Dorchester Minerals (DMLP) AI Stock Analysis

• Market Cap: $1.19B
• Dividend Yield: 12.3%
• Average Volume (3M): 102.87K
• Price to Earnings (P/E): 14.1
• Beta (1Y): 0.36
• Revenue Growth: 4.58%
• EPS Growth: -32.82%
• Country: US
• Employees: 27
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.25
• Shares Outstanding: 47,339,756
• 10 Day Avg. Volume: 181,180
• 30 Day Avg. Volume: 102,866
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 7.58
• Enterprise Value/Gross Profit: 12.31
• Enterprise Value/Ebitda: 11.53
• 1Y Price Target: $27.00
• Price Target Upside: 7.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: $27.00 ▲(7.78% Upside)

Dorchester Minerals' strong financial performance is the most significant factor, supported by robust profitability and cash flow generation. However, the lack of technical analysis data and negative sentiment from recent corporate events, including declining net income, weigh on the overall score. The reasonable valuation and high dividend yield provide some balance, but the overall outlook remains cautious.

Dorchester Minerals Business Overview & Revenue Model

Company Description

Dorchester Minerals, L.P. (DMLP) is a publicly traded Delaware limited partnership engaged in the acquisition, ownership, and administration of producing and non-producing mineral, royalty, overriding royalty, net profits, and leasehold interests. Operating within the oil and natural gas sectors, the company primarily focuses on managing its extensive portfolio of properties located in various onshore basins across the United States, leveraging its expertise to maximize the value of its diverse asset base.

How the Company Makes Money

Dorchester Minerals, L.P. generates revenue primarily through the collection of royalties and net profits interests derived from its extensive portfolio of producing oil and natural gas properties. These revenue streams include royalties received from operators who extract and sell hydrocarbons from the company's mineral and royalty interests, and net profits interests which represent a percentage of the profits from production after the deduction of operational and development costs. The company's earnings are significantly influenced by fluctuations in commodity prices, production volumes, and operational efficiencies. While Dorchester Minerals does not directly engage in exploration or production activities, its strategic partnerships with operators who manage these activities on its properties play a critical role in optimizing its revenue potential.

Dorchester Minerals Financial Statement Overview

Summary

Dorchester Minerals demonstrates strong financial performance with high profitability, a robust balance sheet, and efficient cash flow management. Despite a slight slowdown in revenue growth, the company's low leverage and strong equity position provide a solid foundation for resilience in the volatile oil and gas industry.

Income Statement

Dorchester Minerals has demonstrated strong profitability with a high gross profit margin of 66.15% and a solid net profit margin of 52.18% for the TTM (Trailing-Twelve-Months). While total revenue increased by 7.54% from 2024, there was a slight decline from the 2023 levels. Despite this, the company's EBIT and EBITDA margins remain robust, indicating effective cost management.

Balance Sheet

The company maintains a very healthy balance sheet with a low debt-to-equity ratio of 0.003, signaling minimal financial leverage. The equity ratio stands at an impressive 99.07%, reflecting strong financial stability and shareholder funding. Return on Equity (ROE) is also commendable at 26.21%, demonstrating efficient use of equity capital.

Cash Flow

Dorchester Minerals exhibits strong cash flow metrics with a consistent operating cash flow to net income ratio of 1.52. The free cash flow to net income ratio is equally solid, supporting sustainable dividend payments and potential reinvestments. However, the free cash flow growth rate shows minimal change, which could indicate a plateau in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	168.74M	161.52M	163.80M	170.80M	93.42M	46.93M
Gross Profit	103.93M	104.38M	125.28M	138.83M	75.36M	29.33M
EBITDA	111.01M	135.22M	140.62M	149.90M	80.86M	34.02M
Net Income	78.38M	92.45M	110.39M	130.61M	70.17M	21.87M
Balance Sheet
Total Assets	325.63M	366.81M	191.06M	176.24M	146.81M	88.33M
Cash, Cash Equivalents and Short-Term Investments	36.51M	42.51M	47.02M	40.75M	28.31M	11.23M
Total Debt	907.00K	1.04M	1.31M	1.59M	1.89M	2.19M
Total Liabilities	5.79M	5.02M	5.51M	4.72M	4.40M	3.76M
Stockholders Equity	319.84M	363.79M	185.44M	171.52M	142.41M	84.56M
Cash Flow
Free Cash Flow	139.17M	132.64M	139.84M	147.05M	70.31M	39.41M
Operating Cash Flow	139.17M	132.64M	139.84M	147.05M	70.31M	39.41M
Investing Cash Flow	12.16M	14.72M	2.28M	2.09M	2.58M	6.13M
Financing Cash Flow	-149.97M	-151.88M	-135.85M	-136.69M	-55.81M	-49.64M

Dorchester Minerals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 25.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DMLP, the sentiment is Negative. The current price of 25.05 is below the 20-day moving average (MA) of 26.37, below the 50-day MA of 26.75, and below the 200-day MA of 28.66, indicating a bearish trend. The MACD of -0.50 indicates Positive momentum. The RSI at 30.03 is Neutral, neither overbought nor oversold. The STOCH value of 17.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DMLP.

Dorchester Minerals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DMLP	71 Outperform	$1.19B	14.11	31.42%	12.30%	4.58%	-32.82%
BSM	70 Outperform	$2.64B	10.78	24.31%	11.60%	-8.06%	-22.61%
KRP	68 Neutral	$1.77B	45.09	4.52%	11.85%	-2.89%	-107.61%
SBR	66 Neutral	$1.04B	14.19	987.03%	7.47%	-16.05%	-17.58%
Sector *	65 Neutral	$14.84B	8.63	2.77%	5.45%	4.51%	-62.52%
SJT	61 Neutral	$263.34M	251.97	-6.27%	0.40%	-91.24%	-94.60%

Dorchester Minerals Corporate Events

Dorchester Minerals Reports Q2 2025 Financial Results

Dorchester Minerals, L.P. announced its financial results for the quarter ended June 30, 2025, reporting a net income of $12,347,000, or $0.25 per common unit. This represents a decline compared to the same quarter in 2024, where net income was $23,628,000. The company also declared a second quarter distribution of $0.620216 per common unit, payable on August 14, 2025. The decrease in net income and operating revenues highlights potential challenges in the market conditions or operational aspects affecting the company’s financial performance.

Dorchester Minerals Announces Q2 Cash Distribution

On July 24, 2025, Dorchester Minerals, L.P. announced a second quarter cash distribution of $0.620216 per common unit, reflecting activities for the period ending June 30, 2025. The distribution, payable on August 14, 2025, is based on cash receipts from oil and natural gas sales, totaling approximately $26.6 million from royalty properties and $3.1 million from net profits interest. Additionally, $4.2 million was received from lease bonus and other income. The announcement also included the availability of the 2024 Schedule K-3 for unitholders, with implications for foreign tax credit computations and federal income tax withholding for non-U.S. investors.

Dorchester Minerals Elects Board and Approves Auditor

On May 14, 2025, Dorchester Minerals, L.P. held its Annual Meeting of Limited Partners where unitholders voted on key matters. Three managers, Allen D. Lassiter, C.W. Russell, and Sarah N. Wariner, were elected to the Board of Managers and appointed to the Advisory Committee. Additionally, Grant Thornton LLP was approved as the independent registered public accounting firm for the year ending December 31, 2025.