OR ROYALTIES INC (OR.CA) Stock Fundamental Analysis
TSX:OR - Toronto Stock Exchange - CA68827L1013 - Common Stock - Currency: CAD
Overall OR gets a fundamental rating of 6 out of 10. We evaluated OR against 794 industry peers in the Metals & Mining industry. Both the health and profitability get an excellent rating, making OR a very profitable company, without any liquidiy or solvency issues. OR has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
OR had positive earnings in the past year.
OR had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: OR reported negative net income in multiple years.
In the past 5 years OR always reported a positive cash flow from operatings.
1.2 Ratios
OR's Return On Assets of 2.23% is amongst the best of the industry. OR outperforms 87.41% of its industry peers.
OR has a better Return On Equity (2.55%) than 86.78% of its industry peers.
OR has a better Return On Invested Capital (5.35%) than 91.44% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OR is significantly below the industry average of 11.36%.
The last Return On Invested Capital (5.35%) for OR is above the 3 year average (4.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.23% | ||
| ROE | 2.55% | ||
| ROIC | 5.35% |
ROA(3y)-2.43%
ROA(5y)-1.51%
ROE(3y)-2.82%
ROE(5y)-1.79%
ROIC(3y)4.05%
ROIC(5y)3.19%
1.3 Margins
With an excellent Profit Margin value of 15.46%, OR belongs to the best of the industry, outperforming 93.83% of the companies in the same industry.
The Operating Margin of OR (68.06%) is better than 99.75% of its industry peers.
OR's Operating Margin has improved in the last couple of years.
OR has a better Gross Margin (80.70%) than 99.12% of its industry peers.
OR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 68.06% | ||
| PM (TTM) | 15.46% | ||
| GM | 80.7% |
OM growth 3Y23.11%
OM growth 5Y37.88%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.75%
GM growth 5Y30.4%
2. Health
2.1 Basic Checks
OR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
OR has more shares outstanding than it did 1 year ago.
The number of shares outstanding for OR has been increased compared to 5 years ago.
The debt/assets ratio for OR has been reduced compared to a year ago.
2.2 Solvency
OR has an Altman-Z score of 19.86. This indicates that OR is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 19.86, OR is in the better half of the industry, outperforming 78.97% of the companies in the same industry.
OR has a debt to FCF ratio of 1.04. This is a very positive value and a sign of high solvency as it would only need 1.04 years to pay back of all of its debts.
OR's Debt to FCF ratio of 1.04 is amongst the best of the industry. OR outperforms 94.33% of its industry peers.
OR has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
OR's Debt to Equity ratio of 0.06 is on the low side compared to the rest of the industry. OR is outperformed by 61.08% of its industry peers.
Although OR does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 1.04 | ||
| Altman-Z | 19.86 |
ROIC/WACC0.6
WACC8.91%
2.3 Liquidity
A Current Ratio of 4.98 indicates that OR has no problem at all paying its short term obligations.
OR has a Current ratio of 4.98. This is in the better half of the industry: OR outperforms 75.31% of its industry peers.
OR has a Quick Ratio of 4.98. This indicates that OR is financially healthy and has no problem in meeting its short term obligations.
OR's Quick ratio of 4.98 is fine compared to the rest of the industry. OR outperforms 75.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.98 | ||
| Quick Ratio | 4.98 |
3. Growth
3.1 Past
The earnings per share for OR have decreased by -3.23% in the last year.
The Earnings Per Share has been growing by 18.35% on average over the past years. This is quite good.
Looking at the last year, OR shows a small growth in Revenue. The Revenue has grown by 4.33% in the last year.
Measured over the past years, OR shows a very negative growth in Revenue. The Revenue has been decreasing by -13.41% on average per year.
EPS 1Y (TTM)-3.23%
EPS 3Y21.77%
EPS 5Y18.35%
EPS Q2Q%-27.78%
Revenue 1Y (TTM)4.33%
Revenue growth 3Y-5.27%
Revenue growth 5Y-13.41%
Sales Q2Q%-32.72%
3.2 Future
Based on estimates for the next years, OR will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.16% on average per year.
The Revenue is expected to decrease by -11.26% on average over the next years. This is quite bad
EPS Next Y30.28%
EPS Next 2Y23.92%
EPS Next 3Y15.48%
EPS Next 5Y11.16%
Revenue Next Year-10.73%
Revenue Next 2Y-1.2%
Revenue Next 3Y2.8%
Revenue Next 5Y-11.26%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 50.83, the valuation of OR can be described as expensive.
OR's Price/Earnings ratio is rather cheap when compared to the industry. OR is cheaper than 86.78% of the companies in the same industry.
OR is valuated expensively when we compare the Price/Earnings ratio to 26.87, which is the current average of the S&P500 Index.
OR is valuated quite expensively with a Price/Forward Earnings ratio of 30.67.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OR indicates a rather cheap valuation: OR is cheaper than 86.52% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.34. OR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.83 | ||
| Fwd PE | 30.67 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OR is valued cheaply inside the industry as 88.54% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, OR is valued cheaply inside the industry as 90.55% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 74.63 | ||
| EV/EBITDA | 34.76 |
4.3 Compensation for Growth
OR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
OR has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as OR's earnings are expected to grow with 15.48% in the coming years.
