| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 1/6 |
| Past Performance | 2/6 |
| Financial Health | 6/6 |
| Dividends | 4/6 |
RGLD Stock Overview
Royal Gold, Inc., together with its subsidiaries, acquires and manages precious metal streams, royalties, and related interests.
Rewards
Risk Analysis
No risks detected for RGLD from our risk checks.
Royal Gold Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$101.62 |
| 52 Week High | US$129.69 |
| 52 Week Low | US$92.01 |
| Beta | 0.65 |
| 1 Month Change | -2.88% |
| 3 Month Change | -0.02% |
| 1 Year Change | -0.52% |
| 3 Year Change | 18.51% |
| 5 Year Change | 42.25% |
| Change since IPO | 6,153.54% |
Recent News & Updates
These 4 Measures Indicate That Royal Gold (NASDAQ:RGLD) Is Using Debt Safely
David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...
Royal Gold: Solid Growth Prospect
Royal Gold reported total revenues of $174.43 million, up 18.8% compared to the same quarter a year ago and 3.8% up from last quarter. Royal Gold reported a record production volume of 97.4K GEOs. The quarterly dividend has been raised to $0.35 per share in 2022. I recommend buying RGLD below $101.
Is Now The Time To Put Royal Gold (NASDAQ:RGLD) On Your Watchlist?
Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...
Estimating The Fair Value Of Royal Gold, Inc. (NASDAQ:RGLD)
In this article we are going to estimate the intrinsic value of Royal Gold, Inc. ( NASDAQ:RGLD ) by taking the expected...
Royal Gold: Record Results With A Strong Year Ahead
Royal Gold released its fiscal Q1 2022 results last week, reporting record attributable sales volume of ~97,400 GEOs, translating to a more than 26% increase year-over-year. This helped Royal Gold to report record revenue of $174.4 million, which was up 19% year-over-year, as well as record adjusted quarterly earnings per share of $1.07. Based on updated FY2022 annual EPS estimates of $4.38, Royal Gold trades at just ~24x forward earnings, which is a very reasonable valuation for this high-margin precious metals play. Therefore, if we were to see further weakness and a pullback below $98.50, I would view this as a low-risk buying opportunity.
Shareholder Returns
| RGLD | US Metals and Mining | US Market | |
|---|---|---|---|
| 7D | -3.3% | -6.4% | -5.1% |
| 1Y | -0.5% | 16.0% | 3.3% |
Return vs Industry: RGLD underperformed the US Metals and Mining industry which returned 16% over the past year.
Return vs Market: RGLD underperformed the US Market which returned 3.3% over the past year.
Price Volatility
| RGLD volatility | |
|---|---|
| RGLD Average Weekly Movement | 3.6% |
| Metals and Mining Industry Average Movement | 9.3% |
| Market Average Movement | 6.7% |
| 10% most volatile stocks in US Market | 15.4% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: RGLD is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: RGLD's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1981 | 28 | Bill Heissenbuttel | https://www.royalgold.com |
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, and cobalt. As of June 30, 2021, the company owned interests in 187 properties on five continents, including interests on 41 producing mines and 17 development stage projects.
Royal Gold Fundamentals Summary
| RGLD fundamental statistics | |
|---|---|
| Market Cap | US$6.67b |
| Earnings (TTM) | US$265.77m |
| Revenue (TTM) | US$635.97m |
25.1x
P/E Ratio10.5x
P/S RatioIs RGLD overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| RGLD income statement (TTM) | |
|---|---|
| Revenue | US$635.97m |
| Cost of Revenue | US$98.23m |
| Gross Profit | US$537.74m |
| Expenses | US$271.97m |
| Earnings | US$265.77m |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Feb 16, 2022
| Earnings per share (EPS) | 4.05 |
| Gross Margin | 84.55% |
| Net Profit Margin | 41.79% |
| Debt/Equity Ratio | 3.7% |
How did RGLD perform over the long term?
See historical performance and comparisonDividends
1.4%
Current Dividend Yield31%
Payout RatioValuation
Is Royal Gold undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RGLD ($101.62) is trading below our estimate of fair value ($241.05)
Significantly Below Fair Value: RGLD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RGLD is poor value based on its PE Ratio (25.1x) compared to the US Metals and Mining industry average (8.2x).
