Royalty Pharma plc (RPRX) P/E Ratio History
UndervaluedTrading at 29.4x vs 5Y avg 43.0x · 60th percentile · Below historical baseline · Data 2020–2026
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P/E Ratio Analysis
As of June 22, 2026, Royalty Pharma plc (RPRX) trades at a price-to-earnings ratio of 29.4x, with a stock price of $52.96 and trailing twelve-month earnings per share of $1.48.
The current P/E is 32% below its 5-year average of 43.0x. Over the past five years, RPRX's P/E has ranged from a low of 11.1x to a high of 167.8x, placing the current valuation at the 60th percentile of its historical range.
Compared to the Healthcare sector median P/E of 22.1x, RPRX trades at a 33% premium to its sector peers. The sector includes 234 companies with P/E ratios ranging from 0.0x to 197.0x.
The PEG ratio of 4.17 (P/E divided by -6% EPS growth) suggests the stock may be expensive relative to its earnings growth. Peter Lynch popularized the rule that a PEG below 1.0 indicates an attractive entry point.
Relative to the broader market, RPRX commands a significant premium over the S&P 500 median P/E of 24.4x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our RPRX DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
RPRX Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
RPRX P/E vs Peers
Royalty and IP Monetization Vehicles peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $7B | 31.4 | 0.51Best | +825%Best | |
| $56B | 37.3 | 1.65 | +181% | |
| $15B | 32.1 | 4.13 | +32% | |
| $42B | 37.4 | 1.41 | +104% | |
| $525M | 28.7 | 2.15 | +188% | |
| $25B | 24.1 | - | +4% | |
| $79B | 13.8Lowest | 1.49 | -1% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
RPRX Historical P/E Data (2020–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q1 | - | $47.97 | $1.77 | 27.1x | -43% |
| FY2025 Q4 | Dec 31 2025 | $38.64 | $1.65 | 23.4x | -50% |
| FY2025 Q3 | - | $35.28 | $1.62 | 21.8x | -54% |
| FY2025 Q2 | Jun 30 2025 | $36.03 | $2.16 | 16.7x | -65% |
| FY2025 Q1 | Mar 31 2025 | $31.13 | $2.32 | 13.4x | -72% |
| FY2024 Q4 | - | $25.51 | $1.92 | 13.3x | -72% |
| FY2024 Q3 | Sep 30 2024 | $28.29 | $2.55 | 11.1x | -76% |
| FY2024 Q2 | Jun 30 2024 | $26.37 | $1.50 | 17.6x | -63% |
| FY2024 Q1 | Mar 31 2024 | $30.37 | $1.77 | 17.2x | -64% |
| FY2023 Q4 | Dec 31 2023 | $28.09 | $2.52 | 11.1x | -76% |
| FY2023 Q3 | Sep 30 2023 | $27.14 | $0.18 | 150.8x | +220% |
| FY2023 Q2 | Jun 30 2023 | $30.74 | $0.34 | 90.4x | +92% |
| FY2023 Q1 | Mar 31 2023 | $36.03 | $0.54 | 66.7x | +41% |
| FY2022 Q3 | Sep 30 2022 | $40.18 | $1.16 | 34.8x | -26% |
| FY2022 Q2 | - | $42.04 | $1.08 | 39.1x | -17% |
| FY2022 Q1 | - | $38.96 | $1.46 | 26.8x | -43% |
| FY2021 Q4 | Dec 31 2021 | $39.85 | $1.52 | 26.3x | -44% |
| FY2021 Q3 | - | $36.14 | $0.70 | 51.6x | +9% |
| FY2021 Q2 | Jun 30 2021 | $40.99 | $1.25 | 32.8x | -30% |
| FY2021 Q1 | Mar 31 2021 | $43.62 | $0.26 | 167.8x | +256% |
| FY2020 Q4 | - | $50.05 | $0.28 | 178.8x | +279% |
| FY2020 Q3 | Sep 30 2020 | $42.07 | $1.82 | 23.1x | -51% |
| FY2020 Q2 | - | $48.55 | $2.07 | 23.5x | -50% |
Average P/E for displayed period: 47.2x
Full Stock Analysis
Deep dive into RPRX consensus models and risk factors.
Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Historical Returns
6+ years return with dividends reinvested.
DCA Calculator
See how regular investing compounds over time.
Peer Comparison
Compare growth, multiples, and margins vs sector.
RPRX — Frequently Asked Questions
Quick answers to the most common questions about buying RPRX stock.
What is RPRX's P/E ratio?
Royalty Pharma plc (RPRX) trailing twelve-month P/E ratio is 29.4x, based on TTM diluted EPS of $1.48. The 5-year average P/E is 43.0x and the historical range spans 11.1x to 167.8x.
Is RPRX stock overvalued or undervalued?
RPRX trades at 29.4x P/E, below its 5-year average of 43.0x. At the 60th percentile of its historical range (11.1x–167.8x), the stock is priced at a discount to its own history.
Is RPRX stock expensive?
No, RPRX is not expensive on a historical basis. The current P/E of 29.4x is below the 5-year average of 43.0x and sits at the 60th percentile of its valuation range.
What is RPRX's historical P/E range?
Over the past 5 years, RPRX's P/E ratio has ranged from 11.1x to 167.8x, with a median of 26.8x and an average of 43.0x. The current P/E of 29.4x places the stock at the 60th percentile of this range. Full historical data spans 2020–2026.
How does RPRX's P/E compare to the S&P 500?
RPRX trades at 29.4x P/E versus the S&P 500 median of 24.4x. The 20% premium to the market typically reflects higher expected earnings growth or quality.
How does RPRX's valuation compare to Healthcare peers?
Royalty Pharma plc P/E of 29.4x compares to the Healthcare sector median of 22.1x. The premium reflects expected growth above peers or stronger fundamentals. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is RPRX's PEG ratio?
RPRX PEG ratio is 4.17, based on a P/E of 29.4x and EPS growth of -5.8%. A PEG above 2.0 indicates a premium valuation relative to earnings growth — typically considered expensive.
What is RPRX's earnings yield?
RPRX earnings yield is 3.40%, the inverse of its 29.4x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.