Holds overriding royalty interests in oil and natural gas leases. Collects royalties from the production and sale of oil and gas. Now — the numbers.
This is an established company with proven profits.
Average growth of 27% a year over the last 4 years. Every year shown ended in profit.
If every debt were paid off today, $922K would still be left in the vault — a solid cushion for hard times.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
Clearly below the class average.
The price isn’t cheap next to earnings — that’s why this grade sits in the middle.
Clearly below the class average.
Clearly below the class average.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
An investor who bought at the very peak is down 70% today. The business is the same; what changed most is the price — and the expectations — the market pins on it.
The net profit margin is 72% — still a thick cushion, though costs have been eating into it lately.
Over the last 4 years, sales grew about 27% a year on average.
There is $922K in the vault; even if every debt were paid off, $922K would remain.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 30/100.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 33/100. For a turnaround signal, the stock first needs to close the gap with the market.
The growth engine is running at low revs right now. Report-card grade: 49/100.
We grade companies — revenue, margins, balance sheets. This is a fund, so there is no report card to give. That is not a low grade; it is a different kind of thing.
One-line summary: a basket, not a business. Judge it by what it holds.