Contrasting Royal Gold (RGLD) & The Competition

Royal Gold (NASDAQ:RGLD) is one of 1,984 public companies in the “Metals & Mining” industry, but how does it compare to its competitors? We will compare Royal Gold to related companies based on the strength of its institutional ownership, earnings, dividends, analyst recommendations, valuation, risk and profitability.

Dividends

Royal Gold pays an annual dividend of $1.90 per share and has a dividend yield of 0.8%. Royal Gold pays out 20.7% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.9% and pay out 10.7% of their earnings in the form of a dividend. Royal Gold has raised its dividend for 25 consecutive years. Royal Gold lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Earnings & Valuation

This table compares Royal Gold and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Royal Gold	$1.55 billion	N/A	26.16
Royal Gold Competitors	$2.98 billion	$128.45 million	-47.14

Royal Gold’s competitors have higher revenue and earnings than Royal Gold. Royal Gold is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Royal Gold and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Royal Gold	N/A	N/A	N/A
Royal Gold Competitors	-1,685,656,668,075,677,400.00%	-26.66%	-4.81%

Risk and Volatility

Royal Gold has a beta of 0.45, indicating that its stock price is 55% less volatile than the S&P 500. Comparatively, Royal Gold’s competitors have a beta of 1.13, indicating that their average stock price is 13% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Royal Gold and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Gold	0	3	8	0	2.73
Royal Gold Competitors	6390	22553	32226	1789	2.47

Royal Gold currently has a consensus price target of $309.56, indicating a potential upside of 29.16%. As a group, “Metals & Mining” companies have a potential upside of 27.87%. Given Royal Gold’s stronger consensus rating and higher possible upside, equities analysts plainly believe Royal Gold is more favorable than its competitors.

Insider & Institutional Ownership

83.7% of Royal Gold shares are held by institutional investors. Comparatively, 15.8% of shares of all “Metals & Mining” companies are held by institutional investors. 0.4% of Royal Gold shares are held by company insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Royal Gold beats its competitors on 8 of the 14 factors compared.

About Royal Gold

Royal Gold, Inc., together with its subsidiaries, acquires and manages precious metal streams, royalties, and related interests. The company engages in acquiring stream and royalty interests or to finance projects that are in production, development, or in the exploration stage in exchange for stream or royalty interests, which primarily consists of gold, silver, copper, nickel, zinc, lead, and other metals. Its stream and royalty interests on properties are located in the United States, Canada, Chile, the Dominican Republic, Australia, Africa, Mexico, Botswana, and internationally. Royal Gold, Inc. was incorporated in 1981 and is headquartered in Denver, Colorado.