DIVERSIFIED ROYALTY CORP (DIV.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DIV - CA2553311002 - Common Stock
3.84 CAD
+0.01 (+0.26%)
Overall DIV gets a fundamental rating of 4 out of 10. We evaluated DIV against 19 industry peers in the Specialty Retail industry. There are concerns on the financial health of DIV while its profitability can be described as average. DIV is valied quite expensively at the moment, while it does show a decent growth rate. Finally DIV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- DIV had positive earnings in the past year.
- DIV had a positive operating cash flow in the past year.
- DIV had positive earnings in 4 of the past 5 years.
- In the past 5 years DIV always reported a positive cash flow from operatings.
1.2 Ratios
- DIV's Return On Assets of 4.81% is in line compared to the rest of the industry. DIV outperforms 57.89% of its industry peers.
- DIV has a Return On Equity of 10.24%. This is in the better half of the industry: DIV outperforms 63.16% of its industry peers.
- DIV has a Return On Invested Capital of 7.36%. This is comparable to the rest of the industry: DIV outperforms 57.89% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for DIV is below the industry average of 11.04%.
- The 3 year average ROIC (6.80%) for DIV is below the current ROIC(7.36%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.81% | ||
| ROE | 10.24% | ||
| ROIC | 7.36% |
ROA(3y)4.53%
ROA(5y)3.46%
ROE(3y)9.75%
ROE(5y)7.37%
ROIC(3y)6.8%
ROIC(5y)6.65%
1.3 Margins
- Looking at the Profit Margin, with a value of 43.18%, DIV belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- DIV's Profit Margin has declined in the last couple of years.
- DIV has a Operating Margin of 89.81%. This is amongst the best in the industry. DIV outperforms 100.00% of its industry peers.
- DIV's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 89.81% | ||
| PM (TTM) | 43.18% | ||
| GM | N/A |
OM growth 3Y0.39%
OM growth 5Y0.76%
PM growth 3Y-13.41%
PM growth 5Y-2.33%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DIV is destroying value.
- DIV has more shares outstanding than it did 1 year ago.
- DIV has more shares outstanding than it did 5 years ago.
- DIV has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.43, we must say that DIV is in the distress zone and has some risk of bankruptcy.
- DIV has a Altman-Z score of 1.43. This is comparable to the rest of the industry: DIV outperforms 42.11% of its industry peers.
- A Debt/Equity ratio of 0.98 indicates that DIV is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.98, DIV is in line with its industry, outperforming 42.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.43 |
ROIC/WACC0.87
WACC8.46%
2.3 Liquidity
- DIV has a Current Ratio of 0.79. This is a bad value and indicates that DIV is not financially healthy enough and could expect problems in meeting its short term obligations.
- DIV's Current ratio of 0.79 is on the low side compared to the rest of the industry. DIV is outperformed by 84.21% of its industry peers.
- DIV has a Quick Ratio of 0.79. This is a bad value and indicates that DIV is not financially healthy enough and could expect problems in meeting its short term obligations.
- DIV has a Quick ratio of 0.79. This is comparable to the rest of the industry: DIV outperforms 57.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- The earnings per share for DIV have decreased strongly by -15.00% in the last year.
- DIV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.71% yearly.
- DIV shows a small growth in Revenue. In the last year, the Revenue has grown by 6.88%.
- The Revenue has been growing by 16.37% on average over the past years. This is quite good.
EPS 1Y (TTM)-15%
EPS 3Y-3.85%
EPS 5Y2.71%
EPS Q2Q%25%
Revenue 1Y (TTM)6.88%
Revenue growth 3Y20.35%
Revenue growth 5Y16.37%
Sales Q2Q%13.44%
3.2 Future
- DIV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.54% yearly.
- DIV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y26.57%
EPS Next 2Y18.03%
EPS Next 3Y12.54%
EPS Next 5YN/A
Revenue Next Year10.39%
Revenue Next 2Y9.72%
Revenue Next 3Y8.59%
Revenue Next 5Y2.94%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- DIV is valuated rather expensively with a Price/Earnings ratio of 22.59.
- Compared to the rest of the industry, the Price/Earnings ratio of DIV indicates a somewhat cheap valuation: DIV is cheaper than 63.16% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of DIV to the average of the S&P500 Index (26.94), we can say DIV is valued inline with the index average.
- With a Price/Forward Earnings ratio of 17.23, DIV is valued on the expensive side.
- Based on the Price/Forward Earnings ratio, DIV is valued a bit cheaper than 68.42% of the companies in the same industry.
- DIV's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.59 | ||
| Fwd PE | 17.23 |
4.2 Price Multiples
- DIV's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.24 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- DIV's earnings are expected to grow with 12.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.85
PEG (5Y)8.35
EPS Next 2Y18.03%
EPS Next 3Y12.54%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 7.44%, DIV is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 2.33, DIV pays a better dividend. On top of this DIV pays more dividend than 89.47% of the companies listed in the same industry.
- DIV's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.44% |
5.2 History
- The dividend of DIV has a limited annual growth rate of 4.62%.
- DIV has been paying a dividend for at least 10 years, so it has a reliable track record.
