Diversified Royalty (TSE:DIV) Hits New 12-Month High – Here’s Why

Diversified Royalty Corp. (TSE:DIV) shares hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as C$4.98 and last traded at C$4.89, with a volume of 297856 shares trading hands. The stock had previously closed at C$4.92.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on DIV shares. ATB Cormark Capital Markets increased their price objective on shares of Diversified Royalty from C$5.00 to C$5.50 and gave the company an “outperform” rating in a report on Thursday, May 21st. Desjardins upped 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 report on Tuesday, May 19th. Raymond James Financial raised their target price on shares of 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. Finally, 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. Four equities research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the company currently has an average rating of “Buy” and a consensus target price of C$4.89.

Diversified Royalty Stock Performance

The business has a 50 day moving average of C$4.54 and a 200 day moving average of C$4.17. The company has a market capitalization of C$854.33 million, a P/E ratio of 24.45 and a beta of 1.06. The company has a quick ratio of 1.74, a current ratio of 2.84 and a debt-to-equity ratio of 103.05.

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. The business had revenue of C$18.80 million for the quarter. Diversified Royalty had a return on equity of 12.54% and a net margin of 49.91%. On average, sell-side analysts predict that Diversified Royalty Corp. will post 0.2 earnings per share for the current year.

Diversified Royalty Dividend Announcement

The firm also recently declared a monthly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 30th will be given a $0.0238 dividend. This represents a c) annualized dividend and a yield of 5.8%. The ex-dividend date is Monday, June 15th. Diversified Royalty’s payout ratio is currently 137.50%.

Insiders Place Their Bets

In other Diversified Royalty news, Director Johnny Ciampi sold 147,004 shares of Diversified Royalty stock in a transaction on Monday, June 8th. The shares were sold at an average price of C$4.77, for a total value of C$701,209.08. Following the completion of the transaction, the director directly owned 12,767 shares of the company’s stock, valued at C$60,898.59. This trade represents a 92.01% decrease in their position. Also, insider Greg Gutmanis sold 30,000 shares of the business’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of C$4.85, for a total transaction of C$145,500.00. Following the completion of the sale, the insider owned 204,185 shares in the company, valued at approximately C$990,297.25. This trade represents a 12.81% decrease in their ownership of the stock. In the last ninety days, insiders have sold 330,000 shares of company stock worth $1,576,500. 0.52% of the stock is owned by insiders.

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.