* Note: Prices are in Million (M) USD.
Description:
Royalty Management Holding Corporation (RMCO), headquartered in Fishers, Indiana, is a leading royalty investment firm that specializes in discovering and monetizing undervalued assets across various sectors. With its robust expertise in royalty structures and a strong emphasis on data-driven market analysis, RMCO is dedicated to generating sustainable cash flows while maximizing shareholder returns. The company's proactive, growth-centric strategy not only enhances its competitive edge in the royalty investment space but also underscores its commitment to long-term value creation for investors.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Note: Financial institutions (banks/insurers/brokers/REITs) are evaluated using sector, P/E, growth, ROE and other factors. The 3.5× Net Debt/EBITDA rule is skipped to avoid misleading signals; however, Cash/Debt/EBITDA are still displayed and counted for scoring.
Cash : $0 M
Debt : $0 M
EBITDA : $0 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Financial services
Industry: Asset management
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 43.37
Since Forward PE Ratio is greater than 35, 0 point assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 4 overlapping fiscal years (max 20).Average Free Cash Flow: $-1 M
Average Revenue: $0 M
Revenue Converted To Free Cash Flow (%): -173.1%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $1 M
Revenue 3 Years Ago (2021-12-31): $0 M
Total Growth over 3 Years: 0.0%
3-Year Revenue CAGR (Historical): 0.0%
Forward 5-Year CAGR (Tapered): 0.0%
Since historical Revenue CAGR is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Error: This stock does not have 5 years of share count data.Using default values for calculation.
Based on default values, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.18
Trailing 12-Month Earnings Per Share (EPS): $0.01
Average Earnings Per Share (EPS): $0.10
Dividend Per Share (DPS): $0
Payout Ratio: 5%
Dividend Yield: 0.11%
Since company Payout Ratio is less than 50, 2 points assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 4 valid ROE years (max 20).Average ROE: 1,920.1%
Since Average ROE is greater than 20, 5 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $4.12
52-Week Low: $0.91
Threshold Price (15% Above 52-Week Low): $1.05
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $69 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 0.5% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
No positive free cash flow found (TTM or annual) to compute Owners' Earnings per share.
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 12 points to above Royalty Management Holding Corporation (RMCO) stock.
Heads up: One or more P/E inputs look exaggerated and may skew the blend.
• ROE Based PE 50.00 (>2× median)
Further research is recommended; please use your own due diligence.
In such cases, multiplying earnings by the long-run average P/E typically gives a closer, more reliable fair value.
Fair Value PE
12, Industry Based PE
15, ROE Based PE
50, Risk-Free Anchored PE (25% MoS)
18.12. Based on these 4 values, average assigned is
23.78. Value-Trades has assined P/E value
23.79. An average (Current Year EPS + Next Year EPS) earning per share is
$0.095.
Note: Final fair value is the lesser of the blended PE-based fair value and the simple average PE × EPS fair value.Fair value using multiple P/Es (blended): $2.26 (PE 23.78 × EPS $0.10)
Fair value using simple average PE × EPS: $2.26 (PE 23.78 × EPS $0.10)
Lesser of these two: $2.26
So the Final Fair Value is: $2.26
Understanding the Value-Trades P/E Blend (click to expand)
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What goes into the blended P/E?
- 20-Year Avg P/E — Long-run market baseline; conservative anchor.
- Fair Value P/E — Score-based (cash, debt, sector, etc.).
- Industry P/E — Peer group norm.
- Growth-Based P/E — Uses tapered growth rates, floored at 15.
- RCFC-Based P/E — Maps cash conversion efficiency.
- ROE-Based P/E — Higher ROE supports higher multiples.
- Risk-Free Anchored P/E — Macro floor tied to 10y yield w/ MoS.
How it works
- Extreme values are clamped/filtered (IQR method).
- Anchors (20y avg, RCFC/ROE, risk-free) are always kept if valid.
- Final fair value = min(Blended PE × EPS, Avg PE × EPS).
P/E Reference Summary
Using EPS: $0.10
| Source |
P/E Ratio |
Implied Fair Value |
| Value-Trades Assigned | 23.79 | $2.26 |
Financials mode
3.5× Net Debt/EBITDA penalty is disabled; Cash/Debt/EBITDA are shown and counted.