- DIV has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.62%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- DIV pays out 125.97% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of DIV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP125.97%
EPS Next 2Y18.03%
EPS Next 3Y12.54%
TSX:DIV (1/20/2026, 7:00:00 PM)
3.84
+0.01 (+0.26%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)11-11 2025-11-11/amc
Earnings (Next)03-23 2026-03-23/amc
Inst Owners12.95%
Inst Owner ChangeN/A
Ins Owners2.25%
Ins Owner ChangeN/A
Market Cap653.84M
Revenue(TTM)68.78M
Net Income(TTM)29.70M
Analysts77.78
Price Target4.44 (15.63%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.44% |
Yearly Dividend0.22
Dividend Growth(5Y)4.62%
DP125.97%
Div Incr Years3
Div Non Decr Years3
Ex-Date01-15 2026-01-15 (0.02375)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.99%
Min EPS beat(2)-0.99%
Max EPS beat(2)-0.99%
EPS beat(4)1
Avg EPS beat(4)-9.65%
Min EPS beat(4)-60.4%
Max EPS beat(4)23.76%
EPS beat(8)3
Avg EPS beat(8)4.03%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.53%
Min Revenue beat(2)-5.22%
Max Revenue beat(2)-3.85%
Revenue beat(4)0
Avg Revenue beat(4)-5.25%
Min Revenue beat(4)-8.41%
Max Revenue beat(4)-3.52%
Revenue beat(8)0
Avg Revenue beat(8)-6.11%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)8.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-2.2%
EPS NY rev (3m)-4.52%
Revenue NQ rev (1m)-1.9%
Revenue NQ rev (3m)0.45%
Revenue NY rev (1m)-0.81%
Revenue NY rev (3m)-0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.59 | ||
| Fwd PE | 17.23 | ||
| P/S | 9.51 | ||
| P/FCF | N/A | ||
| P/OCF | 14.62 | ||
| P/B | 2.25 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.24 |
EPS(TTM)0.17
EY4.43%
EPS(NY)0.22
Fwd EY5.8%
FCF(TTM)-0.03
FCFYN/A
OCF(TTM)0.26
OCFY6.84%
SpS0.4
BVpS1.7
TBVpS-1.6
PEG (NY)0.85
PEG (5Y)8.35
Graham Number2.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.81% | ||
| ROE | 10.24% | ||
| ROCE | 10.24% | ||
| ROIC | 7.36% | ||
| ROICexc | 7.41% | ||
| ROICexgc | 123.4% | ||
| OM | 89.81% | ||
| PM (TTM) | 43.18% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)4.53%
ROA(5y)3.46%
ROE(3y)9.75%
ROE(5y)7.37%
ROIC(3y)6.8%
ROIC(5y)6.65%
ROICexc(3y)6.83%
ROICexc(5y)6.74%
ROICexgc(3y)76.13%
ROICexgc(5y)N/A
ROCE(3y)9.46%
ROCE(5y)9.25%
ROICexgc growth 3YN/A
ROICexgc growth 5Y15.24%
ROICexc growth 3Y-1.54%
ROICexc growth 5Y5.61%
OM growth 3Y0.39%
OM growth 5Y0.76%
PM growth 3Y-13.41%
PM growth 5Y-2.33%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.61 | ||
| Cap/Depr | 50010.1% | ||
| Cap/Sales | 71.98% | ||
| Interest Coverage | 4.73 | ||
| Cash Conversion | 72.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 1.43 |
F-Score4
WACC8.46%
ROIC/WACC0.87
Cap/Depr(3y)52180.9%
Cap/Depr(5y)N/A
Cap/Sales(3y)104.08%
Cap/Sales(5y)100.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15%
EPS 3Y-3.85%
EPS 5Y2.71%
EPS Q2Q%25%
EPS Next Y26.57%
EPS Next 2Y18.03%
EPS Next 3Y12.54%
EPS Next 5YN/A
Revenue 1Y (TTM)6.88%
Revenue growth 3Y20.35%
Revenue growth 5Y16.37%
Sales Q2Q%13.44%
Revenue Next Year10.39%
Revenue Next 2Y9.72%
Revenue Next 3Y8.59%
Revenue Next 5Y2.94%
EBIT growth 1Y7.08%
EBIT growth 3Y20.82%
EBIT growth 5Y17.25%
EBIT Next Year21.68%
EBIT Next 3Y11.36%
EBIT Next 5Y9.76%
FCF growth 1Y90.88%
FCF growth 3Y62.36%
FCF growth 5YN/A
OCF growth 1Y41.65%
OCF growth 3Y18.67%
OCF growth 5Y15.15%
DIVERSIFIED ROYALTY CORP / DIV.CA FAQ
What is the fundamental rating for DIV stock?
ChartMill assigns a fundamental rating of 4 / 10 to DIV.CA.
Can you provide the valuation status for DIVERSIFIED ROYALTY CORP?
ChartMill assigns a valuation rating of 3 / 10 to DIVERSIFIED ROYALTY CORP (DIV.CA). This can be considered as Overvalued.
How profitable is DIVERSIFIED ROYALTY CORP (DIV.CA) stock?
DIVERSIFIED ROYALTY CORP (DIV.CA) has a profitability rating of 5 / 10.
What is the financial health of DIVERSIFIED ROYALTY CORP (DIV.CA) stock?
The financial health rating of DIVERSIFIED ROYALTY CORP (DIV.CA) is 1 / 10.
Can you provide the dividend sustainability for DIV stock?
The dividend rating of DIVERSIFIED ROYALTY CORP (DIV.CA) is 7 / 10 and the dividend payout ratio is 125.97%.