38.39 USD
-0.42 (-1.08%)
38.6316 USD
+0.24 (+0.63%)
RPRX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 191 industry peers in the Pharmaceuticals industry. While RPRX belongs to the best of the industry regarding profitability, there are some minor 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
RPRX had positive earnings in the past year.
In the past year RPRX had a positive cash flow from operations.
Each year in the past 5 years RPRX has been profitable.
In the past 5 years RPRX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RPRX (3.95%) is better than 84.82% of its industry peers.
Looking at the Return On Equity, with a value of 11.93%, RPRX belongs to the top of the industry, outperforming 86.39% of the companies in the same industry.
RPRX's Return On Invested Capital of 6.43% is amongst the best of the industry. RPRX outperforms 84.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RPRX is significantly below the industry average of 12.85%.
The 3 year average ROIC (5.98%) for RPRX is below the current ROIC(6.43%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.95% | ||
| ROE | 11.93% | ||
| ROIC | 6.43% |
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 has a better Profit Margin (32.55%) than 95.29% of its industry peers.
In the last couple of years the Profit Margin of RPRX has declined.
RPRX has a Operating Margin of 65.22%. This is amongst the best in the industry. RPRX outperforms 100.00% of its industry peers.
RPRX's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.22% | ||
| PM (TTM) | 32.55% | ||
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RPRX is destroying value.
RPRX has less shares outstanding than it did 1 year ago.
RPRX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, RPRX has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.66, we must say that RPRX is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.66, RPRX is in line with its industry, outperforming 57.07% of the companies in the same industry.
The Debt to FCF ratio of RPRX is 9.47, which is on the high side as it means it would take RPRX, 9.47 years of fcf income to pay off all of its debts.
RPRX's Debt to FCF ratio of 9.47 is fine compared to the rest of the industry. RPRX outperforms 79.06% of its industry peers.
A Debt/Equity ratio of 1.34 is on the high side and indicates that RPRX has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.34, RPRX is doing worse than 75.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 9.47 | ||
| Altman-Z | 1.66 |
ROIC/WACC0.76
WACC8.43%
2.3 Liquidity
RPRX has a Current Ratio of 3.48. This indicates that RPRX is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 3.48, RPRX perfoms like the industry average, outperforming 55.50% of the companies in the same industry.
A Quick Ratio of 3.48 indicates that RPRX has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 3.48, RPRX is in line with its industry, outperforming 57.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.48 | ||
| Quick Ratio | 3.48 |
3. Growth
3.1 Past
RPRX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.24%.
The earnings per share for RPRX have been decreasing by -18.23% on average. This is quite bad
The Revenue has been growing slightly by 3.70% in the past year.
RPRX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.52% yearly.
EPS 1Y (TTM)0.24%
EPS 3Y22.51%
EPS 5Y-18.23%
EPS Q2Q%15.84%
Revenue 1Y (TTM)3.7%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.52%
Sales Q2Q%44.07%
3.2 Future
Based on estimates for the next years, RPRX will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.58% on average per year.
Based on estimates for the next years, RPRX will show a quite strong growth in Revenue. The Revenue will grow by 10.36% on average per year.
EPS Next Y17.35%
EPS Next 2Y12.47%
EPS Next 3Y13.48%
EPS Next 5Y12.58%
Revenue Next Year15.78%
Revenue Next 2Y8.39%
Revenue Next 3Y8.23%
Revenue Next 5Y10.36%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.34, the valuation of RPRX can be described as very reasonable.
91.62% of the companies in the same industry are more expensive than RPRX, based on the Price/Earnings ratio.
RPRX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.54.
With a Price/Forward Earnings ratio of 7.40, the valuation of RPRX can be described as very cheap.
Based on the Price/Forward Earnings ratio, RPRX is valued cheaply inside the industry as 91.10% of the companies are valued more expensively.
RPRX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.78.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.34 | ||
| Fwd PE | 7.4 |
4.2 Price Multiples
82.20% of the companies in the same industry are more expensive than RPRX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.46 | ||
| 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.
RPRX's earnings are expected to grow with 13.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y12.47%
EPS Next 3Y13.48%
5. Dividend
5.1 Amount
RPRX has a Yearly Dividend Yield of 2.27%. 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 0.71. RPRX pays more dividend than 93.19% of the companies in the same industry.
