ARGX vs. RPRX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ARGX and RPRX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ARGX’s market capitalization of 33.18 billion USD is substantially larger than RPRX’s 20.45 billion USD, indicating a significant difference in their market valuations.
RPRX carries a higher beta at 0.47, indicating it’s more sensitive to market moves, while ARGX (beta: 0.04) exhibits greater stability.
ARGX trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, RPRX is a standard domestic listing.
| Symbol | ARGX | RPRX |
|---|---|---|
| Company Name | argenx SE | Royalty Pharma plc |
| Country | NL | US |
| Sector | Healthcare | Healthcare |
| Industry | Biotechnology | Biotechnology |
| CEO | Timothy Van Hauwermeiren EMBA, | Pablo Gerardo Legorreta |
| Price | 543.48 USD | 36.37 USD |
| Market Cap | 33.18 billion USD | 20.45 billion USD |
| Beta | 0.04 | 0.47 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | May 18, 2017 | June 16, 2020 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of ARGX and RPRX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ARGX
16.83%
Biotechnology Industry
- Max
- 72.39%
- Q3
- -6.30%
- Median
- -32.82%
- Q1
- -68.26%
- Min
- -147.61%
In the upper quartile for the Biotechnology industry, ARGX’s Return on Equity of 16.83% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
RPRX
16.19%
Biotechnology Industry
- Max
- 72.39%
- Q3
- -6.30%
- Median
- -32.82%
- Q1
- -68.26%
- Min
- -147.61%
In the upper quartile for the Biotechnology industry, RPRX’s Return on Equity of 16.19% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ARGX
-118.38%
Biotechnology Industry
- Max
- 48.74%
- Q3
- -10.68%
- Median
- -31.65%
- Q1
- -52.92%
- Min
- -113.69%
ARGX has a negative Return on Invested Capital of -118.38%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
RPRX
9.56%
Biotechnology Industry
- Max
- 48.74%
- Q3
- -10.68%
- Median
- -31.65%
- Q1
- -52.92%
- Min
- -113.69%
In the upper quartile for the Biotechnology industry, RPRX’s Return on Invested Capital of 9.56% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ARGX
37.53%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -5.05%
- Median
- -103.44%
- Q1
- -1,032.77%
- Min
- -2,366.07%
A Net Profit Margin of 37.53% places ARGX in the upper quartile for the Biotechnology industry, signifying strong profitability and more effective cost management than most of its peers.
RPRX
48.24%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -5.05%
- Median
- -103.44%
- Q1
- -1,032.77%
- Min
- -2,366.07%
A Net Profit Margin of 48.24% places RPRX in the upper quartile for the Biotechnology industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ARGX
-1.24%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -3.28%
- Median
- -115.26%
- Q1
- -1,188.86%
- Min
- -2,943.30%
ARGX has a negative Operating Profit Margin of -1.24%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
RPRX
83.95%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -3.28%
- Median
- -115.26%
- Q1
- -1,188.86%
- Min
- -2,943.30%
An Operating Profit Margin of 83.95% places RPRX in the upper quartile for the Biotechnology industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ARGX | RPRX |
|---|---|---|
| Return on Equity (TTM) | 16.83% | 16.19% |
| Return on Assets (TTM) | 13.45% | 6.20% |
| Return on Invested Capital (TTM) | -118.38% | 9.56% |
| Net Profit Margin (TTM) | 37.53% | 48.24% |
| Operating Profit Margin (TTM) | -1.24% | 83.95% |
| Gross Profit Margin (TTM) | 46.33% | 99.66% |
Financial Strength
Current Ratio
ARGX
7.29
Biotechnology Industry
- Max
- 28.73
- Q3
- 13.97
- Median
- 6.31
- Q1
- 3.60
- Min
- 0.02
ARGX’s Current Ratio of 7.29 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.
