Osisko Gold Royalties (OR) AI Stock Analysis

• Market Cap: $6.12B
• Dividend Yield: 0.79%
• Average Volume (3M): 422.49K
• Price to Earnings (P/E): 139.0
• Beta (1Y): 0.91
• Revenue Growth: 12.78%
• EPS Growth: N/A
• Country: CA
• Employees: 124
• Sector: Basic Materials
• Sector Strength: 60
• Industry: Gold
• EPS (TTM): 0.22
• Shares Outstanding: 187,466,950
• 10 Day Avg. Volume: 406,932
• 30 Day Avg. Volume: 422,488
• PEG Ratio: 2.67
• Price to Book (P/B): 3.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 39.07
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $35.74
• Price Target Upside: 3.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 74 Outperform
• Price Target: C$37.00 ▲( 6.91% Upside)

Osisko Gold Royalties is rated at 74, reflecting a stable yet cautious investment profile. Strengths include strong technical momentum and strategic growth initiatives highlighted in the earnings call. However, high valuation metrics and inconsistent revenue growth pose notable risks. Financial stability from a strong balance sheet and improved cash flow are positives, but areas like cash management and profitability need attention.

Positive Factors

Asset Quality

Osisko Gold Royalties has a number of quality, long-life portfolio royalties and streams on assets that are generally seen as low cost and in stable jurisdictions.

Financial Position

Osisko indicated its cash balance as at quarter-end was ~$85.0M, reflecting significant transactions like the Dalgaranga royalty acquisitions.

Strategic Capacity

Osisko has ample capacity to execute on new transactions, or otherwise be debt-free with available capacity of $414.9M plus an uncommitted accordion of up to $200.0M.

Negative Factors

Development Risk

Development risk exposure remains a concern.

Performance Expectations

Osisko reported Q1/25 GEO results that were a bit below expectations.

Revenue Concerns

Overall, revenues for Q1/25 were $54.9M while cost of sales, excluding depletion, was $1.6M. Relative to expectations, it appears certain streams were a bit weaker.

Osisko Gold Royalties Business Overview & Revenue Model

Company Description

Osisko Gold Royalties Ltd (OR) is a Canadian-based precious metals royalty and streaming company headquartered in Montreal, Quebec. Founded in 2014, Osisko focuses primarily on gold, but also has interests in silver, copper, and other metals. The company operates by acquiring and managing a portfolio of royalties, streams, and other interests, providing it exposure to a wide range of mineral projects. Osisko's strategic investments in mining assets aim to generate long-term, sustainable cash flows and deliver value to its shareholders.

How the Company Makes Money

Osisko Gold Royalties makes money through a royalty and streaming business model. In this model, the company provides upfront capital to mining companies for the development and production of mining projects in exchange for royalties or streams on future production. Royalties are a percentage of revenue or net smelter return from mineral production, while streams are agreements where Osisko purchases a portion of the produced metal at a fixed price. This model allows Osisko to benefit from the production without bearing the operational risks associated with mining. The company's revenue streams are diversified across a broad portfolio of assets, which include both operating and development-stage mines, ensuring a steady flow of income. Strategic partnerships with mining operators and investments in high-quality projects are significant factors that enhance Osisko's earnings potential.

Osisko Gold Royalties Financial Statement Overview

Summary

Osisko Gold Royalties shows mixed financial performance. The income statement reflects revenue volatility and profitability challenges despite a high gross profit margin. The balance sheet is strong with low leverage, but ROE is low, indicating limited profitability improvements. Cash flow is improving but has shown past inconsistencies, raising concerns about cash management.

Income Statement

The company's revenue has shown volatility, with a noticeable decline in 2024 compared to previous years. This has impacted the gross profit margin, which remains relatively high at 96.47% for 2024. However, the net profit margin improved to 8.51% from a significant loss in the previous year, indicating better cost management. Despite these improvements, the revenue growth rate is negative, and EBIT margin has decreased, signaling challenges in maintaining profitability.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.08 and a high equity ratio of 86.32%, indicating financial stability and low leverage. The return on equity has improved to 1.37%, reflecting slight profitability improvements. Overall, the company maintains strong equity positions, but low ROE could be a concern for future growth prospects.

Cash Flow

The company has a strong operating cash flow, significantly higher than net income, which is a positive indicator of cash generation capability. The free cash flow turned positive in 2024 from a negative position in the previous year, showing improved financial health. However, the free cash flow growth rate is not favorable due to previous negative values, and this could signal inconsistent cash management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
256.37M	191.16M	247.32M	217.81M	224.88M	213.63M
	Gross Profit
204.01M	181.47M	173.06M	150.38M	138.87M	104.33M
	EBIT
81.05M	78.32M	98.06M	122.97M	92.30M	64.60M
	EBITDA
119.02M	139.33M	33.55M	189.74M	178.06M	107.83M
	Net Income Common Stockholders
30.02M	16.27M	-48.34M	85.28M	-56.67M	16.88M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
333.12M	84.96M	75.92M	90.55M	115.70M	306.02M
	Total Assets
2.50B	1.38B	2.01B	2.00B	2.37B	2.40B
	Total Debt
467.48M	98.68M	199.88M	155.57M	428.80M	411.80M
	Net Debt
134.87M	39.59M	132.16M	65.02M	313.10M	109.27M
	Total Liabilities
623.83M	188.68M	356.94M	259.09M	590.56M	556.07M
	Stockholders Equity
1.88B	1.19B	1.65B	1.74B	1.63B	1.73B
Cash Flow		Free Cash Flow
125.94M	86.48M	-104.08M	-14.26M	-170.14M	-29.91M
	Operating Cash Flow
182.31M	159.93M	187.03M	109.95M	106.09M	107.98M
	Investing Cash Flow
-37.46M	-75.64M	-219.84M	-381.86M	-272.04M	-223.10M
	Financing Cash Flow
-85.05M	-74.87M	14.31M	219.24M	-19.60M	316.86M

