Zacks Investment Research upgraded shares of Royal Gold (NASDAQ:RGLD) (TSE:RGL) from a sell rating to a hold rating in a research note published on Monday.
According to Zacks, “Royal Gold’s fiscal first-quarter 2019 performance was impacted by reduced sales at Mount Milligan due to lack of sufficient water sources. The operator, Centerra is trying to reach a long-term water solution. The resolution of the Voisey’s Bay Royalty dispute gives Royal Gold the exposure to a world-class operating asset. It has completed a preliminary economic assessment on the Peak Gold project, which in turn presents a robust open pit mining operation with attractive economics. The company has outperformed the industry over the past year. Royal Gold remains focused on allocating its strong cash flow to dividends, debt reduction and new business. However, lower production targets for calendar 2018 and lower gold prices remain concerns.”
RGLD has been the subject of a number of other reports. Barclays started coverage on shares of Royal Gold in a research report on Wednesday, October 10th. They issued an equal weight rating and a $78.00 target price for the company. BidaskClub upgraded shares of Royal Gold from a strong sell rating to a sell rating in a research report on Saturday, November 17th. TD Securities cut shares of Royal Gold from a buy rating to a hold rating and reduced their target price for the company from $97.00 to $88.00 in a research report on Friday, November 2nd. ValuEngine upgraded shares of Royal Gold from a hold rating to a buy rating in a research report on Friday, December 7th. Finally, Raymond James set a $94.00 price objective on shares of Royal Gold and gave the company a buy rating in a report on Thursday, November 1st. Five research analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. Royal Gold currently has a consensus rating of Buy and an average target price of $94.50.
Royal Gold (NASDAQ:RGLD) (TSE:RGL) last issued its earnings results on Wednesday, October 31st. The basic materials company reported $0.23 EPS for the quarter, missing the Zacks’ consensus estimate of $0.37 by ($0.14). The business had revenue of $100.00 million during the quarter, compared to analyst estimates of $98.88 million. Royal Gold had a negative net margin of 28.39% and a positive return on equity of 4.66%. Royal Gold’s quarterly revenue was down 11.1% on a year-over-year basis. During the same quarter last year, the company earned $0.44 earnings per share. Research analysts forecast that Royal Gold will post 1.47 earnings per share for the current year.
The company also recently disclosed a quarterly dividend, which will be paid on Friday, January 18th. Investors of record on Friday, January 4th will be issued a $0.265 dividend. The ex-dividend date is Thursday, January 3rd. This represents a $1.06 dividend on an annualized basis and a dividend yield of 1.26%. This is a positive change from Royal Gold’s previous quarterly dividend of $0.25. Royal Gold’s dividend payout ratio is currently 60.23%.
Several institutional investors and hedge funds have recently made changes to their positions in RGLD. Pinkerton Retirement Specialists LLC purchased a new stake in shares of Royal Gold in the third quarter valued at about $101,000. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of Royal Gold in the second quarter valued at about $151,000. Titus Wealth Management purchased a new stake in shares of Royal Gold in the third quarter valued at about $204,000. Squar Milner Financial Services LLC grew its holdings in shares of Royal Gold by 41.6% in the third quarter. Squar Milner Financial Services LLC now owns 2,696 shares of the basic materials company’s stock valued at $208,000 after purchasing an additional 792 shares during the period. Finally, Strs Ohio purchased a new position in Royal Gold during the second quarter worth about $225,000. 75.24% of the stock is owned by hedge funds and other institutional investors.
About Royal Gold
Royal Gold, Inc, together with its subsidiaries, acquires and manages precious metal streams, royalties, and related interests. It focuses on acquiring stream and royalty interests or to finance projects that are in production or in development stage in exchange for stream or royalty interests, which primarily consists of gold, silver, copper, nickel, zinc, lead, cobalt, and molybdenum.
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