RPRX
1.56
Biotechnology Industry
- Max
- 28.73
- Q3
- 13.97
- Median
- 6.31
- Q1
- 3.60
- Min
- 0.02
RPRX’s Current Ratio of 1.56 falls into the lower quartile for the Biotechnology industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ARGX
0.01
Biotechnology Industry
- Max
- 0.46
- Q3
- 0.22
- Median
- 0.06
- Q1
- 0.02
- Min
- 0.00
Falling into the lower quartile for the Biotechnology industry, ARGX’s Debt-to-Equity Ratio of 0.01 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
RPRX
1.14
Biotechnology Industry
- Max
- 0.46
- Q3
- 0.22
- Median
- 0.06
- Q1
- 0.02
- Min
- 0.00
With a Debt-to-Equity Ratio of 1.14, RPRX operates with exceptionally high leverage compared to the Biotechnology industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
ARGX
-20.85
Biotechnology Industry
- Max
- 108.32
- Q3
- -0.55
- Median
- -8.49
- Q1
- -74.83
- Min
- -168.36
ARGX has a negative Interest Coverage Ratio of -20.85. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
RPRX
7.70
Biotechnology Industry
- Max
- 108.32
- Q3
- -0.55
- Median
- -8.49
- Q1
- -74.83
- Min
- -168.36
RPRX’s Interest Coverage Ratio of 7.70 is in the upper quartile for the Biotechnology industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ARGX | RPRX |
|---|---|---|
| Current Ratio (TTM) | 7.29 | 1.56 |
| Quick Ratio (TTM) | 6.68 | 1.56 |
| Debt-to-Equity Ratio (TTM) | 0.01 | 1.14 |
| Debt-to-Asset Ratio (TTM) | 0.01 | 0.43 |
| Net Debt-to-EBITDA Ratio (TTM) | -189.75 | 2.80 |
| Interest Coverage Ratio (TTM) | -20.85 | 7.70 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ARGX and RPRX. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ARGX
0.00%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ARGX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
RPRX
2.36%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
RPRX’s Dividend Yield of 2.36% is exceptionally high, placing it well above the typical range for the Biotechnology industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio
ARGX
0.00%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ARGX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
RPRX
34.61%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
At 34.61%, RPRX’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Biotechnology industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | ARGX | RPRX |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 2.36% |
| Dividend Payout Ratio (TTM) | 0.00% | 34.61% |
Valuation
Price-to-Earnings Ratio
ARGX
48.48
Biotechnology Industry
- Max
- 78.44
- Q3
- 48.98
- Median
- 20.50
- Q1
- 12.64
- Min
- 2.14
ARGX’s P/E Ratio of 48.48 is within the middle range for the Biotechnology industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
RPRX
14.43
Biotechnology Industry
- Max
- 78.44
- Q3
- 48.98
- Median
- 20.50
- Q1
- 12.64
- Min
- 2.14
RPRX’s P/E Ratio of 14.43 is within the middle range for the Biotechnology industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ARGX
1.27
Biotechnology Industry
- Max
- 2.29
- Q3
- 1.10
- Median
- 0.49
- Q1
- 0.16
- Min
- 0.02
A Forward PEG Ratio of 1.27 places ARGX in the upper quartile for the Biotechnology industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
RPRX
0.81
Biotechnology Industry
- Max
- 2.29
- Q3
- 1.10
- Median
- 0.49
- Q1
- 0.16
- Min
- 0.02
RPRX’s Forward PEG Ratio of 0.81 is within the middle range of its peers in the Biotechnology industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ARGX
15.66
Biotechnology Industry
- Max
- 110.90
- Q3
- 59.76
- Median
- 11.33
- Q1
- 4.45
- Min
- 0.17
ARGX’s P/S Ratio of 15.66 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
RPRX
9.03
Biotechnology Industry
- Max
- 110.90
- Q3
- 59.76
- Median
- 11.33
- Q1
- 4.45
- Min
- 0.17
RPRX’s P/S Ratio of 9.03 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ARGX
7.35
Biotechnology Industry
- Max
- 15.78
- Q3
- 7.44
- Median
- 3.31
- Q1
- 1.58
- Min
- 0.31
The P/B Ratio is often not a primary valuation metric for the Biotechnology industry.
RPRX
2.36
Biotechnology Industry
- Max
- 15.78
- Q3
- 7.44
- Median
- 3.31
- Q1
- 1.58
- Min
- 0.31
The P/B Ratio is often not a primary valuation metric for the Biotechnology industry.
Valuation at a Glance
| Symbol | ARGX | RPRX |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 48.48 | 14.43 |
| Forward PEG Ratio (TTM) | 1.27 | 0.81 |
| Price-to-Sales Ratio (P/S, TTM) | 15.66 | 9.03 |
| Price-to-Book Ratio (P/B, TTM) | 7.35 | 2.36 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -432.72 | 7.57 |
| EV-to-EBITDA (TTM) | 4329.99 | 11.58 |
| EV-to-Sales (TTM) | 15.00 | 11.92 |