Royalty Pharma (NASDAQ:RPRX) Hits New 52-Week High on Earnings Beat

Royalty Pharma plc (NASDAQ:RPRX) shares reached a new 52-week high on Tuesday following a better than expected earnings announcement. The company traded as high as $32.72 and last traded at $32.15, with a volume of 1138540 shares trading hands. The stock had previously closed at $31.72.

The biopharmaceutical company reported $1.15 earnings per share for the quarter, topping analysts’ consensus estimates of $0.99 by $0.16. Royalty Pharma had a net margin of 50.53% and a return on equity of 24.65%.

Royalty Pharma Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 10th. Shareholders of record on Friday, February 21st will be given a dividend of $0.22 per share. The ex-dividend date of this dividend is Friday, February 21st. This is a boost from Royalty Pharma’s previous quarterly dividend of $0.21. This represents a $0.88 annualized dividend and a yield of 2.76%. Royalty Pharma’s payout ratio is 43.52%.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the stock. TD Cowen raised shares of Royalty Pharma to a “strong-buy” rating in a research report on Tuesday, December 24th. Citigroup cut their price target on shares of Royalty Pharma from $60.00 to $40.00 and set a “buy” rating on the stock in a research report on Friday, October 25th. Finally, StockNews.com raised shares of Royalty Pharma from a “hold” rating to a “buy” rating in a research report on Tuesday, November 5th. One research analyst has rated the stock with a hold rating, six have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Buy” and a consensus target price of $41.67.

Institutional Investors Weigh In On Royalty Pharma

Institutional investors and hedge funds have recently modified their holdings of the company. Brooklyn Investment Group raised its holdings in shares of Royalty Pharma by 1,006.9% in the 4th quarter. Brooklyn Investment Group now owns 963 shares of the biopharmaceutical company’s stock valued at $25,000 after purchasing an additional 876 shares during the period. Allworth Financial LP raised its holdings in shares of Royalty Pharma by 417.6% in the 4th quarter. Allworth Financial LP now owns 1,087 shares of the biopharmaceutical company’s stock valued at $28,000 after purchasing an additional 877 shares during the period. Blue Trust Inc. raised its holdings in shares of Royalty Pharma by 362.7% in the 3rd quarter. Blue Trust Inc. now owns 1,203 shares of the biopharmaceutical company’s stock valued at $32,000 after purchasing an additional 943 shares during the period. Riverview Trust Co grew its stake in Royalty Pharma by 3,953.3% in the 4th quarter. Riverview Trust Co now owns 1,216 shares of the biopharmaceutical company’s stock valued at $31,000 after buying an additional 1,186 shares during the last quarter. Finally, Fifth Third Bancorp grew its stake in Royalty Pharma by 187.1% in the 4th quarter. Fifth Third Bancorp now owns 1,530 shares of the biopharmaceutical company’s stock valued at $39,000 after buying an additional 997 shares during the last quarter. 54.35% of the stock is owned by institutional investors.

Royalty Pharma Stock Performance

The firm has a market cap of $18.78 billion, a price-to-earnings ratio of 16.50 and a beta of 0.49. The stock’s 50 day moving average is $27.93 and its 200 day moving average is $27.65. The company has a current ratio of 1.54, a quick ratio of 1.54 and a debt-to-equity ratio of 0.64.

About Royalty Pharma

Royalty Pharma plc operates as a buyer of biopharmaceutical royalties and a funder of innovations in the biopharmaceutical industry in the United States. It is also involved in the identification, evaluation, and acquisition of royalties on various biopharmaceutical therapies. In addition, the company collaborates with innovators from academic institutions, research hospitals and not-for-profits, small and mid-cap biotechnology companies, and pharmaceutical companies.