DIVERSIFIED ROYALTY CORP (DIV.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DIV - CA2553311002 - Common Stock
3.72 CAD
+0.03 (+0.81%)
Overall DIV gets a fundamental rating of 4 out of 10. We evaluated DIV against 16 industry peers in the Specialty Retail industry. DIV has a medium profitability rating, but doesn't score so well on its financial health evaluation. DIV has a correct valuation and a medium growth rate. Finally DIV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year DIV was profitable.
DIV had a positive operating cash flow in the past year.
DIV had positive earnings in 4 of the past 5 years.
DIV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.81%, DIV is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Looking at the Return On Equity, with a value of 10.24%, DIV is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.36%, DIV is doing good in the industry, outperforming 62.50% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DIV is below the industry average of 9.32%.
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
DIV has a Profit Margin of 43.18%. This is amongst the best in the industry. DIV outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of DIV has declined.
DIV has a Operating Margin of 89.81%. This is amongst the best in the industry. DIV outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of DIV has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DIV is destroying value.
The number of shares outstanding for DIV has been increased compared to 1 year ago.
DIV has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, DIV has an improved debt to assets ratio.
2.2 Solvency
DIV has an Altman-Z score of 1.40. This is a bad value and indicates that DIV is not financially healthy and even has some risk of bankruptcy.
DIV has a worse Altman-Z score (1.40) than 62.50% of its industry peers.
DIV has a Debt/Equity ratio of 0.98. This is a neutral value indicating 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 43.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.4 |
ROIC/WACC0.9
WACC8.22%
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 has a worse Current ratio (0.79) than 81.25% of its industry peers.
A Quick Ratio of 0.79 indicates that DIV may have some problems paying its short term obligations.
DIV has a Quick ratio of 0.79. This is in the better half of the industry: DIV outperforms 62.50% 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.
Looking at the last year, DIV shows a small growth in Revenue. The Revenue has grown by 6.88% in the last year.
DIV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.37% yearly.
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
Based on estimates for the next years, DIV will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.23% on average per year.
DIV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y29.41%
EPS Next 2Y19.18%
EPS Next 3Y13.23%
EPS Next 5YN/A
Revenue Next Year11.28%
Revenue Next 2Y10.68%
Revenue Next 3Y8.28%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.88 indicates a rather expensive valuation of DIV.
Based on the Price/Earnings ratio, DIV is valued a bit cheaper than 68.75% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.57, DIV is valued at the same level.
DIV is valuated correctly with a Price/Forward Earnings ratio of 16.37.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DIV indicates a somewhat cheap valuation: DIV is cheaper than 75.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, DIV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.88 | ||
| Fwd PE | 16.37 |
4.2 Price Multiples
DIV's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.91 |
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.
The decent profitability rating of DIV may justify a higher PE ratio.
DIV's earnings are expected to grow with 13.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)8.08
EPS Next 2Y19.18%
EPS Next 3Y13.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.66%, DIV is a good candidate for dividend investing.
DIV's Dividend Yield is rather good when compared to the industry average which is at 1.64. DIV pays more dividend than 93.75% of the companies in the same industry.
DIV's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.66% |
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.
DIV's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP125.97%
EPS Next 2Y19.18%
EPS Next 3Y13.23%
TSX:DIV (12/24/2025, 7:00:00 PM)
3.72
+0.03 (+0.81%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners12.82%
Inst Owner ChangeN/A
Ins Owners2.23%
Ins Owner ChangeN/A
Market Cap633.40M
Revenue(TTM)68.78M
Net Income(TTM)29.70M
Analysts77.78
Price Target4.44 (19.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.66% |
Yearly Dividend0.22
Dividend Growth(5Y)4.62%
DP125.97%
Div Incr Years3
Div Non Decr Years3
Ex-Date
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)8.48%
PT rev (3m)8.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-0.15%
EPS NY rev (3m)-2.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.41%
Revenue NY rev (1m)-1.55%
Revenue NY rev (3m)0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.88 | ||
| Fwd PE | 16.37 | ||
| P/S | 9.21 | ||
| P/FCF | N/A | ||
| P/OCF | 14.16 | ||
| P/B | 2.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.91 |
EPS(TTM)0.17
EY4.57%
EPS(NY)0.23
Fwd EY6.11%
FCF(TTM)-0.03
FCFYN/A
OCF(TTM)0.26
OCFY7.06%
SpS0.4
BVpS1.7
TBVpS-1.6
PEG (NY)0.74
PEG (5Y)8.08
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 | 1.4 |
F-Score4
WACC8.22%
ROIC/WACC0.9
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 Y29.41%
EPS Next 2Y19.18%
EPS Next 3Y13.23%
EPS Next 5YN/A
Revenue 1Y (TTM)6.88%
Revenue growth 3Y20.35%
Revenue growth 5Y16.37%
Sales Q2Q%13.44%
Revenue Next Year11.28%
Revenue Next 2Y10.68%
Revenue Next 3Y8.28%
Revenue Next 5Y2.94%
EBIT growth 1Y7.08%
EBIT growth 3Y20.82%
EBIT growth 5Y17.25%
EBIT Next Year23.74%
EBIT Next 3Y12.04%
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.
What is the valuation status of DIVERSIFIED ROYALTY CORP (DIV.CA) stock?
ChartMill assigns a valuation rating of 4 / 10 to DIVERSIFIED ROYALTY CORP (DIV.CA). This can be considered as Fairly Valued.
How profitable is DIVERSIFIED ROYALTY CORP (DIV.CA) stock?
DIVERSIFIED ROYALTY CORP (DIV.CA) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for DIV stock?
The Earnings per Share (EPS) of DIVERSIFIED ROYALTY CORP (DIV.CA) is expected to grow by 29.41% in the next year.
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%.