OTCPK:ROYE

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Royal Energy Resources

Executive Summary

Royal Energy Resources, Inc. produces and markets coal from surface and underground mines located in Kentucky, Ohio, Utah, and West Virginia in the United States.


Snowflake Analysis

Imperfect balance sheet and overvalued.

Share Price & News

How has Royal Energy Resources's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ROYE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

ROYE

1.5%

US Oil and Gas

1.0%

US Market


1 Year Return

-82.5%

ROYE

-35.9%

US Oil and Gas

4.1%

US Market

Return vs Industry: ROYE underperformed the US Oil and Gas industry which returned -36.3% over the past year.

Return vs Market: ROYE underperformed the US Market which returned 3.7% over the past year.


Shareholder returns

ROYEIndustryMarket
7 Day0%1.5%1.0%
30 Day-44.0%9.0%5.4%
90 Dayn/a-19.8%-5.7%
1 Year-82.5%-82.5%-32.9%-35.9%6.5%4.1%
3 Year-90.6%-90.6%-31.4%-38.6%28.3%19.8%
5 Year-90.3%-90.3%-39.1%-48.8%52.2%35.0%

Price Volatility Vs. Market

How volatile is Royal Energy Resources's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Royal Energy Resources undervalued compared to its fair value and its price relative to the market?

0.11x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ROYE's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ROYE's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ROYE is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: ROYE is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ROYE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ROYE is good value based on its PB Ratio (0.1x) compared to the US Oil and Gas industry average (0.6x).


Next Steps

Future Growth

How is Royal Energy Resources forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

51.7%

Forecasted Energy industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Royal Energy Resources has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of ROYE’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Royal Energy Resources's filings and announcements here.
  • Explore growth companies in the Energy industry.

Past Performance

How has Royal Energy Resources performed over the past 5 years?

6.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ROYE is currently unprofitable.

Growing Profit Margin: ROYE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ROYE is unprofitable, but has reduced losses over the past 5 years at a rate of 6.3% per year.

Accelerating Growth: Unable to compare ROYE's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ROYE is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-19.8%).


Return on Equity

High ROE: ROYE has a negative Return on Equity (-42.64%), as it is currently unprofitable.


Next Steps

Financial Health

How is Royal Energy Resources's financial position?


Financial Position Analysis

Short Term Liabilities: ROYE's short term assets ($46.4M) do not cover its short term liabilities ($52.1M).

Long Term Liabilities: ROYE's short term assets ($46.4M) do not cover its long term liabilities ($111.8M).


Debt to Equity History and Analysis

Debt Level: ROYE's debt to equity ratio (48.2%) is considered high.

Reducing Debt: ROYE had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: ROYE's debt is well covered by operating cash flow (22.4%).

Interest Coverage: Insufficient data to determine if ROYE's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Royal Energy Resources's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ROYE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ROYE's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ROYE's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ROYE's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ROYE's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Rick Boone (65yo)

2.33yrs

Tenure

US$442,051

Compensation

Mr. Richard A. Boone, also known as Rick, has been the Chief Executive Officer of Royal Energy Resources Inc. since January 31, 2018. Mr. Boone is Chief Executive Officer of Rhino GP LLC since December 30, ...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD442.05K) is about average for companies of similar size in the US market ($USD595.62K).

Compensation vs Earnings: Rick's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
William Tuorto
Executive Chairman & Treasurer5.17yrsUS$714.75k46.69% $4.5m
Richard Boone
Chief Executive Officer2.33yrsUS$442.05kno data
Wendell Morris
Chief Financial Officer2.33yrsno datano data
Whitney Kegley
VP, Secretary & General Counsel2.33yrsno datano data
Robert Garner
Consultant of Oil & Gas11.5yrsno datano data
Ronald Phillips
Consultant2.33yrsno datano data
Douglas Holsted
Conusltant2.33yrsno datano data

2.3yrs

Average Tenure

52yo

Average Age

Experienced Management: ROYE's management team is considered experienced (2.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Royal Energy Resources, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Royal Energy Resources, Inc.
  • Ticker: ROYE
  • Exchange: OTCPK
  • Founded: 1999
  • Industry: Coal and Consumable Fuels
  • Sector: Energy
  • Market Cap: US$9.612m
  • Shares outstanding: 17.16m
  • Website: https://www.royalenergy.us

Number of Employees


Location

  • Royal Energy Resources, Inc.
  • 56 Broad Street
  • Suite 2
  • Charleston
  • South Carolina
  • 29401
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ROYEOTCPK (Pink Sheets LLC)YesCommon StockUSUSDAug 2007

Biography

Royal Energy Resources, Inc. produces and markets coal from surface and underground mines located in Kentucky, Ohio, Utah, and West Virginia in the United States. It provides coal of various steam and metallurgical grades, including steam coal primarily to electric utility companies as fuel for their steam powered generators; and metallurgical coal for steel and coke producers who use its coal to produce coke. As of December 31, 2018, the company had an estimated 268.5 million tons of proven and probable coal reserves consisting of an estimated 214.0 million tons of steam coal and an estimated 54.5 million tons of metallurgical coal. The company was formerly known as World Marketing, Inc. and changed its name to Royal Energy Resources, Inc. in December 2007. Royal Energy Resources, Inc. was founded in 1999 and is headquartered in Charleston, South Carolina. Royal Energy Resources, Inc. is a subsidiary of E-Starts Money Co. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 01:08
End of Day Share Price2020/05/05 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.