RPRX's Dividend Yield is comparable with the S&P500 average which is at 1.96.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
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
49.36% of the earnings are spent on dividend by RPRX. This is a bit on the high side, but may be sustainable.
DP49.36%
EPS Next 2Y12.47%
EPS Next 3Y13.48%
38.39
-0.42 (-1.08%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners81.29%
Inst Owner Change-2.73%
Ins Owners1.82%
Ins Owner Change8.51%
Market Cap22.16B
Revenue(TTM)2.35B
Net Income(TTM)764.96M
Analysts82.67
Price Target46 (19.82%)
Short Float %6.19%
Short Ratio6.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
Yearly Dividend0.63
Dividend Growth(5Y)N/A
DP49.36%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.5%
Min EPS beat(2)3.01%
Max EPS beat(2)9.99%
EPS beat(4)3
Avg EPS beat(4)-10%
Min EPS beat(4)-59.9%
Max EPS beat(4)9.99%
EPS beat(8)5
Avg EPS beat(8)-3.29%
EPS beat(12)9
Avg EPS beat(12)0.42%
EPS beat(16)10
Avg EPS beat(16)-0.98%
Revenue beat(2)2
Avg Revenue beat(2)6.07%
Min Revenue beat(2)4.2%
Max Revenue beat(2)7.95%
Revenue beat(4)3
Avg Revenue beat(4)1.88%
Min Revenue beat(4)-14.22%
Max Revenue beat(4)9.61%
Revenue beat(8)3
Avg Revenue beat(8)-6.2%
Revenue beat(12)3
Avg Revenue beat(12)-10.78%
Revenue beat(16)4
Avg Revenue beat(16)-8.96%
PT rev (1m)3.71%
PT rev (3m)4.2%
EPS NQ rev (1m)-0.92%
EPS NQ rev (3m)2.51%
EPS NY rev (1m)4.99%
EPS NY rev (3m)4.79%
Revenue NQ rev (1m)1.83%
Revenue NQ rev (3m)1.48%
Revenue NY rev (1m)0.71%
Revenue NY rev (3m)1.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.34 | ||
| Fwd PE | 7.4 | ||
| P/S | 9.43 | ||
| P/FCF | 23.46 | ||
| P/OCF | 9.21 | ||
| P/B | 3.45 | ||
| P/tB | 4.04 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.11
EY10.71%
EPS(NY)5.19
Fwd EY13.51%
FCF(TTM)1.64
FCFY4.26%
OCF(TTM)4.17
OCFY10.85%
SpS4.07
BVpS11.11
TBVpS9.51
PEG (NY)0.54
PEG (5Y)N/A
Graham Number32.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.95% | ||
| ROE | 11.93% | ||
| ROCE | 8.15% | ||
| ROIC | 6.43% | ||
| ROICexc | 7.12% | ||
| ROICexgc | 7.53% | ||
| OM | 65.22% | ||
| PM (TTM) | 32.55% | ||
| GM | N/A | ||
| FCFM | 40.2% |
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-Score5
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 9.47 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 62.15% | ||
| Interest Coverage | -5.67 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 123.5% | ||
| Current Ratio | 3.48 | ||
| Quick Ratio | 3.48 | ||
| Altman-Z | 1.66 |
F-Score5
WACC8.43%
ROIC/WACC0.76
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)0.24%
EPS 3Y22.51%
EPS 5Y-18.23%
EPS Q2Q%15.84%
EPS Next Y17.35%
EPS Next 2Y12.47%
EPS Next 3Y13.48%
EPS Next 5Y12.58%
Revenue 1Y (TTM)3.7%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.52%
Sales Q2Q%44.07%
Revenue Next Year15.78%
Revenue Next 2Y8.39%
Revenue Next 3Y8.23%
Revenue Next 5Y10.36%
EBIT growth 1Y-0.72%
EBIT growth 3Y-3.33%
EBIT growth 5Y-13.2%
EBIT Next Year30.71%
EBIT Next 3Y14.53%
EBIT Next 5Y13.57%
FCF growth 1Y-33.55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-13.64%
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 6 / 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 9.34 and the Price/Book (PB) ratio is 3.45.
Is the dividend of ROYALTY PHARMA PLC- CL A sustainable?
The dividend rating of ROYALTY PHARMA PLC- CL A (RPRX) is 4 / 10 and the dividend payout ratio is 49.36%.