Royal Gold logged a -3.3% change during today's afternoon session, and is now trading at a price of $124.45 per share. The S&P 500 index moved -0.1% and the Nasdaq posted a 0.2% change. RGLD's trading volume is 412,475 compared to the stock's average volume of 463,165.
Royal Gold shares moved 29.4% over the last 52 weeks, with a high of $147.7 and a low of $84.54. During this time, the stock outperformed the S&P 500 index by 42.0%. As of January 2022, the company's 50-day average price is $110.0. Royal Gold, Inc., together with its subsidiaries, acquires and manages precious metal streams, royalties, and related interests. The mid-cap Basic Materials company has 29 full time employees and is based in Denver, CO. Royal Gold has returned a 1.9% dividend yield over the last 12 months.
Snapshot of the Company's Strong operating Margins with a Positive Growth Rate:
| 2019-06-30 | 2020-06-30 | 2021-06-30 | |
|---|---|---|---|
| Revenue (k) | $423,056 | $498,819 | $615,856 |
| Revenue Growth | n/a | 17.91% | 23.46% |
| Gross Margins | 42.2% | 47.2% | 54.0% |
| Gross Margins Growth | n/a | 11.85% | 14.41% |
| Operating Margins | 33.3% | 40.2% | 49.3% |
| Operating Margins Growth | n/a | 20.72% | 22.64% |
| Earnings Per Share | $1.43 | $3.03 | $4.6 |
| EPS Growth | n/a | 111.89% | 51.82% |
| Free Cash Flow (k) | $252,111 | $184,767 | $239,004 |
| FCF Growth | n/a | -26.71% | 29.35% |
| Capital Expenditures (k) | -$1,055 | -$155,985 | -$168,147 |
| Net Debt / EBITDA | 0.31 | -0.05 | -0.46 |
Royal Gold Is Too Expensive at Current Levels:
Compared to the Basic Materials sector's average of 8.57, Royal Gold has a trailing twelve month P/E ratio of 30.8 and, according to its EPS guidance of 3.91, an expected P/E ratio of 31.8. Royal Gold's PEG ratio is 0.62 based on its 49.67% average growth rate of historical and projected earnings per share. This suggests that company's shares are undervalued.
Royal Gold's P/B ratio is 3.0 compared to its sector average of 1.86. The company is likely overvalued in terms of its equity. The company's shares are currently trading 135.0% above their fair value as expressed by Benjamin Graham's formula:
√(22.5 * 3-year average EPS * book value per share) = √(22.5 * 3.02 * 41.279) = $52.96
Royal Gold Is the Subject of Mixed Market Indicators:
13 analysts are following Royal Gold and have set target prices ranging from $92.27 to $150 per share. On average, they have given the company a rating of hold. At the current price of $124.45, RGLD is trading -5.68% away from its average analyst target price of $131.94 per share, implying an analyst consensus of some upside potential for the stock.
The company has an average amount of shares sold short since 5.6% of the company's shares are tied to short positions. Institutions own 82.7% of Royal Gold's shares, while the insider ownership rate stands at 0.27%. The biggest shareholder is Blackrock Inc. with a 10% stake in the company worth approximately $853,508,195.
