Royal Gold, Inc.’s (RGLD - Free Report) adjusted earnings per share of 36 cents per share in second-quarter fiscal 2019 (ended Dec 31, 2018) beat the Zacks Consensus Estimate by a penny. The company had reported a loss per share of 23 cents in the prior-year quarter.
Revenues of $97.6 million in the quarter declined about 14.6% from $114.3 million reported in the year-ago quarter. Revenues declined due to lower average gold, silver and copper prices as well as a drop in overall sales and production.
Royal Gold, Inc. Price, Consensus and EPS Surprise
Operational Highlights
Royal Gold’s volume of 79,600 GEOs (Gold Equivalent Ounces) declined 11.3% from the prior-year quarter. Average gold price declined 3.8% to $1,226 per ounce from the year-ago quarter.
The company reported costs of sales of $18.2 million in the reported quarter, down from the year-ago quarter $19.8 million. General and administrative expenses contracted to $7.4 million, compared with $9.6 million a year ago. Operating profit declined 23% year over year to $31 million.
Financial Position
Net cash provided by operating activities was around $59 million in second-quarter 2019 compared with $76 million in the prior-year quarter. The company ended the quarter with roughly $157 million cash in hand, up from $89 million at fiscal 2018-end. As of the quarter-end, the company’s total debt was $359 million, up from $351 million at fiscal 2018-end. The company has paid dividends worth $16.4 million during the quarter.
In the past year, Royal Gold’s stock has gained 7% outperforming the industry’s gain of 1.5%.
Zacks Rank & Stocks to Consider
Royal Gold carries a Zacks Rank #3 (Hold) currently.
A few better-ranked stocks in the basic materials space include Rio Tinto plc (RIO - Free Report) , Cameco Corporation (CCJ - Free Report) and Israel Chemicals Ltd (ICL - Free Report) . While Rio Tinto currently sports a Zacks Rank #1 (Strong Buy), Cameco and Israel Chemicals carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Rio Tinto has an expected earnings growth rate of 5.1% for 2019. The company’s shares have moved up 8.4% in the past year.
Cameco has an expected earnings growth rate of 18.5% for 2019. Its shares have surged 42.1% in a year’s time.
Israel Chemicals has an expected earnings growth rate of 11.1% for 2019. Its shares have rallied 43.7% in a year’s time.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
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Zacks Names "Single Best Pick to Double"
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Royal Gold, Inc.’s (RGLD - Free Report) adjusted earnings per share of 36 cents per share in second-quarter fiscal 2019 (ended Dec 31, 2018) beat the Zacks Consensus Estimate by a penny. The company had reported a loss per share of 23 cents in the prior-year quarter.
Revenues of $97.6 million in the quarter declined about 14.6% from $114.3 million reported in the year-ago quarter. Revenues declined due to lower average gold, silver and copper prices as well as a drop in overall sales and production.
Royal Gold, Inc. Price, Consensus and EPS Surprise
Operational Highlights
Royal Gold’s volume of 79,600 GEOs (Gold Equivalent Ounces) declined 11.3% from the prior-year quarter. Average gold price declined 3.8% to $1,226 per ounce from the year-ago quarter.
The company reported costs of sales of $18.2 million in the reported quarter, down from the year-ago quarter $19.8 million. General and administrative expenses contracted to $7.4 million, compared with $9.6 million a year ago. Operating profit declined 23% year over year to $31 million.
Financial Position
Net cash provided by operating activities was around $59 million in second-quarter 2019 compared with $76 million in the prior-year quarter. The company ended the quarter with roughly $157 million cash in hand, up from $89 million at fiscal 2018-end. As of the quarter-end, the company’s total debt was $359 million, up from $351 million at fiscal 2018-end. The company has paid dividends worth $16.4 million during the quarter.
In the past year, Royal Gold’s stock has gained 7% outperforming the industry’s gain of 1.5%.
Zacks Rank & Stocks to Consider
Royal Gold carries a Zacks Rank #3 (Hold) currently.
A few better-ranked stocks in the basic materials space include Rio Tinto plc (RIO - Free Report) , Cameco Corporation (CCJ - Free Report) and Israel Chemicals Ltd (ICL - Free Report) . While Rio Tinto currently sports a Zacks Rank #1 (Strong Buy), Cameco and Israel Chemicals carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Rio Tinto has an expected earnings growth rate of 5.1% for 2019. The company’s shares have moved up 8.4% in the past year.
Cameco has an expected earnings growth rate of 18.5% for 2019. Its shares have surged 42.1% in a year’s time.
Israel Chemicals has an expected earnings growth rate of 11.1% for 2019. Its shares have rallied 43.7% in a year’s time.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
See Stocks Today >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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