Discounted Cash Flow

Royalty Pharma Plc.

RPRX · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2018 $1.8b $-140.1m $-140.1m -7.8%
2019 $1.8b (1.1%) $-112.9m (19.4%) $-112.9m (19.4%) -6.2% (20.3%)
2020 $2.1b (17.0%) $-726.9m (-543.9%) $2.0b (1902.4%) -34.3% (-450.5%) $-1.94
2021 $2.3b (7.9%) $621.5m (185.5%) $2.0b (-0.8%) 27.1% (179.3%) $1.50 (177.4%)
2022 $2.2b (-2.3%) $187.2m (-69.9%) $187.2m (-90.7%) 8.4% (-69.2%) $0.43 (-71.5%)
2023 $2.4b (5.2%) $565.3m (201.9%) $3.0b (1495.8%) 24.0% (186.9%) $1.26 (195.4%)
2024 $2.3b (-3.9%) $471.8m (-16.5%) $2.8b (-7.3%) 20.8% (-13.2%) $1.05 (-16.6%)
2025 $2.4b (5.1%) $553.2m (17.3%) $2.5b (-10.1%) 23.3% (11.6%) $1.29 (22.3%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model