Royal Gold (RGLD) Is Up 7.4% After Dividend Hike Despite EPS Miss And Director Sale

• Royal Gold recently reported record third-quarter 2025 revenue but missed earnings-per-share expectations and at the same time announced a 6% increase in its annual dividend for 2026, to be paid quarterly from January 16, 2026.
• A director share sale of about US$109,145 and a higher dividend alongside an earnings miss give investors mixed signals about near-term profitability and capital returns.
• Next, we’ll examine how Royal Gold’s record revenue but weaker earnings reshape its investment narrative around growth, margins, and dividends.

Uncover the next big thing with financially sound penny stocks that balance risk and reward.

Royal Gold Investment Narrative Recap

To own Royal Gold, you need to believe in the long term appeal of gold royalties and the company’s ability to translate strong top line growth into durable, high margin cash flows. The latest record revenue, softer earnings and a small director sale do not materially change the near term picture, where gold price sensitivity remains the key catalyst and gold concentration the biggest risk.

The most relevant update here is the roughly 6% dividend increase for 2026 to US$1.90 per share annually, to be paid quarterly from January 16, 2026. For income focused investors, this reinforces Royal Gold’s emphasis on consistent capital returns, but it also raises the stakes if royalty revenue were hit by weaker gold prices or operational issues at key assets.

But investors should also be aware that if gold demand weakens materially over time, especially as digital assets gain traction...

Read the full narrative on Royal Gold (it's free!)

Royal Gold's narrative projects $1.4 billion revenue and $877.9 million earnings by 2028.

Uncover how Royal Gold's forecasts yield a $253.91 fair value, a 16% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members have 11 fair value estimates for Royal Gold, ranging from US$143.73 to about US$270.16, reflecting very different assumptions about future performance. Against this backdrop, the heavy reliance on gold related revenue means you should weigh those varied opinions alongside the concentration risk that could affect margins and dividend resilience.

Explore 11 other fair value estimates on Royal Gold - why the stock might be worth 34% less than the current price!

Build Your Own Royal Gold Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Royal Gold research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Royal Gold research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Royal Gold's overall financial health at a glance.

Interested In Other Possibilities?

Every day counts. These free picks are already gaining attention. See them before the crowd does:

• We've found 13 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.
• This technology could replace computers: discover 28 stocks that are working to make quantum computing a reality.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com