Royalty Pharma plc logo RPRX - Royalty Pharma plc

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 11
HOLD 0
SELL 0
STRONG
SELL
0
| PRICE TARGET: $59.50 DETAILS
HIGH: $66.00
LOW: $50.00
MEDIAN: $61.00
CONSENSUS: $59.50
DOWNSIDE: 2.95%
AlphaQuality

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

C 52.2 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — the six pillars score only reported financials, no analyst input.

Profitability

Weight: 20%
B- 64.9
  • 5yr Avg ROIC 8.0% 50/100
  • Operating Margin Trend +4.95 pp/yr 100/100
Contributes 13.0 pts toward composite.

Capital Efficiency

Weight: 15%
D+ 41.0
  • 5yr Avg ROE 10.6% 63/100
  • 5yr Share-Count CAGR 7.6% 0/100
Contributes 6.2 pts toward composite.

Growth Quality

Weight: 15%
C 52.5
  • 5yr Revenue CAGR 2.3% 39/100
  • 5yr EPS CAGR 7.1% 65/100
  • Revenue-Growth Years (5) 3/5 60/100
Contributes 7.9 pts toward composite.

Cash Generation

Weight: 15%
A- 84.2
  • 5yr FCF Margin 107.6% 100/100
  • 5yr FCF/NI Conversion 12.48x 65/100
Contributes 12.6 pts toward composite.

Balance Sheet

Weight: 20%
D 38.3
  • Net Debt / EBITDA 5.08x 14/100
  • Interest Coverage (EBIT/Int) 5.30x 66/100
  • Altman Z-Score 2.21 48/100
Contributes 7.7 pts toward composite.

Stability

Weight: 15%
D- 31.9
  • EPS Volatility (σ/μ) 0.80 8/100
  • Negative-Revenue Years (5) 2/5 60/100
  • Piotroski F-Score 4 44/100
Contributes 4.8 pts toward composite.

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Dumping

3 of 3 gurus held; 1 new buy; 2 trimmed.

Holders
3 +1
Avg Δ position
-65.7%
New buys
1
Full exits
0
As of Q2 2026
How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

  • Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
  • Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
  • Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
  • Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
  • Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
  • Stability (15%) — EPS Volatility (σ/μ), Negative-Revenue Years (5), Piotroski F-Score

The six pillars read only reported financial-statement fields — no analyst targets or consensus ratings. The archetype that picks which pillar formulas apply is not fully price-free, though: it can route a company to the distressed/ungradable archetype based on price vs. its 52-week high, and beta affects one classification check. A minimum of 5 fiscal years of audited statements is required. Insurers and banks are graded on their own methodology — insurers on loss ratio, its trend and stability, and premiums-to-surplus; banks on the efficiency ratio, its trend and stability, and equity-to-assets — rather than on industrial margin/ROIC signals. Distressed, highly leveraged infrastructure, asset-manager, and other financial businesses are declared ungradable rather than forced into a numeric score.