Incyte Corporation (INCY) vs Royalty Pharma PLC (RPRX)

Incyte Corporation and Royalty Pharma PLC are both Biotechnology companies. Royalty Pharma PLC is the larger, with a market value of $34.4B against $25.5B — 1.3× the size. Incyte Corporation trades at the lower P/E: 15.2× against 40.1×. Incyte Corporation grew revenue faster over the last twelve months: 26.9% against 10.0%. Royalty Pharma PLC has the higher net margin (32.0% vs 27.7%) and the lower return on invested capital (5.28% vs 60.5%). Across the 22 metrics below, Incyte Corporation leads on 17 and Royalty Pharma PLC on 5.

Valuation

Metric INCY RPRX Biotechnology median
P/E 15.24 40.14 7.88
P/S 4.27 10.21 11.47
P/B 3.91 2.65 2.52
Price to free cash flow 13.13 19.77 21.16
EV/EBITDA 10.83 21.99 0.74
EV/Sales 3.49 13.42 10.73
Earnings yield 6.56% 2.49% (28.84%)
Free cash flow yield 7.62% 5.06% (23.03%)

Profitability

Metric INCY RPRX Biotechnology median
Gross margin 92.62% 100.00% 65.16%
Operating margin 30.56% 59.61% 0.00%
Net margin 27.71% 32.02% 0.00%
Free cash flow margin 32.48% 51.66% 0.00%
Return on equity 30.67% 8.42% (57.72%)
Return on assets 23.55% 4.26% (49.22%)
Return on invested capital 60.50% 5.28% 0.00%

Growth

Metric INCY RPRX Biotechnology median
Revenue growth (TTM) 26.93% 10.01% 5.64%
EPS growth (last fiscal year) 4,173.33% (5.52%) —
Revenue growth, 5-year CAGR 14.03% 2.30% 8.40%
Net income growth, 5-year CAGR 0.00% (4.59%) 0.00%

Health

Metric INCY RPRX Biotechnology median
Debt to equity 0.00 0.92 0.00
Current ratio 4.59 2.80 4.73
Net debt to EBITDA (2.21) 5.22 0.96

Dividend

Metric INCY RPRX Biotechnology median
Dividend yield — 3.09% 2.10%
Payout ratio 0.00 1.42 0.00

Size

Metric INCY RPRX Biotechnology median
Market cap 25.48b 34.35b 162.10m

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