Royalty Pharma Plc Stock Buy Hold or Sell Recommendation
| RPRX Stock | USD 32.77 0.09 0.28% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Royalty Pharma Plc is 'Strong Buy'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Royalty Pharma Plc given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Royalty Pharma Plc, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Royalty Pharma Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as Royalty and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Royalty Pharma Plc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.
Royalty |
Execute Royalty Pharma Buy or Sell Advice
The Royalty recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Royalty Pharma Plc. Macroaxis does not own or have any residual interests in Royalty Pharma Plc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Royalty Pharma's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Solid | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Royalty Pharma Trading Alerts and Improvement Suggestions
| Over 77.0% of the company shares are owned by institutional investors | |
| Latest headline from zacks.com: Why Is Euronet Worldwide Down 2.9 percent Since Last Earnings Report |
Royalty Pharma Returns Distribution Density
The distribution of Royalty Pharma's historical returns is an attempt to chart the uncertainty of Royalty Pharma's future price movements. The chart of the probability distribution of Royalty Pharma daily returns describes the distribution of returns around its average expected value. We use Royalty Pharma Plc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Royalty Pharma returns is essential to provide solid investment advice for Royalty Pharma.
| Mean Return | 0.38 | Value At Risk | -1.53 | Potential Upside | 2.29 | Standard Deviation | 1.88 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Royalty Pharma historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Royalty Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument, such as Royalty Pharma, soars without any apparent reason? This usually happens because many institutional investors are aggressively trading Royalty Pharma Plc back and forth among themselves.
| Shares | Two Sigma Advisers, Llc | 2024-12-31 | 3.7 M | Northern Trust Corp | 2024-12-31 | 3.3 M | Gmt Capital Corp | 2024-12-31 | 3.3 M | Deutsche Bank Ag | 2024-12-31 | 3.2 M | Charles Schwab Investment Management Inc | 2024-12-31 | 3.1 M | Bank Of America Corp | 2024-12-31 | 3 M | Newsouth Capital Management Inc | 2024-12-31 | 3 M | Citadel Advisors Llc | 2024-12-31 | 2.9 M | Patients Capital Management Llc | 2024-12-31 | 2.9 M | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 39.5 M | Vanguard Group Inc | 2024-12-31 | 37.4 M |
Royalty Pharma Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Capital Expenditures | 269.6M | 1.7B | 2.2B | 523K | 2.0B | 2.1B | |
| Change In Cash | 763M | 532.4M | 169.7M | (1.2B) | 452.0M | 474.6M | |
| Depreciation | 23.9M | 23.1M | 23.0M | 5.7M | 20.5M | 0.0 | |
| Net Income | 1.7B | 1.2B | 230.1M | 1.7B | 1.3B | 1.1B | |
| Change To Netincome | (978.6M) | 50.0M | 37.5M | 64.1M | 57.7M | 60.6M | |
| End Period Cash Flow | 1.0B | 1.5B | 1.7B | 477.0M | 929.0M | 971.6M | |
| Investments | (3.1B) | (1.8B) | (1.2B) | (657.9M) | (2.7B) | (2.5B) | |
| Free Cash Flow | 4.2B | 2.0B | 4.2B | 3.0B | 2.8B | 2.6B | |
| Other Non Cash Items | 2.1B | 2.3B | 1.9B | 1.3B | 1.4B | 1.8B | |
| Dividends Paid | 397M | 285.2M | 333.3M | 358.3M | 376.5M | 403.9M |
Royalty Pharma Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Royalty Pharma or Pharmaceuticals sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Royalty Pharma's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Royalty stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.36 | |
β | Beta against Dow Jones | -0.14 | |
σ | Overall volatility | 1.90 | |
Ir | Information ratio | 0.26 |
Royalty Pharma Volatility Alert
Royalty Pharma Plc has relatively low volatility with skewness of 4.24 and kurtosis of 27.22. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Royalty Pharma's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Royalty Pharma's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Royalty Pharma Fundamentals Vs Peers
Comparing Royalty Pharma's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Royalty Pharma's direct or indirect competition across all of the common fundamentals between Royalty Pharma and the related equities. This way, we can detect undervalued stocks with similar characteristics as Royalty Pharma or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Royalty Pharma's fundamental indicators could also be used in its relative valuation, which is a method of valuing Royalty Pharma by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Royalty Pharma to competition |
| Fundamentals | Royalty Pharma | Peer Average |
| Return On Equity | 0.13 | -0.31 |
| Return On Asset | 0.0467 | -0.14 |
| Profit Margin | 0.38 % | (1.27) % |
| Operating Margin | 0.61 % | (5.51) % |
| Current Valuation | 20.04 B | 16.62 B |
| Shares Outstanding | 433.32 M | 571.82 M |
| Shares Owned By Insiders | 9.82 % | 10.09 % |
| Shares Owned By Institutions | 76.69 % | 39.21 % |
| Number Of Shares Shorted | 15.3 M | 4.71 M |
| Price To Earning | 37.70 X | 28.72 X |
| Price To Book | 2.04 X | 9.51 X |
| Price To Sales | 8.35 X | 11.42 X |
| Revenue | 2.26 B | 9.43 B |
| Gross Profit | 1.53 B | 27.38 B |
| EBITDA | 1.29 B | 3.9 B |
| Net Income | 1.33 B | 570.98 M |
| Cash And Equivalents | 1.47 B | 2.7 B |
| Cash Per Share | 3.34 X | 5.01 X |
| Total Debt | 7.61 B | 5.32 B |
| Debt To Equity | 0.68 % | 48.70 % |
| Current Ratio | 2.07 X | 2.16 X |
| Book Value Per Share | 15.58 X | 1.93 K |
| Cash Flow From Operations | 2.77 B | 971.22 M |
| Short Ratio | 2.84 X | 4.00 X |
| Earnings Per Share | 1.91 X | 3.12 X |
| Price To Earnings To Growth | 2.29 X | 4.89 X |
| Target Price | 40.92 | |
| Beta | 0.47 | -0.15 |
| Market Capitalization | 18.89 B | 19.03 B |
| Total Asset | 18.22 B | 29.47 B |
| Retained Earnings | 2.85 B | 9.33 B |
| Working Capital | 548.52 M | 1.48 B |
| Current Asset | 10.66 M | 9.34 B |
Note: Disposition of 30000 shares by Christopher Hite of Royalty Pharma subject to Rule 16b-3 [view details]
Royalty Pharma Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Royalty . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Royalty Pharma Buy or Sell Advice
When is the right time to buy or sell Royalty Pharma Plc? Buying financial instruments such as Royalty Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Additional Tools for Royalty Stock Analysis
When running Royalty Pharma's price analysis, check to measure Royalty Pharma's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Royalty Pharma is operating at the current time. Most of Royalty Pharma's value examination focuses on studying past and present price action to predict the probability of Royalty Pharma's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Royalty Pharma's price. Additionally, you may evaluate how the addition of Royalty Pharma to your portfolios can decrease your overall portfolio volatility.