Osisko Gold Royalties Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.61
• 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 TSE:OR, the sentiment is Positive. The current price of 34.61 is above the 20-day moving average (MA) of 32.72, above the 50-day MA of 30.91, and above the 200-day MA of 27.33, indicating a bullish trend. The MACD of 0.69 indicates Negative momentum. The RSI at 63.58 is Neutral, neither overbought nor oversold. The STOCH value of 75.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:OR.

Osisko Gold Royalties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OGN	79 Outperform	C$362.96M	121.48	4.61%	―	19.40%	-6.88%
KNT	75 Outperform	C$3.04B	12.58	39.28%	―	105.06%	481.75%
OR	74 Outperform	$6.12B	139.03	2.50%	0.79%	12.78%	―
SSL	73 Outperform	$3.37B	84.09	2.05%	0.69%	6.23%	36.40%
ELE	72 Outperform	C$346.53M	116.10	2.36%	―	109.11%	―
FISH	56 Neutral	$143.27M	191.51	2.91%	3.48%	23.63%	―
Sector *	50 Neutral	$2.00B	-1.02	-21.34%	3.70%	2.00%	-30.65%

Osisko Gold Royalties Corporate Events

Osisko Gold Royalties Rebrands to OR Royalties Inc.

Osisko Gold Royalties Ltd has announced a name change to ‘OR Royalties Inc.’ following shareholder approval at its annual and special meeting. The company’s shares will begin trading under the new name on May 13, 2025, while maintaining the ticker symbol ‘OR’ on both the TSX and NYSE. Additionally, all eight nominees for the board of directors were elected, and PricewaterhouseCoopers, LLP was appointed as the independent auditor. The meeting also approved the unallocated rights under the Deferred Share Unit Plan and endorsed the company’s executive compensation approach. These developments reflect a strategic rebranding and operational continuity, potentially enhancing the company’s market positioning and stakeholder confidence.

Osisko Gold Royalties Increases Q2 2025 Dividend by 20%

Osisko Gold Royalties Ltd announced a 20% increase in its second quarter 2025 dividend to US$0.055 per common share, reflecting a strong financial position. The dividend will be paid on July 15, 2025, with a record date of June 30, 2025. The company also highlighted its dividend reinvestment plan available to Canadian and U.S. shareholders, which could enhance shareholder value by allowing dividends to be reinvested in common shares.

Osisko Gold Royalties Reports Strong Q1 2025 Results and Strategic Acquisitions

Osisko Gold Royalties Ltd reported strong financial results for Q1 2025, with significant cash flows from operating activities amounting to $46.1 million, and revenues from royalties and streams reaching $54.9 million. The company also announced strategic acquisitions, including a 1.5% net smelter return royalty from Japan Gold Corp and a basket of royalties in British Columbia. Additionally, Osisko declared a quarterly dividend increase and highlighted future growth catalysts, such as project financing initiatives and new life-of-mine plans, which are expected to enhance its market position and stakeholder value.

Proxy Advisory Firms Endorse Osisko’s Proposed Resolutions

Osisko Gold Royalties Ltd announced that leading independent proxy advisory firms, ISS and Glass Lewis, have recommended shareholders vote in favor of all proposed resolutions at the upcoming Annual and Special Meeting. This endorsement could positively impact the company’s governance and shareholder relations, reinforcing Osisko’s strategic positioning within the precious metals industry.

Osisko Gold Royalties Unveils 2024 Sustainability Report, Highlighting ESG Progress

Osisko Gold Royalties Ltd has released its 2024 Sustainability Report titled ‘Growing Responsibly,’ which marks the fifth edition of its ESG initiatives and key performance metrics. The report highlights the company’s advancements in climate strategy, community investments, governance, and employee engagement, including the implementation of a 2024-2027 climate strategy, achieving Board gender diversity targets, and earning the Great Place to Work certification. These efforts reflect Osisko’s commitment to responsible growth and long-term value creation, enhancing its industry positioning and stakeholder relations.

Osisko Gold Royalties Files 2024 Year-End Disclosure Documents

Osisko Gold Royalties Ltd has filed its 2024 year-end disclosure documents, including the Annual Information Form, Consolidated Annual Financial Statements, and Management’s Discussion and Analysis with Canadian securities regulatory authorities. Additionally, the company has submitted its Annual Report on Form 40-F to the U.S. Securities and Exchange Commission. This filing is a routine part of Osisko’s regulatory compliance, ensuring transparency and providing stakeholders with essential financial and operational information.