RBC Capital took its Royal Gold [RGLD] rating to the equivalent of Outperform from Sector Perform, and the price target to $150 from $155, in a research note dated 2021-01-11. That figure represents around a 42.05% premium from where the company’s shares closed on Friday. Other analysts also revised their coverage, with RBC Capital Mkts’s analysts upgrading the shares from “an Underperform” rating to “a Sector perform” rating in a research note to investors issued in mid May. Meanwhile, Raymond James had raised its rating on RGLD to “an Outperform” from the earlier “Mkt perform”, in a research note produced for clients April 20, 2020. In addition, there was an upgrade from Barclays on April 16, 2020. The rater changed RGLD from “an Underweight” to “an Equal weight”.
Is Royal Gold Inc. [NASDAQ:RGLD] a Good Buy Right Now?
It should be noted that RGLD technical indicators for short, intermediate as well as long term progress have placed an overall average of 100% as Sell. The average signal changed from 100% Sell in the last week and compares with 88% Sell in the past month. Data from Royal Gold Inc.’s Trend Spotter indicated that the signals were Strongest. The stock current average is 0.44 million shares in the past 20 days and the short term average signal indicates a 100% Sell. In the last 50 days, the average trading volume was 0.42 million shares while the medium term average advocated for 100% Sell. The average long-term signal stands at 100% Sell and the 100-day average volume stands at 0.4 million shares.
RGLD Price Performance
On Wall Street, Royal Gold Inc. [NASDAQ:RGLD] finished Friday’s session down -3.49% at $105.60. The stock went up to $107.3199 at the same session while its lowest single day price was $103.7601. In the last five days, it saw a fall of about -0.71%, Royal Gold Inc. shares dropped by almost -0.71% since the beginning of the year. However, the share price has dropped to as low as -28.47% below its one year high. On 01/06/21, the company shares recorded $112.42, the highest single-day price it has got to in the last 52-weeks and a 52-week low was seen on 01/08/21, the same year at $103.76. The company’s shares have declined by -5.87% in the past year. The 50-day SMA achieved is $112.79 while the 200-day SMA is $121.58. Volume gained to 0.58 million from 0.42 million in the previous session.
Royal Gold Inc. [RGLD] Valuation Measures
Notably, Royal Gold Inc. [RGLD] stock cannot be classified as a good candidate in the listing of underestimated low-priced Gold companies to purchase soonest possible with the prevailing 12-month PE ratio of 42.46. The measure means the stock is exchanging at a premium as compared to the 19.02x trailing earnings of the industry. It can be helpful for investors to consider historical price-sales ratio, more specifically, a 13.62 PS value ratio is reported for the last one year of reported earnings. That is higher than the industry average of 1.90 which means RGLD serve an unattractive investment opportunity compared to its competitors.
RGLD Stock Support And Resistance Levels
On the 24-hour scale, the immediate backing is perceived around 103.80 level, and in case of violation of this particular level, it will cause more drop to 102.00 level. On the upper level, 109.12 is still the key resistance. The stock may increase to the subsequent resistance at 107.36. The Relative Strength Index (RSI) pinned on the 14-day chart is 39.29, implying a neutral technical stance while the MACD stands at -0.22, meaning price will decrease in the next trading period. Percent R indicator moved to 84.29%, implying bearish price movement. Stochastic %K at 35.48% suggest selling the stock.
What is the short interest in Royal Gold Inc.?
Short interest in the Royal Gold Inc. stock has surged, increasing by 0.14 million shares to total 0.89 million shares on Dec 14, 2020. The interest had seen shares on Nov 12, 2020 stand at 1.03 million, data from Yahoo Finance shows. The decrease of -16.28% suggests the stock saw some decreased bullish sentiment. The stock’s days to cover (short ratio) moved to while the shorted shares account for just 2.03% of the overall float for the stock.
Royal Gold Inc.’s Biggest Shareholders: Who Owns Royal Gold Inc. [RGLD]?
Filings by Capital Research & Management Co showed that the firm now holds a total of 7,543,649 shares or roughly 11.50% of the outstanding RGLD shares. This means their shares have increased by 420,390 from the 7,543,649 the investor reportedly held in its prior 13-F filing. With the conclusion of the purchase, The Vanguard Group, Inc. updated stake is worth $739,663,153. Details in the latest 13F filings reveal that BlackRock Fund Advisors disposed off their -3.49% stake valued at $583,346,446 while Van Eck Associates Corp. added theirs at $431,444,120. During the last quarter, BlackRock Fund Advisors liquidated -191,192 of its shares in Royal Gold Inc. while Van Eck Associates Corp. bought 183,839 shares. The First Eagle Investment Management’s holdings currently number 2,527,877 shares at $266943811.2. According to the firm’s last 13F report, SSgA Funds Management, Inc. shares in the company at filing stood at 1,746,873 shares, roughly $192,977,060.
RGLD Earnings Forecast For The Current Quarter
Royal Gold Inc. [RGLD] is expected to report strong earnings results for the quarter ending on Dec 2020. Consensus estimates give the company expected revenues of $152.68M and an earnings per share of $0.86 for Dec 2020. Looking further ahead, the company is expected to report revenue of $160.12M at an EPS of $0.95 for Mar 2021. The estimates represent 13.10% and 6.46% in the company’s revenue and earnings per share, respectively, on a year-on-year basis.
RGLD Earnings Estimates For The Current Year
For the financial year, Royal Gold Inc. [NASDAQ:RGLD] is expected to bring in revenue of $602.34M. The returns are nearly $103.52 million higher than the company’s actual revenue recorded in the fiscal year 2020. In terms of EPS for the 2021, estimate put it at 3.62, higher than that of FY20 by $1.19. Estimates put this year’s earnings growth at 49.00%, 6.60% for the next, and at an annual 15.80% over the next 5-year period. As for sales, forecasts are for an increase of 20.80% in the current fiscal year and a further 13.10% over the following year.