PE vs Market: RGLD is poor value based on its PE Ratio (25.1x) compared to the US market (16.4x).
Price to Earnings Growth Ratio
PEG Ratio: RGLD is poor value based on its PEG Ratio (8.2x)
Price to Book Ratio
PB vs Industry: RGLD is overvalued based on its PB Ratio (2.6x) compared to the US Metals and Mining industry average (2x).
Future Growth
How is Royal Gold forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
3.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RGLD's forecast earnings growth (3% per year) is above the savings rate (2%).
Earnings vs Market: RGLD's earnings (3% per year) are forecast to grow slower than the US market (12.9% per year).
High Growth Earnings: RGLD's earnings are forecast to grow, but not significantly.
Revenue vs Market: RGLD's revenue (4.8% per year) is forecast to grow slower than the US market (9.1% per year).
High Growth Revenue: RGLD's revenue (4.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RGLD's Return on Equity is forecast to be low in 3 years time (9.5%).
Past Performance
How has Royal Gold performed over the past 5 years?
43.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RGLD has high quality earnings.
Growing Profit Margin: RGLD's current net profit margins (41.8%) are lower than last year (45.1%).
Past Earnings Growth Analysis
Earnings Trend: RGLD has become profitable over the past 5 years, growing earnings by 43.2% per year.
Accelerating Growth: RGLD's earnings growth over the past year (12.7%) is below its 5-year average (43.2% per year).
Earnings vs Industry: RGLD earnings growth over the past year (12.7%) underperformed the Metals and Mining industry 125.5%.
Return on Equity
High ROE: RGLD's Return on Equity (10.4%) is considered low.
Financial Health
How is Royal Gold's financial position?
Financial Position Analysis
Short Term Liabilities: RGLD's short term assets ($232.1M) exceed its short term liabilities ($60.3M).
Long Term Liabilities: RGLD's short term assets ($232.1M) exceed its long term liabilities ($190.9M).
Debt to Equity History and Analysis
Debt Level: RGLD has more cash than its total debt.
Reducing Debt: RGLD's debt to equity ratio has reduced from 29.3% to 3.7% over the past 5 years.
Debt Coverage: RGLD's debt is well covered by operating cash flow (464.2%).
Interest Coverage: RGLD's interest payments on its debt are well covered by EBIT (98.2x coverage).
Balance Sheet
Dividend
What is Royal Gold current dividend yield, its reliability and sustainability?
1.38%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RGLD's dividend (1.38%) is higher than the bottom 25% of dividend payers in the US market (1.36%).
High Dividend: RGLD's dividend (1.38%) is low compared to the top 25% of dividend payers in the US market (3.56%).
Stability and Growth of Payments
Stable Dividend: RGLD's dividends per share have been stable in the past 10 years.
Growing Dividend: RGLD's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (30.8%), RGLD's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RGLD's dividends in 3 years are forecast to be well covered by earnings (35.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.0yrs
Average management tenure
CEO
Bill Heissenbuttel (56 yo)
2yrs
Tenure
US$3,042,284
Compensation
Mr. William H. Heissenbuttel, also known as Bill, serves as President, Chief Executive Officer and Director of Royal Gold, Inc. since January 02, 2020. Mr. Heissenbuttel was the Chief Financial Officer and...
CEO Compensation Analysis
Compensation vs Market: Bill's total compensation ($USD3.04M) is below average for companies of similar size in the US market ($USD6.49M).
Compensation vs Earnings: Bill's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: RGLD's management team is considered experienced (2 years average tenure).
Board Members
Experienced Board: RGLD's board of directors are considered experienced (6.4 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 Gold, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Royal Gold, Inc.
- Ticker: RGLD
- Exchange: NasdaqGS
- Founded: 1981
- Industry: Gold
- Sector: Materials
- Implied Market Cap: US$6.670b
- Shares outstanding: 65.64m
- Website: https://www.royalgold.com
Number of Employees
Location
- Royal Gold, Inc.
- 1144 15th Street
- Suite 2500
- Denver
- Colorado
- 80202
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/26 23:57 |
| End of Day Share Price | 2022/01/26 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2021/06/30 |
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.