ScoreWhy is Royalty Pharma Plc ?
1
The company is Net-Debt Free
2
Poor long term growth as Operating profit has grown by an annual rate -0.46% of over the last 5 years
3
The company has declared positive results in Mar'2026 after 3 consecutive negative quarters
- DIVIDEND PER SHARE(HY) Highest at USD 3.15
- NET SALES(Q) Highest at USD 630.58 MM
- RAW MATERIAL COST(Y) Fallen by -9,981% (YoY)
4
With ROCE of 10.54%, it has a expensive valuation with a 2.37 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 66.61%, its profits have risen by 10.1% ; the PEG ratio of the company is 1.4
5
High Institutional Holdings at 92.22%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 5.71% over the previous quarter.
6
Market Beating Performance
- The stock has generated a return of 66.61% in the last 1 year, much higher than market (S&P 500) returns of 22.99%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Royalty Pharma Plc should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Royalty Pharma Plc for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Royalty Pharma Plc
66.61%
4.65
22.15%
S&P 500
22.99%
1.78
12.93%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.30%
EBIT Growth (5y)
-0.46%
EBIT to Interest (avg)
7.51
Debt to EBITDA (avg)
3.87
Net Debt to Equity (avg)
0.97
Sales to Capital Employed (avg)
0.16
Tax Ratio
0
Dividend Payout Ratio
49.40%
Pledged Shares
0
Institutional Holding
92.22%
ROCE (avg)
12.61%
ROE (avg)
21.49%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
4.13
EV to EBIT
22.48
EV to EBITDA
22.45
EV to Capital Employed
2.37
EV to Sales
14.74
PEG Ratio
1.42
Dividend Yield
2.01%
ROCE (Latest)
10.54%
ROE (Latest)
20.08%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 3.15
NET SALES(Q)
Highest at USD 630.58 MM
RAW MATERIAL COST(Y)
Fallen by -9,981% (YoY
OPERATING PROFIT(Q)
Highest at USD 633.65 MM
OPERATING PROFIT MARGIN(Q)
Highest at 100.49 %
PRE-TAX PROFIT(Q)
Highest at USD 564.54 MM
NET PROFIT(Q)
Highest at USD 390.98 MM
EPS(Q)
Highest at USD 0.67
-7What is not working for the Company
NET PROFIT(9M)
At USD 759.06 MM has Grown at -21.62%
INTEREST(HY)
At USD 187.89 MM has Grown at 43.14%
CASH AND EQV(HY)
Lowest at USD 1,245.79 MM
Here's what is working for Royalty Pharma Plc
Net Sales
Highest at USD 630.58 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Net Profit
At USD 390.98 MM has Grown at 109.43%
over average net sales of the previous four periods of USD 186.68 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Dividend per share
Highest at USD 3.15 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Operating Profit
Highest at USD 633.65 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 100.49 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 564.54 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Pre-Tax Profit
At USD 564.54 MM has Grown at 73.67%
over average net sales of the previous four periods of USD 325.07 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 390.98 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 0.67
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -9,981% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Royalty Pharma Plc
Interest
At USD 187.89 MM has Grown at 43.14%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Cash and Eqv
Lowest at USD 1,245.79 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
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