
TSE:PSK
This summary was created by AI, based on 2 opinions in the last 12 months.
PrairieSky Royalty (PSK-T) has garnered favorable reviews, being recognized as exceptionally well run and reaching an all-time high recently. However, there are concerns regarding its valuation, with a high price-to-earnings (PE) ratio of 19.5x and an expected 18x for the upcoming year, which raises questions about the fair multiple for a royalty company. While its business model showcases strong performance in sectors like Clearwater, the growth potential seems limited, with analysts estimating only about a 10% upside from the current price. Additionally, the free cash flow yield of 5% and a dividend yield of 3% or 3.8% do not appear compelling to some experts, suggesting that revenue growth may not keep pace with its heightened valuation.
Strong performer over past several years, so trades at fairly high multiple (for example, twice that of FRU earlier this year). Extraordinarily good exposure to the Clearwater, good job with its business model. He struggles with what a fair multiple is. About 10% upside from here, and that doesn't do it for him. Yield is 3.8%, not overly compelling.
PrairieSky Royalty is a Canadian stock, trading under the symbol PSK.TO (previously PSK-T on Stockchase) on the Toronto Stock Exchange (PSK-CT). It is usually referred to as TSX:PSK or PSK.TO
In the last year, 3 stock analysts published opinions about PSK.TO (previously PSK-T on Stockchase). 1 analyst recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is HOLD. Read the latest stock experts' ratings for PrairieSky Royalty.
PrairieSky Royalty was recommended as a Top Pick by Rick Stuchberry on 2022-07-07. Read the latest stock experts ratings for PrairieSky Royalty.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts' recommendations for help on deciding if you should buy, sell or hold the stock.
3 stock analysts on Stockchase covered PrairieSky Royalty in the last year. It is a trending stock that is worth watching.
On 2026-06-05, PrairieSky Royalty (PSK.TO) stock closed at a price of $34.14.
Exceptionally well run. All-time high today. His struggle has always been what's the fair multiple on a royalty company? Trades at 19.5x PE, 18x for next year, and FCF yield is 5% (not compelling). Yield is 3%.
He owns some in his income fund. If you're really bullish on oil, royalty is not the way to go.