RPRX$45.15
$46.47
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AI RPRX Summary
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Powered by LiveAIOverall Analysis
BuyRoyalty Pharma plc demonstrates solid fundamental strength with consistent profitability and a strong balance sheet, supported by a moderate dividend yield. While technical indicators show a bullish trend, some short-term oscillators suggest caution due to potential overbought conditions. The company operates in a stable sector with less pronounced thematic tailwinds compared to high-growth tech, but its core business model provides resilience.
Thematic
Royalty Pharma operates in the biopharmaceutical royalty sector, which benefits from long-term healthcare trends and innovation. However, it lacks the strong, disruptive thematic tailwinds seen in areas like AI or renewable energy. Its focus on royalties provides a steady, albeit less explosive, growth profile.
Fundamental
Royalty Pharma exhibits strong profitability with healthy net margins and impressive revenue-to-profit conversion. Its balance sheet is robust, with manageable debt levels and significant cash equivalents, providing financial flexibility. The company also offers a consistent dividend yield.
Technical
The stock is trading above key moving averages, indicating a generally bullish trend. However, some oscillators are in overbought territory, suggesting potential for short-term consolidation or a minor pullback. Investor sentiment appears cautiously optimistic.
| Factor | Score |
|---|---|
| Healthcare Innovation & Demand | 80 |
| Royalty-Based Business Model | 70 |
| Regulatory Environment (Pharma) | 50 |
| Market Saturation & Competition | 60 |
| Factor | Score |
|---|---|
| Valuation | 80 |
| Profitability | 95 |
| Growth | 50 |
| Balance Sheet Health | 75 |
| Cash Flow | 85 |
| Dividends | 70 |
| Factor | Score |
|---|---|
| Trend Analysis | 85 |
| Momentum | 70 |
| Volume Confirmation | 60 |
| Support & Resistance | 65 |
AI Investing Checklist
Powered by LiveAIBullish Points (7)
Strong Earnings Growth
Quarterly earnings (EPS) showed positive surprises in multiple recent quarters (e.g., 9.02% in Q1 2025, 8.79% in Q4 2024), indicating consistent profitability above analyst expectations.
Attractive Valuation Metrics
The Price-to-Earnings (P/E) ratio of 14.93 (TTM) and Price-to-Sales (P/S) ratio of 11.9 (TTM) suggest a potentially reasonable valuation given the company's market capitalization and revenue.
Bearish Points (7)
Significant EPS Surprise Miss
The company missed the EPS estimate in Q2 2025 by a significant margin (-59.09%), indicating potential short-term profitability challenges.
High Valuation Multiples in Certain Periods
While TTM P/E is reasonable, quarterly P/E ratios can be extremely high (e.g., 54.7 in Q1 2025, 50.9 in Q4 2024, 3226.9 in Q1 2024), suggesting that current market pricing may be elevated relative to recent earnings.
Calendar
August 2025
6
Next Earnings Date
H: $1.13
A: $1.02
L: $0.86
H: 723.03M
A: 693.74M
L: 641.00M
August 2025
15
Ex-Dividend Date
September 2025
10
Next Dividend Date
Profile
Royalty Pharma plc operates as a buyer of biopharmaceutical royalties and a funder of innovation in the biopharmaceutical industry in the United States. Its portfolio consists of royalties on approximately 35 marketed therapies and 14 development-stage product candidates that address various therapeutic areas, such as rare disease, cancer, neuroscience, infectious disease, hematology, and diabetes. The company was founded in 1996 and is based in New York, New York.
Seasonals
Price Target
42.15 USD
The 39 analysts offering 1 year price forecasts for RPRX have a max estimate of 54.00 and a min estimate of 32.19.
Debt Level and Coverage
Financial Position Analysis
Ownership
Capital Structure
Valuation - Summary
Valuation - Ratios
Revenue to Profit Conversion
Balance Sheet
Income Statement
Cash Flow
Related Companies
Powered by LiveAIWeight: 95
Operates a similar business model to Royalty Pharma, focusing on drug discovery partnerships and acquiring royalty streams from commercialized products, making it a direct comparable in the biopharmaceutical royalty space.
Weight: 92
A key pharmaceutical company from which Royalty Pharma derives significant royalty payments, particularly from its successful cystic fibrosis drug franchise (e.g., Trikafta/Kaftrio).
Weight: 90
One of the largest global pharmaceutical companies with a vast pipeline and numerous commercialized drugs, making it a frequent source of potential royalty-generating assets and a strong strategic fit for RPRX's investment thesis.
Weight: 90
A diversified healthcare giant with a robust pharmaceutical division and a strong track record of drug innovation, representing a significant source of high-value royalty opportunities for firms like RPRX.