RGLD is a metals company focused on acquiring and managing precious metal streams, royalties, and other interests in mining operations. The company deals primarily in gold, but other metals too. Royal invests in mining assets, provides liquidity for miners, and funds merger and acquisition activity. This setup allows RGLD to take advantage of rising metals prices without the typical risks of operating costs and capital spending associated with miners.
The company’s fourth-quarter fiscal 2024 earnings report showed a 19% gain in annual revenue, to $719 million, and adjusted per-share earnings of $5.26. Quarterly revenue hit $203 million, which is a record for the company. RGLD’s quarterly net income was $107 million, or $1.63 per share, which is a 71% jump on a year-over-year basis. The company has no debt and more than $1 billion available in revolving credit. Also, RGLD paid over $105 million in dividends and bumped its annual dividend to $1.80 per share for 2025.
It’s no wonder RGLD shares are up 25% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.
Institutional volumes reveal plenty. Recently, RGLD has enjoyed strong investor demand, which we believe to be institutional support.
The green bar signals unusually large volumes in RGLD shares. It reflects our proprietary inflow signal, pushing the stock higher:
Plenty of materials names are under accumulation right now. But there’s a powerful fundamental story happening with Royal.
Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, RGLD has had strong sales growth and profits:
Source: FactSet
Also, EPS is estimated to ramp higher this year by +16%.
Now it makes sense why the stock has been powering to new heights. RGLD has a track record of strong financial performance.
Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.
Royal has been a top-rated stock at MAPsignals for years. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.
It’s made the rare Top 20 report multiple times in the last two decades. The blue bars below show when RGLD was a top pick…rising higher with Big Money support:
Tracking unusual volumes reveals the power of money flows.
This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.
The RGLD rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.
Disclosure: the author holds no position in RGLD at the time of publication.
If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.
This article was originally posted on FX Empire
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