Wall Street Zen Downgrades Royalty Pharma (NASDAQ:RPRX) to Buy

Royalty Pharma (NASDAQ:RPRX) was downgraded by equities researchers at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a report issued on Saturday.

Other research analysts have also recently issued reports about the company. The Goldman Sachs Group restated a “buy” rating on shares of Royalty Pharma in a research note on Thursday. TD Cowen reiterated a “buy” rating on shares of Royalty Pharma in a report on Thursday, December 11th. UBS Group raised Royalty Pharma from a “neutral” rating to a “buy” rating and set a $49.00 target price on the stock in a research note on Friday, January 30th. Leerink Partners set a $45.00 target price on Royalty Pharma in a report on Thursday, December 11th. Finally, Weiss Ratings raised Royalty Pharma from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday. Six research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company has an average rating of “Buy” and an average price target of $48.67.

Royalty Pharma Trading Up 0.9%

Shares of RPRX stock opened at $45.19 on Friday. Royalty Pharma has a 1-year low of $29.66 and a 1-year high of $45.91. The firm has a market cap of $26.09 billion, a PE ratio of 33.47, a price-to-earnings-growth ratio of 1.72 and a beta of 0.42. The company has a 50-day moving average of $40.40 and a two-hundred day moving average of $38.27. The company has a debt-to-equity ratio of 0.88, a current ratio of 2.40 and a quick ratio of 3.48.

Royalty Pharma (NASDAQ:RPRX) last released its quarterly earnings results on Wednesday, February 11th. The biopharmaceutical company reported $1.46 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.33 by $0.13. The business had revenue of $621.99 million for 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%. On average, analysts predict that Royalty Pharma will post 4.49 EPS for the current year.

Insider Activity

In other news, EVP Marshall Urist sold 20,000 shares of Royalty Pharma stock in a transaction dated Friday, January 30th. The stock was sold at an average price of $41.09, for a total value of $821,800.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Terrance P. Coyne sold 20,163 shares of the business’s stock in a transaction dated Wednesday, February 4th. The stock was sold at an average price of $43.29, for a total value of $872,856.27. Following the transaction, the chief financial officer directly owned 22,885 shares of the company’s stock, valued at approximately $990,691.65. This represents a 46.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 1,309,216 shares of company stock worth $52,015,364. 18.90% of the stock is owned by company insiders.

Institutional Investors Weigh In On Royalty Pharma

Large investors have recently modified their holdings of the company. Royal Bank of Canada lifted its position in shares of Royalty Pharma by 367.7% during the 1st quarter. Royal Bank of Canada now owns 203,760 shares of the biopharmaceutical company’s stock worth $6,342,000 after purchasing an additional 160,191 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Royalty Pharma by 20.3% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 79,990 shares of the biopharmaceutical company’s stock worth $2,490,000 after acquiring an additional 13,489 shares in the last quarter. Focus Partners Wealth purchased a new position in shares of Royalty Pharma in the 1st quarter valued at about $264,000. Intech Investment Management LLC raised its position in shares of Royalty Pharma by 41.0% during the 1st quarter. Intech Investment Management LLC now owns 47,992 shares of the biopharmaceutical company’s stock worth $1,494,000 after acquiring an additional 13,951 shares in the last quarter. Finally, Sequoia Financial Advisors LLC purchased a new stake in Royalty Pharma during the second quarter worth approximately $233,000. 54.35% of the stock is owned by hedge funds and other institutional investors.

About Royalty Pharma

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.