Royalty PharmaMEX:RPRXN 72 Quick Ratio is 2.66 as of Mar. 2026, which is 41% below its 10-year median of 4.50. GuruFocus rates MEX:RPRXN with a GF Score™ of 72/100 and a GF Value™ of MXN535.17. The stock has 10 warning signs investors should review. Among 1,417 Biotechnology companies, Royalty Pharma ranks worse than 58.93% on this metric.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Royalty Pharma's quick ratio for the quarter that ended in Mar. 2026 was 2.66.
Royalty Pharma has a quick ratio of 2.66. It generally indicates good short-term financial strength.
The historical rank and industry rank for Royalty Pharma's Quick Ratio or its related term are showing as below:
MEX:RPRXN'
s Quick Ratio Range Over the Past 10 Years
Min: 1.26 Med: 4.5 Max: 21.95
Current: 2.66
During the past 9 years, Royalty Pharma's highest Quick Ratio was 21.95. The lowest was 1.26. And the median was 4.50.
MEX:RPRXN's Quick Ratio is ranked worse than 58.93% of 1417
companies
in the Biotechnology industry
Industry Median: 3.6
vs MEX:RPRXN: 2.66
Royalty Pharma (MEX:RPRXN) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Royalty Pharma Quick Ratio Related Terms
Royalty Pharma Quick Ratio Historical Data
* Premium members only.
The historical data trend for Royalty Pharma's Quick Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:RPRXN vs BNTX, INSM, ROIV: Quick Ratio Comparison
For the Biotechnology subindustry, Royalty Pharma's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Royalty Pharma Quick Ratio vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Royalty Pharma's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Royalty Pharma's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Royalty Pharma's Quick Ratio for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Royalty Pharma (MEX:RPRXN) has a Quick Ratio of 2.66 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Royalty Pharma and its competitors. This is 41% below median its historical median of 4.50. Over the past decade, Royalty Pharma's Quick Ratio has ranged from 1.26 to 21.95. According to the industry distribution chart, Royalty Pharma ranks #835 out of 1417 companies in the Biotechnology industry, placing it in the top 58.9%.
Is Royalty Pharma's Quick Ratio too high?
Royalty Pharma's current Quick Ratio of 2.66 is 41% below median its 10-year median of 4.50. Over the past 10 years, this metric has ranged from a low of 1.26 to a high of 21.95. The Biotechnology industry median Quick Ratio is 3.60. Royalty Pharma's value of 2.66 is 26.1% below this industry median. Based on the distribution chart, Royalty Pharma ranks #835 out of 1417 companies in the Biotechnology industry, which is below the industry midpoint. Overall, Royalty Pharma has a GF Score™ of 72/100, reflecting its overall financial health beyond just this single metric.
How does Royalty Pharma's Quick Ratio compare to BNTX and INSM?
According to the Biotechnology industry distribution chart, Royalty Pharma ranks #835 out of 1417 companies for Quick Ratio. This places Royalty Pharma in the lower half of its industry. The industry median Quick Ratio is 3.60. Royalty Pharma's value of 2.66 is 26.1% below this benchmark. Historically, Royalty Pharma's own Quick Ratio has ranged from 1.26 to 21.95 over the past decade. While the company's 10-year median is 4.50 vs. the industry median of 3.60, Royalty Pharma has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Quick Ratio for a Biotechnology company?
The median Quick Ratio among Biotechnology companies is 3.60, based on 1,417 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Royalty Pharma's current Quick Ratio of 2.66 is 26.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Royalty Pharma and its competitors. For the Biotechnology industry, the median Quick Ratio is 3.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Royalty Pharma's current Quick Ratio is 2.66, which is 41% below median its own 10-year median of 4.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Royalty Pharma stock overvalued right now?
Royalty Pharma (MEX:RPRXN) has a current Quick Ratio of 2.66. The stock's GF Value™ is MXN535.17, compared to a current price of MXN775.06 — trading 44.8% above its estimated fair value. The current Quick Ratio is 2.66, which is 41% below median its 10-year median of 4.50 and 26.1% below the Biotechnology industry median of 3.60. Royalty Pharma's overall GF Score™ is 72/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Royalty Pharma (MEX:RPRXN), the current Quick Ratio is 2.66 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Royalty Pharma (MEX:RPRXN) Overvalued in 2026?
Based on GuruFocus' analysis, Royalty Pharma stock appears to be overvalued.
The current stock price of MXN775.06 is trading 44.8% above its estimated GF Value™ of MXN535.17.
Key valuation signals for MEX:RPRXN:
Quick Ratio: 2.66 (41% below median its 10-year median of 4.50)
GF Value™: MXN535.17 vs. price of MXN775.06 (44.8% above fair value)
Industry Position: 26.1% below the Biotechnology median (#835 of 1417)
No single metric tells the full story. See the MEX:RPRXN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Royalty Pharma PLC is the largest buyer of biopharmaceutical royalties. The firm has a portfolio of royalties that entitles it to payments based on the sales of biopharma products. Royalty Pharma receives royalties on more than 35 commercial products, including AbbVie and Johnson & Johnson's Imbruvica (for chronic lymphocytic leukemia and other blood cancers), Biogen's Tysabri (for relapsing forms of multiple sclerosis), Vertex's cystic fibrosis franchise, and 10 development-stage product candidates.
72GF Score
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