Diversified Royalty (TSE:DIV) Reaches New 12-Month High – What’s Next?

Diversified Royalty Corp. (TSE:DIV) reached a new 52-week high during trading on Wednesday . The stock traded as high as C$4.93 and last traded at C$4.92, with a volume of 275232 shares traded. The stock had previously closed at C$4.71.

Analyst Upgrades and Downgrades

A number of research firms have recently weighed in on DIV. Raymond James Financial boosted their price objective on Diversified Royalty from C$4.25 to C$4.70 and gave the company an “outperform” rating in a research note on Wednesday, May 20th. Desjardins raised their target price on shares of Diversified Royalty from C$4.50 to C$4.75 and gave the stock a “buy” rating in a research note on Tuesday, May 19th. Canaccord Genuity Group lifted their price target on shares of Diversified Royalty from C$4.75 to C$5.50 and gave the company a “buy” rating in a report on Wednesday, May 20th. Finally, ATB Cormark Capital Markets upped their price target on shares of Diversified Royalty from C$5.00 to C$5.50 and gave the stock an “outperform” rating in a research report on Thursday, May 21st. Four equities research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company has an average rating of “Buy” and a consensus price target of C$4.89.

Diversified Royalty Price Performance

The company has a current ratio of 2.84, a quick ratio of 1.74 and a debt-to-equity ratio of 103.05. The firm has a market capitalization of C$844.35 million, a P/E ratio of 24.65 and a beta of 1.06. The company has a 50 day simple moving average of C$4.52 and a two-hundred day simple moving average of C$4.15.

Diversified Royalty (TSE:DIV) last released its quarterly earnings data on Thursday, May 14th. The company reported C$0.04 earnings per share (EPS) for the quarter. Diversified Royalty had a net margin of 49.91% and a return on equity of 12.54%. The firm had revenue of C$18.80 million for the quarter. On average, equities analysts predict that Diversified Royalty Corp. will post 0.2 EPS for the current fiscal year.

Diversified Royalty Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Tuesday, June 30th will be issued a dividend of $0.0238 per share. This represents a c) annualized dividend and a dividend yield of 5.8%. The ex-dividend date of this dividend is Monday, June 15th. Diversified Royalty’s dividend payout ratio is 137.50%.

Insider Transactions at Diversified Royalty

In other news, insider Greg Gutmanis sold 30,000 shares of Diversified Royalty stock in a transaction dated Friday, May 29th. The stock was sold at an average price of C$4.85, for a total value of C$145,500.00. Following the sale, the insider directly owned 204,185 shares of the company’s stock, valued at approximately C$990,297.25. The trade was a 12.81% decrease in their ownership of the stock. Also, Director Johnny Ciampi sold 152,996 shares of Diversified Royalty stock in a transaction dated Monday, June 8th. The stock was sold at an average price of C$4.77, for a total value of C$729,790.92. Following the completion of the sale, the director directly owned 839,469 shares in the company, valued at C$4,004,267.13. This trade represents a 15.42% decrease in their ownership of the stock. In the last 90 days, insiders have sold 330,000 shares of company stock valued at $1,576,500. Company insiders own 0.52% of the company’s stock.

Diversified Royalty Company Profile

Diversified Royalty Corp is a multi-royalty company. It is engaged in the business of acquiring royalties from multi-location businesses and franchisors in North America. As a part of the investment strategy, the firm always purchases trademarks of the companies it is going to acquire. The company gives its partners the benefit of full operational control of their business, participation in the growth of their company, and tax deductibility on royal payments. All of the company’s operating revenues are earned from the receipt of royalties and management fees from its Royalty Partners.