Diversified Royalty Corp T.DIV

Alternate Symbol(s): BEVFF | T.DIV.DB.A

Consumer Cyclical Auto & Truck Dealerships

Diversified Royalty Corp. is a multi-royalty company. The Company is engaged in the business of acquiring royalties from multi-location businesses and franchisors in North America. The Company owns Mr. Lube, Sutton, Mr. Mikes, Nurse Next Door, Oxford Learning Centres, Stratus Building Solutions and BarBurrito trademark. Mr. Lube is the quick lube service business in Canada, with locations across Canada. Mr. Mikes operates casual steakhouse restaurants primarily in western Canadian communities. Nurse Next Door is North America’s growing home care provider with locations across Canada and the United States as well as in Australia. Oxford Learning Centres is a franchised supplemental education service. Stratus Building Solutions is a commercial cleaning service franchise company providing janitorial, building cleaning, and office cleaning services primarily in the United States. BarBurrito is a quick-service Mexican restaurant chain.

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Diversified Royalty Corp

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Comment by maypeterson Nov 05, 2018 12:25pm

87 Views

Post# 28924923

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Sell off has a lot do with margin calls

Patience is key and lot of investors are not as patient as they used to be.

Did give me a chance to add another 15K shares today at 2.69. Am up to 60K shares now.

The stock will move on the next deal along with divvy increase. Till then we sit tight.

GLTA

Mining_Dude wrote: Decisive Dividend is a completely different model than DIV (royalty vs. actually owning the business) which comes with a different (higher) risk profile as well. Coinciently, they have more or less the same yield.

Alaris, which had a brutal year last year, is the type of company that does deals and DIV management have been carefuly to point out that that's not what they want to do.

When you talk to DIV management, they are adamant that the royalty model works and is getting tracktion but the stars really have to align (some of which is out of their control) to get the right deals signed which unfortunately takes time.

I've said this before, but at these levels DIV appears to be trading as if it had no cash to deploy.

nedstar71 wrote:

babedinkleman wrote:

Lloyd_Blankfein wrote: I'm thinking a royalty in the "aging population" space would be a nice compliment to what they have now. Heath care, retirement homes, indpedent living, that kind of thing. No idea what private companies operate in this area. Pure speculation on my part.

Tonnes of money to be made in this area and I think you're on to something but I don't know of anything in this field that would match the top line royalty franchise model. All the more reason they should be looking at 'diversifying' the business model. Just have to pivot a little and there would be lots of investments that don't quite fit the current game plan with a better return than they're getting currently. Tough to not beat getting negative returns from cash.

I don't disagree with this as the franchise royalty model hasn't been good for many companies as of late. If you're not showing high same store sales growth the market slaughters you. Pizza Pizza is a perfect example. I'd have no problem if they did diversify into other areas like healthcare, reits, or even something similar to Alaris. Look at Decisive Dividend, its doing fine in this market, whereas Diversified is setting new lows almost daily. The CEO is no dummy and can't be happy about this so if they aren't in late stage negotiations with a large partner at this point I'd hope he's evaluating other avenues going forward.