PEG (NY)1.68
PEG (5Y)2.77
EPS Next 2Y23.92%
EPS Next 3Y15.48%
5. Dividend
5.1 Amount
OR has a yearly dividend return of 0.53%, which is pretty low.
Compared to an average industry Dividend Yield of 17.11, OR pays a better dividend. On top of this OR pays more dividend than 95.21% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, OR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
5.2 History
The dividend of OR decreases each year by -1.32%.
OR has paid a dividend for at least 10 years, which is a reliable track record.
OR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-1.32%
Div Incr Years4
Div Non Decr Years10
5.3 Sustainability
90.14% of the earnings are spent on dividend by OR. This is not a sustainable payout ratio.
DP90.14%
EPS Next 2Y23.92%
EPS Next 3Y15.48%
TSX:OR (8/15/2025, 7:00:00 PM)
42.19
-0.11 (-0.26%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners80.78%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap7.91B
Analysts78.82
Price Target39.44 (-6.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
Yearly Dividend0.23
Dividend Growth(5Y)-1.32%
DP90.14%
Div Incr Years4
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.38%
Min EPS beat(2)-44.52%
Max EPS beat(2)-4.23%
EPS beat(4)2
Avg EPS beat(4)-10.12%
Min EPS beat(4)-44.52%
Max EPS beat(4)5.97%
EPS beat(8)5
Avg EPS beat(8)-0.83%
EPS beat(12)8
Avg EPS beat(12)-1.18%
EPS beat(16)10
Avg EPS beat(16)-9.81%
Revenue beat(2)0
Avg Revenue beat(2)-22.98%
Min Revenue beat(2)-26.88%
Max Revenue beat(2)-19.07%
Revenue beat(4)0
Avg Revenue beat(4)-15.15%
Min Revenue beat(4)-26.88%
Max Revenue beat(4)-7.26%
Revenue beat(8)0
Avg Revenue beat(8)-9.48%
Revenue beat(12)1
Avg Revenue beat(12)-5.28%
Revenue beat(16)3
Avg Revenue beat(16)-3.34%
PT rev (1m)11.36%
PT rev (3m)16.58%
EPS NQ rev (1m)8.21%
EPS NQ rev (3m)4.25%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)1.94%
Revenue NY rev (3m)1.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.83 | ||
| Fwd PE | 30.67 | ||
| P/S | 28.67 | ||
| P/FCF | 74.63 | ||
| P/OCF | 36.87 | ||
| P/B | 4.73 | ||
| P/tB | 5.05 | ||
| EV/EBITDA | 34.76 |
EPS(TTM)0.83
EY1.97%
EPS(NY)1.38
Fwd EY3.26%
FCF(TTM)0.57
FCFY1.34%
OCF(TTM)1.14
OCFY2.71%
SpS1.47
BVpS8.93
TBVpS8.36
PEG (NY)1.68
PEG (5Y)2.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.23% | ||
| ROE | 2.55% | ||
| ROCE | 9.91% | ||
| ROIC | 5.35% | ||
| ROICexc | 5.6% | ||
| ROICexgc | 5.95% | ||
| OM | 68.06% | ||
| PM (TTM) | 15.46% | ||
| GM | 80.7% | ||
| FCFM | 38.41% |
ROA(3y)-2.43%
ROA(5y)-1.51%
ROE(3y)-2.82%
ROE(5y)-1.79%
ROIC(3y)4.05%
ROIC(5y)3.19%
ROICexc(3y)4.26%
ROICexc(5y)3.39%
ROICexgc(3y)4.54%
ROICexgc(5y)3.61%
ROCE(3y)7.5%
ROCE(5y)5.9%
ROICexcg growth 3Y32.46%
ROICexcg growth 5Y27.14%
ROICexc growth 3Y32.42%
ROICexc growth 5Y27.22%
OM growth 3Y23.11%
OM growth 5Y37.88%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.75%
GM growth 5Y30.4%
F-Score8
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 1.04 | ||
| Debt/EBITDA | 0.48 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.76% | ||
| Profit Quality | 248.41% | ||
| Current Ratio | 4.98 | ||
| Quick Ratio | 4.98 | ||
| Altman-Z | 19.86 |
F-Score8
WACC8.91%
ROIC/WACC0.6
Cap/Depr(3y)321.87%
Cap/Depr(5y)359.62%
Cap/Sales(3y)71.43%
Cap/Sales(5y)80.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.23%
EPS 3Y21.77%
EPS 5Y18.35%
EPS Q2Q%-27.78%
EPS Next Y30.28%
EPS Next 2Y23.92%
EPS Next 3Y15.48%
EPS Next 5Y11.16%
Revenue 1Y (TTM)4.33%
Revenue growth 3Y-5.27%
Revenue growth 5Y-13.41%
Sales Q2Q%-32.72%
Revenue Next Year-10.73%
Revenue Next 2Y-1.2%
Revenue Next 3Y2.8%
Revenue Next 5Y-11.26%
EBIT growth 1Y-3.27%
EBIT growth 3Y16.62%
EBIT growth 5Y19.4%
EBIT Next Year1.9%
EBIT Next 3Y7.9%
EBIT Next 5Y6.02%
FCF growth 1Y157.11%
FCF growth 3YN/A
FCF growth 5Y63.07%
OCF growth 1Y18.09%
OCF growth 3Y14.66%
OCF growth 5Y11.79%