Sabine Royalty Trust (NYSE:SBR) Share Price Breaks Below 200 Day Moving Average - Time to Sell?

Key Points

• Sabine Royalty Trust shares fell below their 200-day moving average, trading as low as $71.99 versus the $74.03 average, although the stock later traded near $72.97.
• Despite the technical weakness, the trust maintains a consensus “Buy” rating from the one covering analyst. Weiss Ratings slightly downgraded its rating from “buy (b)” to “buy (b-).”
• Sabine increased its monthly dividend to $0.3554 per share, equivalent to an annualized $4.27 payout and a 5.8% yield; its latest quarter included $21.79 million in revenue and $1.43 in earnings per share.

Shares of Sabine Royalty Trust (NYSE:SBR - Get Free Report) passed below its 200-day moving average during trading on Tuesday. The stock has a 200-day moving average of $74.03 and traded as low as $71.99. Sabine Royalty Trust shares last traded at $72.97, with a volume of 14,018 shares changing hands.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings cut shares of Sabine Royalty Trust from a "buy (b)" rating to a "buy (b-)" rating in a research note on Thursday, October 8th. One investment analyst has rated the stock with a Buy rating. Based on data from MarketBeat.com, the stock has a consensus rating of "Buy".

Sabine Royalty Trust Trading Up 0.9%

The stock's 50-day moving average is $73.05 and its 200-day moving average is $74.03. The company has a market cap of $1.06 billion, a price-to-earnings ratio of 14.89 and a beta of 0.29.

Sabine Royalty Trust (NYSE:SBR - Get Free Report) last issued its earnings results on Friday, August 7th. The energy company reported $1.43 earnings per share for the quarter. Sabine Royalty Trust had a return on equity of 961.80% and a net margin of 94.90%. The company had revenue of $21.79 million for the quarter.

Sabine Royalty Trust Increases Dividend

The firm also recently announced a monthly dividend, which will be paid on Thursday, October 29th. Stockholders of record on Thursday, October 15th will be given a dividend of $0.3554 per share. The ex-dividend date of this dividend is Thursday, October 15th. This is a boost from Sabine Royalty Trust's previous monthly dividend of $0.3317. This represents a $4.27 annualized dividend and a dividend yield of 5.8%. Sabine Royalty Trust's payout ratio is presently 86.94%.

Institutional Trading of Sabine Royalty Trust

Several institutional investors and hedge funds have recently made changes to their positions in the company. Clare Market Investments LLC purchased a new stake in Sabine Royalty Trust in the first quarter worth $1,644,000. Arrowstreet Capital Limited Partnership bought a new stake in shares of Sabine Royalty Trust in the first quarter valued at $774,000. Independent Financial Group LLC bought a new stake in shares of Sabine Royalty Trust in the first quarter valued at $765,000. DGS Capital Management LLC lifted its position in shares of Sabine Royalty Trust by 75.3% during the 1st quarter. DGS Capital Management LLC now owns 8,582 shares of the energy company's stock valued at $644,000 after buying an additional 3,685 shares during the last quarter. Finally, Blue Trust Inc. lifted its position in shares of Sabine Royalty Trust by 15.2% during the 1st quarter. Blue Trust Inc. now owns 25,055 shares of the energy company's stock valued at $1,888,000 after buying an additional 3,297 shares during the last quarter. Hedge funds and other institutional investors own 15.81% of the company's stock.

Sabine Royalty Trust Company Profile

Sabine Royalty Trust NYSE: SBR is a grantor trust that holds royalty and mineral interests in oil and natural gas properties in the United States. The trust does not operate wells or provide energy services; instead, it receives royalty payments and other proceeds generated by the production and sale of oil, natural gas and related hydrocarbons from the properties in which it holds interests.

The trust was established in 1982 after Sabine Corporation transferred certain royalty and mineral interests to the trust.

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