Royalty Pharma PLC (NASDAQ:RPRX) Stock Has Average Target Price of $61.57 According to Brokerages

Shares of Royalty Pharma PLC (NASDAQ:RPRX) have received an average rating of “Buy” from the eight research firms that are currently covering the firm, MarketBeat reports. Eight investment analysts have rated the stock with a buy recommendation. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $61.57.

RPRX has been the subject of a number of analyst reports. The Goldman Sachs Group reiterated a “buy” rating and issued a $66.00 target price on shares of Royalty Pharma in a research note on Thursday, August 6th. JPMorgan Chase & Co. raised their price target 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. Weiss Ratings raised shares of Royalty Pharma from a “buy (b-)” rating to a “buy (b)” rating in a research note on Monday, September 14th. TD Cowen upped their price objective on shares of Royalty Pharma from $65.00 to $68.00 and gave the stock a “buy” rating in a report on Tuesday, September 8th. Finally, Bank of America reissued a “buy” rating on shares of Royalty Pharma in a research report on Wednesday, August 5th.

Royalty Pharma Trading Down 0.8%

Shares of Royalty Pharma stock traded down $0.45 during trading on Tuesday, hitting $57.33. The stock had a trading volume of 1,191,300 shares, compared to its average volume of 3,410,273. The stock has a 50 day simple moving average of $59.29 and a 200 day simple moving average of $55.43. The company has a market capitalization of $32.96 billion, a PE ratio of 39.51, a P/E/G ratio of 1.34 and a beta of 0.42. The company has a quick ratio of 2.80, a current ratio of 2.80 and a debt-to-equity ratio of 0.88. Royalty Pharma has a 1 year low of $35.50 and a 1 year high of $64.38.

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. Royalty Pharma had a return on equity of 30.01% and a net margin of 32.14%. The company had revenue of $674.14 million for the quarter, compared to analysts’ expectations of $758.93 million. On average, research analysts expect that Royalty Pharma will post 5.32 EPS for the current fiscal year.

Royalty Pharma Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Shareholders of record on Friday, August 14th were given a $0.2350 dividend. The ex-dividend date of this dividend was Friday, August 14th. This represents a $0.94 dividend on an annualized basis and a dividend yield of 1.6%. Royalty Pharma’s payout ratio is currently 64.83%.

Insider Transactions at Royalty Pharma

In related news, EVP Marshall Urist sold 4,126 shares of the firm’s stock in a transaction that occurred on Monday, October 5th. The stock was sold at an average price of $57.10, for a total value of $235,594.60. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Christopher Hite sold 100,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 22nd. The stock was sold at an average price of $58.53, for a total value of $5,853,000.00. Following the completion of the sale, the executive vice president owned 270,401 shares of the company’s stock, valued at approximately $15,826,570.53. This trade represents a 27.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 208,252 shares of company stock worth $12,324,407. 18.84% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Royalty Pharma

Large investors have recently made changes to their positions in the business. NorthCrest Asset Manangement LLC boosted its holdings in Royalty Pharma by 41.3% in the 3rd quarter. NorthCrest Asset Manangement LLC now owns 6,705 shares of the biopharmaceutical company’s stock valued at $377,000 after purchasing an additional 1,961 shares during the period. Wedmont Private Capital increased its holdings in shares of Royalty Pharma by 17.8% during the 3rd quarter. Wedmont Private Capital now owns 8,902 shares of the biopharmaceutical company’s stock worth $500,000 after purchasing an additional 1,345 shares during the period. Legacy Wealth Asset Management LLC acquired a new position in shares of Royalty Pharma during the third quarter valued at about $356,000. Congress Asset Management Co. bought a new stake in shares of Royalty Pharma in the third quarter valued at about $30,761,000. Finally, Ridgewood Investments LLC acquired a new stake in Royalty Pharma during the third quarter worth about $208,000. Institutional investors and hedge funds own 54.35% of the company’s stock.

Royalty Pharma Company Profile

Royalty Pharma plc is a biopharmaceutical royalty acquisition company that provides funding to life sciences companies in exchange for rights to future payments associated with approved or development-stage medicines. Its business model gives biotechnology and pharmaceutical companies access to capital while allowing Royalty Pharma to participate in the commercial success of therapies without directly developing or marketing them.

The company invests in royalties and other economic interests tied to a broad range of biopharmaceutical products, including treatments for cancer, rare diseases, immune disorders, diabetes and other chronic conditions.