Royal Gold, Inc. (NASDAQ:RGLD) Stock Rated "Moderate Buy" by Sell-Side Brokerages

Key Points

• Analysts rate Royal Gold “Moderate Buy”: Nine of 12 brokerages recommend buying the stock, while three rate it a hold. The average 12-month price target is $295.80, above the reported $238.05 opening price.
• Quarterly results exceeded expectations: Royal Gold reported earnings of $2.56 per share versus the $2.55 consensus estimate, while revenue reached $468.98 million and increased 114.9% year over year.
• The company maintains a dividend and strong institutional backing: Royal Gold declared an annualized dividend of $1.90 per share, yielding 0.8%, while institutional investors own 83.65% of its stock.

Royal Gold, Inc. (NASDAQ:RGLD - Get Free Report) TSE: RGL has received an average recommendation of "Moderate Buy" from the twelve brokerages that are covering the company, Marketbeat Ratings reports. Three analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $295.80.

A number of analysts have recently issued reports on RGLD shares. Weiss Ratings upgraded Royal Gold from a "buy (b-)" rating to a "buy (b)" rating in a research report on Friday, October 9th. Zacks Research raised Royal Gold from a "strong sell" rating to a "hold" rating in a report on Monday, September 7th. Canadian Imperial Bank of Commerce set a $305.00 price objective on shares of Royal Gold in a research report on Friday. Scotiabank restated a "sector perform" rating and issued a $310.00 price objective on shares of Royal Gold in a research report on Tuesday, July 14th. Finally, Royal Bank Of Canada raised their target price on shares of Royal Gold from $305.00 to $325.00 and gave the company an "outperform" rating in a research note on Wednesday, September 16th.

Royal Gold Stock Up 2.2%

RGLD opened at $238.05 on Friday. The firm has a market capitalization of $20.17 billion, a P/E ratio of 25.99, a price-to-earnings-growth ratio of 1.75 and a beta of 0.45. Royal Gold has a one year low of $168.88 and a one year high of $306.25. The company has a fifty day moving average price of $246.61 and a 200-day moving average price of $231.31. The company has a debt-to-equity ratio of 0.05, a current ratio of 2.92 and a quick ratio of 2.68.

Royal Gold (NASDAQ:RGLD - Get Free Report) TSE: RGL last issued its quarterly earnings data on Wednesday, August 5th. The basic materials company reported $2.56 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.55 by $0.01. The company had revenue of $468.98 million for the quarter, compared to the consensus estimate of $458.85 million. Royal Gold had a return on equity of 12.06% and a net margin of 47.74%. The firm's revenue was up 114.9% compared to the same quarter last year. During the same quarter last year, the business posted $1.81 earnings per share. Equities research analysts expect that Royal Gold will post 10.30 earnings per share for the current fiscal year.

Royal Gold Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, October 16th. Stockholders of record on Friday, October 2nd were issued a $0.4750 dividend. The ex-dividend date of this dividend was Friday, October 2nd. This represents a $1.90 dividend on an annualized basis and a dividend yield of 0.8%. Royal Gold's dividend payout ratio is presently 20.74%.

Insider Buying and Selling at Royal Gold

In other news, SVP Randy Shefman sold 500 shares of Royal Gold stock in a transaction on Friday, August 28th. The shares were sold at an average price of $262.80, for a total transaction of $131,400.00. Following the completion of the sale, the senior vice president directly owned 8,082 shares of the company's stock, valued at approximately $2,123,949.60. The trade was a 5.83% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.35% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Vontobel Holding Ltd. boosted its holdings in shares of Royal Gold by 171.0% in the 3rd quarter. Vontobel Holding Ltd. now owns 6,878 shares of the basic materials company's stock worth $1,623,000 after purchasing an additional 4,340 shares in the last quarter. TD Waterhouse Canada Inc. raised its holdings in shares of Royal Gold by 7.1% during the 3rd quarter. TD Waterhouse Canada Inc. now owns 12,162 shares of the basic materials company's stock valued at $2,831,000 after buying an additional 801 shares in the last quarter. Howard Capital Management LLC purchased a new position in shares of Royal Gold during the 3rd quarter valued at about $4,548,000. BFI Infinity Ltd. purchased a new position in shares of Royal Gold during the 3rd quarter valued at about $554,000. Finally, Global Strategic Management Inc. lifted its position in Royal Gold by 24.2% in the 3rd quarter. Global Strategic Management Inc. now owns 29,545 shares of the basic materials company's stock worth $6,981,000 after buying an additional 5,765 shares during the last quarter. Institutional investors own 83.65% of the company's stock.

Royal Gold Company Profile

Royal Gold, Inc is a precious metals streaming and royalty company headquartered in Denver, Colorado. Rather than operating mines directly, the company finances mining projects and acquires interests that provide rights to purchase a portion of the metals produced from those operations or to receive royalty payments based on mine revenue.

Royal Gold's portfolio is primarily focused on gold, with additional exposure to silver, copper and other metals. Its interests include streaming agreements and royalties associated with projects such as Pueblo Viejo in the Dominican Republic and Mount Milligan in British Columbia, Canada.

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