If all $500M is utilised for an acquisition the D/E would be at ~600%, which is high. Although from current NPAT it could be paid off in 6 years, not including income from acquisitioned royalties. The business model is strong, negative equity could be sustained with the right asset. Question is could they find another Area C style royalty to acquire at a reasonable price, given that they were a split entity to attain this current position.
Acquisitions aside, on a purely income driven analysis on the IO price, FMG presents a better position/return on IO price than DRR. IO low price in Oct 2021 presented a better buying opportunity with FMG than DRR, as FMG SP doubled since with same rising IO price that DRR is valued at, while DRR only increased 50%.
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Last
$4.01 |
Change
0.060(1.52%) |
Mkt cap ! $2.120B |
Open | High | Low | Value | Volume |
$4.00 | $4.03 | $3.95 | $3.278M | 821.8K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
23 | 13315 | $4.00 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$4.01 | 11735 | 22 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
21 | 13778 | 4.000 |
26 | 45552 | 3.990 |
18 | 41774 | 3.980 |
21 | 41754 | 3.970 |
13 | 25176 | 3.960 |
Price($) | Vol. | No. |
---|---|---|
4.010 | 16178 | 17 |
4.020 | 48528 | 16 |
4.030 | 19874 | 9 |
4.040 | 122585 | 15 |
4.050 | 130853 | 7 |
Last trade - 14.24pm 27/09/2024 (20 minute delay) ? |
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