ROYALTY PHARMA PLC- CL A (RPRX) Stock Fundamental Analysis
USA - NASDAQ:RPRX - GB00BMVP7Y09 - Common Stock
40.29 USD
+2.45 (+6.47%)
We assign a fundamental rating of 5 out of 10 to RPRX. RPRX was compared to 192 industry peers in the Pharmaceuticals industry. RPRX scores excellent on profitability, but there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on RPRX.
1. Profitability
1.1 Basic Checks
In the past year RPRX was profitable.
In the past year RPRX had a positive cash flow from operations.
In the past 5 years RPRX has always been profitable.
Each year in the past 5 years RPRX had a positive operating cash flow.
1.2 Ratios
RPRX's Return On Assets of 5.57% is amongst the best of the industry. RPRX outperforms 89.06% of its industry peers.
With an excellent Return On Equity value of 16.08%, RPRX belongs to the best of the industry, outperforming 90.10% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.50%, RPRX belongs to the top of the industry, outperforming 85.94% of the companies in the same industry.
RPRX had an Average Return On Invested Capital over the past 3 years of 5.98%. This is significantly below the industry average of 15.46%.
The 3 year average ROIC (5.98%) for RPRX is below the current ROIC(8.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.57% | ||
| ROE | 16.08% | ||
| ROIC | 8.5% |
ROA(3y)3.97%
ROA(5y)3.7%
ROE(3y)10.17%
ROE(5y)10.3%
ROIC(3y)5.98%
ROIC(5y)6.56%
1.3 Margins
RPRX's Profit Margin of 44.28% is amongst the best of the industry. RPRX outperforms 98.44% of its industry peers.
In the last couple of years the Profit Margin of RPRX has declined.
RPRX has a Operating Margin of 79.84%. This is amongst the best in the industry. RPRX outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of RPRX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 79.84% | ||
| PM (TTM) | 44.28% | ||
| GM | N/A |
OM growth 3Y-2.96%
OM growth 5Y-16.96%
PM growth 3Y11.92%
PM growth 5Y-21.76%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RPRX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
RPRX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, RPRX has more shares outstanding
Compared to 1 year ago, RPRX has a worse debt to assets ratio.
2.2 Solvency
RPRX has an Altman-Z score of 1.75. This is a bad value and indicates that RPRX is not financially healthy and even has some risk of bankruptcy.
RPRX has a better Altman-Z score (1.75) than 63.54% of its industry peers.
RPRX has a debt to FCF ratio of 11.22. This is a negative value and a sign of low solvency as RPRX would need 11.22 years to pay back of all of its debts.
RPRX's Debt to FCF ratio of 11.22 is fine compared to the rest of the industry. RPRX outperforms 78.13% of its industry peers.
RPRX has a Debt/Equity ratio of 1.10. This is a high value indicating a heavy dependency on external financing.
RPRX has a Debt to Equity ratio of 1.10. This is in the lower half of the industry: RPRX underperforms 73.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 11.22 | ||
| Altman-Z | 1.75 |
ROIC/WACC1.05
WACC8.11%
2.3 Liquidity
A Current Ratio of 1.26 indicates that RPRX should not have too much problems paying its short term obligations.
RPRX's Current ratio of 1.26 is on the low side compared to the rest of the industry. RPRX is outperformed by 76.56% of its industry peers.
RPRX has a Quick Ratio of 1.26. This is a normal value and indicates that RPRX is financially healthy and should not expect problems in meeting its short term obligations.
RPRX has a Quick ratio of 1.26. This is in the lower half of the industry: RPRX underperforms 67.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
RPRX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.80%.
The earnings per share for RPRX have been decreasing by -18.23% on average. This is quite bad
RPRX shows a small growth in Revenue. In the last year, the Revenue has grown by 3.02%.
The Revenue has been growing slightly by 4.52% on average over the past years.
EPS 1Y (TTM)1.8%
EPS 3Y22.51%
EPS 5Y-18.23%
EPS Q2Q%18.75%
Revenue 1Y (TTM)3.02%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.52%
Sales Q2Q%19.57%
3.2 Future
RPRX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.50% yearly.
RPRX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.13% yearly.
EPS Next Y11.62%
EPS Next 2Y11.15%
EPS Next 3Y11.71%
EPS Next 5Y13.5%
Revenue Next Year14.06%
Revenue Next 2Y7.93%
Revenue Next 3Y7.58%
Revenue Next 5Y11.13%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.20, which indicates a very decent valuation of RPRX.
RPRX's Price/Earnings ratio is rather cheap when compared to the industry. RPRX is cheaper than 90.63% of the companies in the same industry.
RPRX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.03.
A Price/Forward Earnings ratio of 7.95 indicates a rather cheap valuation of RPRX.
Based on the Price/Forward Earnings ratio, RPRX is valued cheaper than 90.10% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.27. RPRX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.2 | ||
| Fwd PE | 7.95 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, RPRX is valued cheaply inside the industry as 80.21% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.95 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of RPRX may justify a higher PE ratio.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y11.15%
EPS Next 3Y11.71%
5. Dividend
5.1 Amount
RPRX has a Yearly Dividend Yield of 2.38%. Purely for dividend investing, there may be better candidates out there.
RPRX's Dividend Yield is rather good when compared to the industry average which is at 6.54. RPRX pays more dividend than 93.23% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, RPRX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
RPRX has been paying a dividend for over 5 years, so it has already some track record.
RPRX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
36.87% of the earnings are spent on dividend by RPRX. This is a low number and sustainable payout ratio.
