,113 shares of the biopharmaceutical company’s stock valued at $521,000 after purchasing an additional 242 shares during the last quarter. Strs Ohio increased its position in Royalty Pharma by 2.8% in the 4th quarter. Strs Ohio now owns 9,318 shares of the biopharmaceutical company’s stock worth $360,000 after purchasing an additional 252 shares during the last quarter. Glenmede Trust Co. NA increased its position in Royalty Pharma by 3.4% in the 1st quarter. Glenmede Trust Co. NA now owns 7,812 shares of the biopharmaceutical company’s stock worth $375,000 after purchasing an additional 254 shares during the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd raised its stake in shares of Royalty Pharma by 0.6% during the 4th quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 43,287 shares of the biopharmaceutical company’s stock worth $1,673,000 after purchasing an additional 255 shares in the last quarter. Finally, Cary Street Partners Financial LLC raised its stake in shares of Royalty Pharma by 1.1% during the 4th quarter. Cary Street Partners Financial LLC now owns 24,405 shares of the biopharmaceutical company’s stock worth $943,000 after purchasing an additional 260 shares in the last quarter. 54.35% of the stock is owned by institutional investors and hedge funds.

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.