UBS and Citi Are Bullish on Royalty Pharma Plc (RPRX)

Core Viewpoint - Royalty Pharma Plc (NASDAQ:RPRX) is highlighted as a strong investment opportunity in the healthcare sector, particularly under $50, with recent upgrades from UBS and Citi indicating a positive outlook for the company's growth and stock performance in the coming years [1][3]. Group 1: Analyst Upgrades and Price Targets - UBS upgraded Royalty Pharma Plc from Neutral to Buy, raising the price target from $38 to $49, citing a series of attractive royalty deals that enhance the company's growth profile [1]. - Citi also increased its price target for Royalty Pharma Plc from $48 to $50 while maintaining a Buy rating, indicating favorable conditions for the biopharma group in 2026 due to "beatable" estimates and reduced policy risk [3]. Group 2: Growth Profile and Market Position - Royalty Pharma Plc is noted for its attractive growth profile, both absolutely and relatively, especially when compared to large-cap pharmaceutical companies facing significant loss of exclusivities [2]. - The company funds innovation in the biopharmaceutical industry by acquiring royalties and partnering with various entities, including small and mid-cap biotech firms and global pharmaceutical companies, to co-fund late-stage clinical trials and new product launches [4]. Group 3: Future Outlook - Analysts foresee a "catalyst-rich" 2026 for Royalty Pharma, suggesting that upcoming de-risking events could lead to significant stock upside [1].