DP36.87%
EPS Next 2Y11.15%
EPS Next 3Y11.71%
NASDAQ:RPRX (11/5/2025, 2:13:51 PM)
40.29
+2.45 (+6.47%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners82.15%
Inst Owner Change0.3%
Ins Owners1.79%
Ins Owner Change52.31%
Market Cap23.50B
Revenue(TTM)2.31B
Net Income(TTM)1.02B
Analysts81.43
Price Target44.35 (10.08%)
Short Float %3.45%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Yearly Dividend0.63
Dividend Growth(5Y)N/A
DP36.87%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-28.44%
Min EPS beat(2)-59.9%
Max EPS beat(2)3.01%
EPS beat(4)3
Avg EPS beat(4)-10.84%
Min EPS beat(4)-59.9%
Max EPS beat(4)6.88%
EPS beat(8)5
Avg EPS beat(8)-4.24%
EPS beat(12)8
Avg EPS beat(12)-0.53%
EPS beat(16)9
Avg EPS beat(16)-6.35%
Revenue beat(2)2
Avg Revenue beat(2)6.9%
Min Revenue beat(2)4.2%
Max Revenue beat(2)9.61%
Revenue beat(4)2
Avg Revenue beat(4)-5.21%
Min Revenue beat(4)-20.42%
Max Revenue beat(4)9.61%
Revenue beat(8)2
Avg Revenue beat(8)-9.06%
Revenue beat(12)2
Avg Revenue beat(12)-11.79%
Revenue beat(16)4
Avg Revenue beat(16)-9.44%
PT rev (1m)0.48%
PT rev (3m)4.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.88%
EPS NY rev (1m)-0.33%
EPS NY rev (3m)4.74%
Revenue NQ rev (1m)0.7%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)5.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.2 | ||
| Fwd PE | 7.95 | ||
| P/S | 10.19 | ||
| P/FCF | 32.95 | ||
| P/OCF | 9.76 | ||
| P/B | 3.7 | ||
| P/tB | 4.33 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.95
EY9.8%
EPS(NY)5.07
Fwd EY12.57%
FCF(TTM)1.22
FCFY3.03%
OCF(TTM)4.13
OCFY10.24%
SpS3.95
BVpS10.89
TBVpS9.3
PEG (NY)0.88
PEG (5Y)N/A
Graham Number31.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.57% | ||
| ROE | 16.08% | ||
| ROCE | 10.75% | ||
| ROIC | 8.5% | ||
| ROICexc | 9.3% | ||
| ROICexgc | 9.89% | ||
| OM | 79.84% | ||
| PM (TTM) | 44.28% | ||
| GM | N/A | ||
| FCFM | 30.93% |
ROA(3y)3.97%
ROA(5y)3.7%
ROE(3y)10.17%
ROE(5y)10.3%
ROIC(3y)5.98%
ROIC(5y)6.56%
ROICexc(3y)6.7%
ROICexc(5y)7.58%
ROICexgc(3y)6.7%
ROICexgc(5y)7.59%
ROCE(3y)7.57%
ROCE(5y)8.31%
ROICexgc growth 3Y-4.76%
ROICexgc growth 5Y-18.24%
ROICexc growth 3Y-4.74%
ROICexc growth 5Y-18.16%
OM growth 3Y-2.96%
OM growth 5Y-16.96%
PM growth 3Y11.92%
PM growth 5Y-21.76%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 11.22 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 73.45% | ||
| Interest Coverage | -8.39 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 69.86% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 1.75 |
F-Score7
WACC8.11%
ROIC/WACC1.05
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)92.8%
Cap/Sales(5y)95.39%
Profit Quality(3y)349.23%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.8%
EPS 3Y22.51%
EPS 5Y-18.23%
EPS Q2Q%18.75%
EPS Next Y11.62%
EPS Next 2Y11.15%
EPS Next 3Y11.71%
EPS Next 5Y13.5%
Revenue 1Y (TTM)3.02%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.52%
Sales Q2Q%19.57%
Revenue Next Year14.06%
Revenue Next 2Y7.93%
Revenue Next 3Y7.58%
Revenue Next 5Y11.13%
EBIT growth 1Y91.7%
EBIT growth 3Y-3.33%
EBIT growth 5Y-13.2%
EBIT Next Year28.89%
EBIT Next 3Y14.6%
EBIT Next 5Y13.78%
FCF growth 1Y36.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-12.52%
OCF growth 3Y11.13%
OCF growth 5Y10.68%
ROYALTY PHARMA PLC- CL A / RPRX FAQ
Can you provide the ChartMill fundamental rating for ROYALTY PHARMA PLC- CL A?
ChartMill assigns a fundamental rating of 5 / 10 to RPRX.
What is the valuation status of ROYALTY PHARMA PLC- CL A (RPRX) stock?
ChartMill assigns a valuation rating of 8 / 10 to ROYALTY PHARMA PLC- CL A (RPRX). This can be considered as Undervalued.
Can you provide the profitability details for ROYALTY PHARMA PLC- CL A?
ROYALTY PHARMA PLC- CL A (RPRX) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for RPRX stock?
The Price/Earnings (PE) ratio for ROYALTY PHARMA PLC- CL A (RPRX) is 10.2 and the Price/Book (PB) ratio is 3.7.
Is the dividend of ROYALTY PHARMA PLC- CL A sustainable?
The dividend rating of ROYALTY PHARMA PLC- CL A (RPRX) is 5 / 10 and the dividend payout ratio is 36.87%.