Diversified Royalty (TSE:DIV) Shares Cross Below 200-Day Moving Average – Here’s Why

Shares of Diversified Royalty Corp. (TSE:DIV) passed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of C$4.40 and traded as low as C$4.08. Diversified Royalty shares last traded at C$4.11, with a volume of 195,153 shares trading hands.

Analysts Set New Price Targets

DIV has been the subject of a number of research analyst reports. Canaccord Genuity Group raised their target price on Diversified Royalty from C$4.75 to C$5.50 and gave the company a “buy” rating in a report on Wednesday, May 20th. Desjardins lowered their price objective on shares of Diversified Royalty from C$5.00 to C$4.75 and set a “buy” rating for the company in a research note on Friday, August 14th. ATB Cormark Capital Markets dropped their price objective on shares of Diversified Royalty from C$7.25 to C$7.00 and set an “outperform” rating for the company in a report on Friday, August 14th. Finally, Raymond James Financial increased their target price on shares of Diversified Royalty from C$4.70 to C$5.00 and gave the stock an “outperform” rating in a report on Thursday, July 9th. Four investment analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Diversified Royalty presently has a consensus rating of “Buy” and a consensus target price of C$5.25.

Diversified Royalty Stock Up 0.7%

The firm’s fifty day simple moving average is C$4.36 and its 200 day simple moving average is C$4.40. The company has a market cap of C$775.79 million, a price-to-earnings ratio of 24.18 and a beta of 1.06. The company has a current ratio of 0.49, a quick ratio of 1.74 and a debt-to-equity ratio of 212.48.

Diversified Royalty (TSE:DIV) last issued its earnings results on Wednesday, August 12th. The company reported C$0.02 EPS for the quarter. Diversified Royalty had a net margin of 39.72% and a return on equity of 10.39%. The firm had revenue of C$19.48 million during the quarter. Sell-side analysts predict that Diversified Royalty Corp. will post 0.2 earnings per share for the current year.

Diversified Royalty Dividend Announcement

The firm also recently announced a monthly dividend, which will be paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 29th will be given a dividend of $0.0238 per share. This represents a c) annualized dividend and a dividend yield of 6.9%. The ex-dividend date of this dividend is Tuesday, September 15th. Diversified Royalty’s dividend payout ratio (DPR) is 165.69%.

Insider Buying and Selling

In other Diversified Royalty news, insider Sean Morrison purchased 12,626 shares of the stock in a transaction that occurred on Friday, August 14th. The stock was purchased at an average cost of C$4.02 per share, with a total value of C$50,756.52. Following the completion of the acquisition, the insider directly owned 771,648 shares of the company’s stock, valued at C$3,102,024.96. This trade represents a 1.66% increase in their position. Also, Director Johnny Ciampi acquired 100,000 shares of the business’s stock in a transaction on Friday, August 14th. The shares were bought at an average cost of C$3.99 per share, for a total transaction of C$399,000.00. Following the acquisition, the director owned 112,767 shares of the company’s stock, valued at C$449,940.33. This represents a 783.27% increase in their position. Corporate insiders own 0.52% of the company’s stock.

Diversified Royalty Company Profile

Diversified Royalty Corp is a multi-royalty company. It is engaged in the business of acquiring royalties from multi-location businesses and franchisors in North America. As a part of the investment strategy, the firm always purchases trademarks of the companies it is going to acquire. The company gives its partners the benefit of full operational control of their business, participation in the growth of their company, and tax deductibility on royal payments. All of the company’s operating revenues are earned from the receipt of royalties and management fees from its Royalty Partners.