Diversified Royalty (TSE:DIV) Reaches New 12-Month High – Time to Buy?

Diversified Royalty Corp. (TSE:DIV) reached a new 52-week high during mid-day trading on Monday . The stock traded as high as C$3.83 and last traded at C$3.83, with a volume of 96956 shares changing hands. The stock had previously closed at C$3.77.

Analysts Set New Price Targets

Separately, CIBC boosted their target price on shares of Diversified Royalty from C$3.50 to C$4.00 in a research note on Friday, November 14th. One analyst has rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of C$3.87.

Diversified Royalty Stock Up 1.6%

The stock has a market capitalization of C$652.15 million, a P/E ratio of 22.53 and a beta of 1.03. The company has a current ratio of 4.28, a quick ratio of 1.74 and a debt-to-equity ratio of 90.70. The business has a 50-day moving average price of C$3.63 and a 200 day moving average price of C$3.51.

Diversified Royalty (TSE:DIV) last announced its quarterly earnings data on Thursday, November 13th. The company reported C$0.05 EPS for the quarter. Diversified Royalty had a return on equity of 11.46% and a net margin of 49.25%.The company had revenue of C$19.59 million for the quarter. On average, equities analysts expect that Diversified Royalty Corp. will post 0.2 EPS for the current fiscal year.

Diversified Royalty Increases Dividend

The business also recently disclosed a monthly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Wednesday, December 31st were issued a dividend of $0.0238 per share. This represents a c) annualized dividend and a dividend yield of 7.5%. This is an increase from Diversified Royalty’s previous monthly dividend of $0.02. The ex-dividend date was Monday, December 15th. Diversified Royalty’s dividend payout ratio is currently 151.95%.

About Diversified Royalty

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.