12 Cheap Healthcare Stocks to Buy Now

6. Royalty Pharma plc (NASDAQ:RPRX)

Forward PE Ratio: 7.17 

Royalty Pharma plc (NASDAQ:RPRX), a biopharmaceutical company specializing in acquiring and managing royalties from marketed drugs, continues to demonstrate strong growth and strategic expansion. By purchasing royalty interests, the company earns income as partnered medicines generate sales, while also funding innovation in the biopharma sector.

In its Q2 2025 results, announced in August, Royalty Pharma plc (NASDAQ:RPRX) reported a 20% increase in Portfolio Receipts to $727 million and an 11% rise in Royalty Receipts to $672 million. Key contributors included royalties from Voranigo, Trelegy, Evrysdi, and Tremfya, highlighting the performance and diversification of its portfolio.

A major milestone was the acquisition of its external manager, RP Management, LLC, in May 2025. This integration consolidates intellectual capital and streamlines operations, marking a strategic evolution toward a fully integrated public company. For investors scanning cheap healthcare stocks, RPRX’s model offers a differentiated way to gain exposure to a broad pipeline of therapies through royalty streams rather than direct drug development risk.

RPRX is also advancing innovative funding partnerships. In September, it announced a $2 billion funding arrangement with Revolution Medicines, including a synthetic royalty on daraxonrasib, a Phase 3 therapy targeting RAS-addicted cancers. Earlier, FDA approval of Adstiladrin, a gene therapy for bladder cancer, triggered a $200 million milestone payment to the company, reflecting exposure to cutting-edge therapies.

To strengthen liquidity for future royalty acquisitions and investments, Royalty Pharma plc (NASDAQ:RPRX) priced $2 billion in senior unsecured notes in early September 2025. The company also released a Deloitte-conducted biopharma royalty market study on September 10, signaling leadership and active engagement with industry trends that shape its business model and strategy.