Diversified Royalty (TSE:DIV) Hits New 1-Year High – Here’s What Happened

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

Analyst Ratings Changes

A number of brokerages have recently weighed in on DIV. Raymond James Financial upped their target price on Diversified Royalty from C$4.25 to C$4.70 and gave the company an “outperform” rating in a report on Wednesday, May 20th. ATB Cormark Capital Markets upped their target price on 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 Diversified Royalty from C$4.50 to C$4.75 and gave the company a “buy” rating in a report on Tuesday, May 19th. Finally, Canaccord Genuity Group upped their target price on 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 and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Diversified Royalty currently has a consensus rating of “Moderate Buy” and a consensus target price of C$4.89.

Diversified Royalty Trading Up 4.2%

The firm has a market cap of C$840.93 million, a P/E ratio of 24.55 and a beta of 1.06. The company has a 50 day moving average of C$4.49 and a 200 day moving average of C$4.13. The company has a debt-to-equity ratio of 103.05, a quick ratio of 1.74 and a current ratio of 2.84.

Diversified Royalty (TSE:DIV) last announced its quarterly earnings results on Thursday, May 14th. The company reported C$0.04 EPS for the quarter. The business had revenue of C$18.80 million during the quarter. Diversified Royalty had a return on equity of 12.54% and a net margin of 49.91%. Analysts predict that Diversified Royalty Corp. will post 0.2 EPS for the current fiscal year.

Diversified Royalty Dividend Announcement

The company also recently declared a monthly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 30th will be paid a $0.0238 dividend. The ex-dividend date of this dividend is Monday, June 15th. This represents a c) annualized dividend and a dividend yield of 5.8%. Diversified Royalty’s payout ratio is presently 137.51%.

Insider Activity

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