Big Move for BIIB, but Do RPRX’s Margins and Growth Give It the Edge?
Royalty Pharma (RPRX) offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Biogen (BIIB), suggesting you may be better off investing in RPRX
- RPRX’s quarterly revenue growth was 7.7%, vs. BIIB’s 6.1%.
- In addition, its Last 12 Months revenue growth came in at 3.0%, ahead of BIIB’s 1.6%.
- RPRX leads on profitability over both periods – LTM margin of 79.8% and 3-year average of 55.8%.
BIIB develops and delivers therapies for neurological diseases, including multiple sclerosis and cancers like non-Hodgkin’s lymphoma, chronic lymphocytic leukemia, rheumatoid arthritis, and pemphigus vulgaris. RPRX founded in 1996, the company holds royalties on about 35 marketed therapies and 10 development-stage product candidates.
Valuation & Performance Overview
| BIIB | RPRX | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 9.6 | 8.4 | RPRX |
| Revenue Growth | |||
| Last Quarter | 6.1% | 7.7% | RPRX |
| Last 12 Months | 1.6% | 3.0% | RPRX |
| Last 3 Year Average | -3.1% | 0.8% | RPRX |
| Operating Margins | |||
| Last 12 Months | 23.2% | 79.8% | RPRX |
| Last 3 Year Average | 23.4% | 55.8% | RPRX |
| Momentum | |||
| Last 3 Year Return | -29.7% | -8.9% | RPRX |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: BIIB Revenue Comparison | RPRX Revenue Comparison
See more margin details: BIIB Operating Income Comparison | RPRX Operating Income Comparison
But do these numbers tell the full story? Read Buy or Sell RPRX Stock to see if Royalty Pharma’s edge holds up under the hood or if Biogen still has cards to play (see Buy or Sell BIIB Stock).
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Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| BIIB Return | -17% | -2% | 15% | -7% | -41% | -3% | -53% | ||
| RPRX Return | – | -19% | 1% | -27% | -6% | 45% | -20% | ||
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 12% | 101% | <=== | |
| Monthly Win Rates [3] | |||||||||
| BIIB Win Rate | 50% | 50% | 42% | 33% | 17% | 38% | 38% | ||
| RPRX Win Rate | 50% | 50% | 50% | 33% | 42% | 86% | 52% | ||
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 62% | 63% | <=== | |
| Max Drawdowns [4] | |||||||||
| BIIB Max Drawdown | -20% | -9% | -22% | -20% | -43% | -26% | -23% | ||
| RPRX Max Drawdown | – | -29% | -6% | -32% | -11% | 0% | -13% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | <=== | |
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 9/11/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read BIIB Dip Buyer Analyses to see how the stock has fallen and recovered in the past.