Royalty Management Holding (RMCO) AI Stock Analysis

• Market Cap: $17.18M
• Dividend Yield: N/A
• Average Volume (3M): 51.72K
• Price to Earnings (P/E): 108.8
• Beta (1Y): 0.10
• Revenue Growth: 141.03%
• EPS Growth: 90.61%
• Country: US
• Employees: N/A
• Sector: Financial
• Sector Strength: 81
• Industry: Asset Management
• EPS (TTM): >-0.01
• Shares Outstanding: 14,938,128
• 10 Day Avg. Volume: 30,385
• 30 Day Avg. Volume: 51,724
• PEG Ratio: -1.07
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 33.00
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 6.85
• Enterprise Value/Gross Profit: 28.85
• Enterprise Value/Ebitda: -6.92
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: $1.00 ▼( -12.28% Downside)

RMCO's stock is characterized by strong revenue growth and improved cash flow, yet remains weighed down by profitability challenges. Technical indicators suggest moderate upward movement but lack strong momentum. Valuation remains difficult due to negative earnings and lack of dividend yield. Overall, the stock presents mixed signals with potential for improvement if profitability is addressed.

Royalty Management Holding Business Overview & Revenue Model

Company Description

Royalty Management Holding (RMCO) is a diversified company specializing in the management and monetization of intellectual property and royalty interests across various sectors, including entertainment, technology, and natural resources. The company focuses on acquiring, managing, and optimizing royalty streams to maximize returns for its stakeholders. RMCO leverages its expertise in royalty management to provide innovative solutions and strategic partnerships that enhance the value of its assets.

How the Company Makes Money

RMCO generates revenue primarily through the acquisition and management of royalty interests. The company invests in a diverse portfolio of intellectual property rights, including music, film, patents, and natural resource royalties, and collects ongoing payments from these assets. Revenue streams include licensing fees, royalty payments, and profit-sharing arrangements. RMCO also partners with industry leaders to enhance the monetization potential of its assets, leveraging strategic alliances and marketing initiatives to drive growth. The company's earnings are further supported by its ability to identify undervalued royalty opportunities and optimize their performance through active management and strategic investments.

Royalty Management Holding Financial Statement Overview

Summary

Royalty Management Holding exhibits strong revenue growth and improved cash flow. Despite a robust equity position and improved leverage, ongoing profitability issues, such as negative EBIT and net income, reflect challenges in operational efficiency.

Income Statement

The company has shown significant revenue growth from 2023 to 2024, with an increase of 123.2%. However, profitability remains a concern with persistent negative EBIT and net income, although losses have narrowed in 2024. The gross profit margin for 2024 is high at 97.19%, reflecting effective cost management, but negative EBIT and net profit margins highlight ongoing operational challenges.

Balance Sheet

The balance sheet indicates a strong equity position with an equity ratio of 90.6% in 2024, suggesting financial stability. However, the debt-to-equity ratio has decreased from 0.25 in 2023 to 0.045 in 2024, indicating improved leverage. Despite this, the return on equity is negative due to ongoing net losses, signaling potential profitability issues.

Cash Flow

Cash flow statements reveal a significant improvement in free cash flow from 2023 to 2024, moving from negative to positive. The operating cash flow to net income ratio is strong, reflecting efficient cash generation relative to reported losses. However, the free cash flow to net income ratio remains concerning due to the negative net income.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement		Total Revenue
807.09K	361.63K	172.69K	0.00
	Gross Profit
784.39K	109.66K	169.26K	0.00
	EBIT
-312.36K	-1.69M	-1.50M	-1.02M
	EBITDA
84.44K	-1.28M	1.23M	-113.15K
	Net Income Common Stockholders
-114.26K	-2.07M	1.20M	-113.15K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
114.14K	195.49K	433.34K	293.15K
	Total Assets
15.04M	13.61M	12.50M	251.64K
	Total Debt
609.74K	2.40M	3.83M	174.27K
	Net Debt
495.60K	2.21M	3.40M	-118.88K
	Total Liabilities
1.41M	3.99M	4.31M	221.67K
	Stockholders Equity
13.63M	9.62M	8.18M	29.97K
Cash Flow		Free Cash Flow
646.29K	-1.91M	7.19M	-1.37M
	Operating Cash Flow
646.29K	-1.91M	7.87M	-1.37M
	Investing Cash Flow
-18.65K	6.86M	-11.14M	-106.12M
	Financing Cash Flow
-690.44K	-5.26M	3.89M	107.78M

Royalty Management Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RMCO, the sentiment is Positive. The current price of 1.14 is above the 20-day moving average (MA) of 1.14, above the 50-day MA of 1.11, and above the 200-day MA of 1.03, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.52 is Neutral, neither overbought nor oversold. The STOCH value of 49.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RMCO.

Royalty Management Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$12.66B	9.79	7.67%	17015.07%	12.23%	-6.06%
TURN	52 Neutral	$40.20M	―	-8.01%	―	38.38%	71.72%
PWM	46 Neutral	$13.16M	―		―	―	―
RMCO	45 Neutral	$17.18M	108.82	-2.51%	―	141.03%	90.61%
MGLD	45 Neutral	$37.48M	―	-23.56%	―	-6.70%	-229.81%
BCG	41 Neutral	$39.68M	―	-11.19%	―	-13.79%	62.04%
BENF	34 Underperform	$2.95M	―	-538.85%	―	78.84%	97.65%