L2 Asset Management LLC Buys Shares of 5,748 Royal Gold, Inc. $RGLD

Key Points

• L2 Asset Management initiated a position in Royal Gold by purchasing 5,748 shares valued at approximately $1.15 million. Institutional investors and hedge funds collectively own 83.65% of the company.
• Analyst sentiment remains mixed: seven analysts rate Royal Gold a Buy, three a Hold and two a Sell, resulting in a consensus Hold rating and an average price target of $285.10.
• Royal Gold exceeded quarterly earnings and revenue expectations, reporting $2.56 in EPS and $468.98 million in revenue, with revenue up 114.9% year over year. The company also declared a quarterly dividend of $0.475 per share, equivalent to a 0.7% yield.

L2 Asset Management LLC purchased a new position in shares of Royal Gold, Inc. (NASDAQ:RGLD - Free Report) TSE: RGL in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 5,748 shares of the basic materials company's stock, valued at approximately $1,147,000.

Other institutional investors also recently made changes to their positions in the company. Axiom Investment Management LLC purchased a new stake in Royal Gold during the 1st quarter worth about $25,000. Grove Bank & Trust boosted its stake in shares of Royal Gold by 88.6% during the 2nd quarter. Grove Bank & Trust now owns 132 shares of the basic materials company's stock worth $26,000 after purchasing an additional 62 shares during the last quarter. Elyxium Wealth LLC purchased a new stake in shares of Royal Gold during the fourth quarter worth about $27,000. Gen Wealth Partners Inc purchased a new stake in shares of Royal Gold during the fourth quarter worth about $27,000. Finally, Scarborough Advisors LLC acquired a new position in shares of Royal Gold in the first quarter valued at approximately $32,000. 83.65% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several analysts have commented on RGLD shares. UBS Group lifted their target price on shares of Royal Gold from $280.00 to $285.00 and gave the stock a "buy" rating in a research note on Friday, August 7th. Scotiabank restated a "sector perform" rating and set a $310.00 price objective on shares of Royal Gold in a report on Tuesday, July 14th. Zacks Research cut Royal Gold from a "hold" rating to a "strong sell" rating in a report on Friday, July 31st. Jefferies Financial Group lowered their price objective on Royal Gold from $318.00 to $311.00 and set a "buy" rating for the company in a research report on Monday, July 6th. Finally, Weiss Ratings lowered Royal Gold from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Tuesday, August 4th. Seven research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $285.10.

Insider Buying and Selling at Royal Gold

In related news, SVP Randy Shefman sold 500 shares of Royal Gold stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $215.85, for a total value of $107,925.00. Following the transaction, the senior vice president owned 8,582 shares in the company, valued at approximately $1,852,424.70. This trade represents a 5.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 0.35% of the company's stock.

Royal Gold Price Performance

Royal Gold stock opened at $263.75 on Tuesday. Royal Gold, Inc. has a 1 year low of $168.88 and a 1 year high of $306.25. The firm has a 50 day moving average price of $211.14 and a 200 day moving average price of $236.43. The company has a market cap of $22.35 billion, a price-to-earnings ratio of 28.79, a PEG ratio of 1.95 and a beta of 0.44. The company has a debt-to-equity ratio of 0.05, a quick ratio of 2.68 and a current ratio of 2.92.

Royal Gold (NASDAQ:RGLD - Get Free Report) TSE: RGL last posted its quarterly earnings results on Wednesday, August 5th. The basic materials company reported $2.56 earnings per share 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 net margin of 47.74% and a return on equity of 12.06%. Royal Gold's revenue was up 114.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.81 earnings per share. Sell-side analysts predict that Royal Gold, Inc. will post 10.32 earnings per share for the current year.

Royal Gold Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, October 16th. Investors of record on Friday, October 2nd will be given a $0.475 dividend. This represents a $1.90 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend is Friday, October 2nd. Royal Gold's dividend payout ratio (DPR) is 20.74%.

About Royal Gold

Royal Gold, Inc, headquartered in Denver, Colorado, is a leading precious metals streaming and royalty company. Through its business model, Royal Gold provides upfront financing to mining operators in exchange for the right to purchase a percentage of future metal production at predetermined prices. This structure allows the company to participate in production upside while minimizing exposure to the operating and capital-intensive aspects of mine ownership.

The company's portfolio encompasses interests in over 200 streams and royalties on projects across North America, South America, Europe, Africa and Australia.

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