DIVERSIFIED ROYALTY CORP (DIV.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DIV - CA2553311002 - Common Stock
3.84 CAD
+0.01 (+0.26%)
Taking everything into account, DIV scores 4 out of 10 in our fundamental rating. DIV was compared to 19 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 is valied quite expensively at the moment, while it does show a decent growth rate. DIV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- DIV had positive earnings in the past year.
- In the past year DIV had a positive cash flow from operations.
- DIV had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years DIV had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of DIV (4.81%) is comparable to the rest of the industry.
- DIV's Return On Equity of 10.24% is fine compared to the rest of the industry. DIV outperforms 63.16% of its industry peers.
- With a Return On Invested Capital value of 7.36%, DIV perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for DIV is below the industry average of 11.04%.
- The last Return On Invested Capital (7.36%) for DIV is above the 3 year average (6.80%), which is a sign of increasing profitability.
| 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's Profit Margin of 43.18% is amongst the best of the industry. DIV outperforms 100.00% of its industry peers.
- DIV's Profit Margin has declined in the last couple of years.
- The Operating Margin of DIV (89.81%) is better than 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
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DIV is destroying value.
- The number of shares outstanding for DIV has been increased compared to 1 year ago.
- The number of shares outstanding for DIV has been increased compared to 5 years ago.
- Compared to 1 year ago, DIV has an improved debt to assets ratio.
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.
- With a Altman-Z score value of 1.43, DIV perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
- DIV has a Debt/Equity ratio of 0.98. This is a neutral value indicating DIV is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.98, DIV perfoms like the industry average, 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 has a Current ratio of 0.79. This is amonst the worse of the industry: DIV underperforms 84.21% 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 (0.79) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- DIV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.00%.
- Measured over the past 5 years, DIV shows a small growth in Earnings Per Share. The EPS has been growing by 2.71% on average per year.
- Looking at the last year, DIV shows a small growth in Revenue. The Revenue has grown by 6.88% in the last year.
- 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
- Based on estimates for the next years, DIV will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.54% on average per year.
- The Revenue is expected to grow by 2.94% on average over the next years.
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
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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
- A Price/Earnings ratio of 22.59 indicates a rather expensive valuation of DIV.
- 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.
- DIV's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.38.
- Based on the Price/Forward Earnings ratio of 17.23, the valuation of DIV can be described as rather expensive.
- 68.42% of the companies in the same industry are more expensive than DIV, based on the Price/Forward Earnings ratio.
- DIV is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.59 | ||
| Fwd PE | 17.23 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DIV is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.24 |
4.3 Compensation for Growth
- DIV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as DIV's earnings are expected to grow with 12.54% in the coming years.
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.
- Compared to an average S&P500 Dividend Yield of 1.85, DIV pays a better dividend.
| 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
- 125.97% of the earnings are spent on dividend by DIV. 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 2Y18.03%
EPS Next 3Y12.54%
TSX:DIV (1/16/2026, 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 2 / 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%.