- Royal Gold has been one of the worst performing royalty/streaming companies over the past 2.5 years, down more than 20% vs. positive returns for Wheaton and Franco Nevada.
- However, the company had a busy finish to 2021, and is set to return to growth in 2022, with significant contributions from its 90% silver stream at Khoemacau.
- Meanwhile, given the underperformance, Royal Gold's valuation is the most attractive it's been since Q1 2020, with the stock trading at just ~24x FY2022 earnings estimates.
- Given Royal Gold's strong track record and enviable project pipeline, I would view any pullbacks below $98.20 as low-risk buying opportunities.
For further details see:
Royal Gold: A Year Of Growth Ahead