Dorchester Minerals (DMLP) AI Stock Analysis

• Market Cap: $1.34B
• Dividend Yield: 11.37%
• Average Volume (3M): 94.95K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.41
• Revenue Growth: -1.39%
• EPS Growth: -23.38%
• Country: US
• Employees: 27
• Sector: Energy
• Sector Strength: 45
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.36
• Shares Outstanding: 47,339,756
• 10 Day Avg. Volume: 89,365
• 30 Day Avg. Volume: 94,950
• PEG Ratio: -0.66
• Price to Book (P/B): 3.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.72
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Dorchester Minerals demonstrates solid financial health, particularly in balance sheet strength and cash flow generation, despite recent revenue volatility. The technical analysis reveals a stable market position, while valuation metrics indicate fair pricing with a high dividend yield. The decrease in net income reported in 2024 presents a risk factor, yet consistent shareholder distributions maintain a positive outlook for income investors.

Dorchester Minerals Business Overview & Revenue Model

Company Description

Dorchester Minerals, L.P. engages in the acquisition, ownership, and administration of producing and nonproducing natural gas and crude oil royalty, net profit, and leasehold interests in the United States. Its royalty properties consist of producing and nonproducing mineral, royalty, and overriding royalty interests located in 582 counties and parishes in 26 states; and net profits interests represent net profits overriding royalty interests in various properties owned by the operating partnership. Dorchester Minerals Management LP serves as the general partner of Dorchester Minerals, L.P. The company was founded in 1982 and is based in Dallas, Texas.

How the Company Makes Money

Dorchester Minerals, L.P. generates revenue primarily through the collection of royalties and other income derived from its ownership interests in oil and natural gas properties. The company's key revenue streams include royalties from its mineral and royalty interests, which entitle it to a percentage of production or revenues from oil and gas extracted from its properties. Additionally, Dorchester Minerals may receive revenues from lease bonuses and other lease-related payments. The company's earnings are significantly influenced by factors such as commodity prices, production levels, and the successful management of its diverse portfolio of energy assets. Partnerships with operators and exploration companies that develop and produce from its owned properties also play a critical role in its revenue generation.

Dorchester Minerals Financial Statement Overview

Summary

Dorchester Minerals shows strong financial health with a robust balance sheet and cash flow generation. However, inconsistent revenue growth and a drop in 2024 income reflect potential operational challenges.

Income Statement

Dorchester Minerals shows inconsistent revenue growth with a notable drop in 2024. The gross and net profit margins have been strong historically, but the absence of revenue in 2024 indicates potential operational challenges. EBIT and EBITDA margins have been healthy until 2023, suggesting effective cost management.

Balance Sheet

The company maintains a robust balance sheet with low debt levels, as indicated by a favorable debt-to-equity ratio. High equity ratio and positive return on equity underscore financial stability and efficient use of shareholder funds. Strong equity base relative to assets points to solid financial health.

Cash Flow

Cash flow analysis reveals strong operating cash flows consistently exceeding net income, indicating excellent cash generation capabilities. Free cash flow remains solid, supporting potential reinvestment or shareholder returns. Growth in free cash flow is strong, despite fluctuations in operating cash flow.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
161.52M	163.80M	170.80M	93.42M	46.93M
	Gross Profit
104.38M	125.28M	138.83M	75.36M	29.33M
	EBIT
0.00	114.12M	130.61M	70.17M	21.87M
	EBITDA
135.22M	140.62M	149.90M	80.86M	34.02M
	Net Income Common Stockholders
92.45M	110.39M	130.61M	70.17M	21.87M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
42.51M	47.02M	40.75M	28.31M	11.23M
	Total Assets
366.81M	191.06M	176.24M	146.81M	88.33M
	Total Debt
1.04M	1.31M	1.59M	1.89M	2.19M
	Net Debt
-41.47M	-45.71M	-39.16M	-26.42M	-9.05M
	Total Liabilities
5.02M	5.51M	4.72M	4.40M	3.76M
	Stockholders Equity
361.79M	185.44M	171.52M	142.41M	84.56M
Cash Flow		Free Cash Flow
132.64M	139.84M	147.05M	70.31M	39.41M
	Operating Cash Flow
132.64M	139.84M	147.05M	70.31M	39.41M
	Investing Cash Flow
14.72M	2.28M	2.09M	2.58M	6.13M
	Financing Cash Flow
-151.88M	-135.85M	-136.69M	-55.81M	-49.64M

Dorchester Minerals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.31
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DMLP, the sentiment is Negative. The current price of 28.31 is above the 20-day moving average (MA) of 28.27, below the 50-day MA of 28.44, and below the 200-day MA of 29.62, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 49.53 is Neutral, neither overbought nor oversold. The STOCH value of 64.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DMLP.

Dorchester Minerals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BSM	70 Outperform	$2.89B	14.91	19.93%	11.00%	-12.71%	-39.85%
DMLP	67 Neutral	$1.34B	13.53	33.71%	11.37%	-1.39%	-23.38%
SBR	66 Neutral	$968.07M	12.43	798.58%	8.09%	-11.35%	-11.76%
KRP	63 Neutral	$1.66B	45.09	2.88%	12.72%	3.20%	-91.39%
SJT	61 Neutral	$294.10M	274.67	39.61%	0.36%	-85.94%	-88.55%
Sector *	57 Neutral	$7.13B	3.45	-3.67%	5.68%	0.46%	-50.35%

Dorchester Minerals Corporate Events

Dorchester Minerals Announces Q1 2025 Cash Distribution

On April 24, 2025, Dorchester Minerals, L.P. announced a cash distribution of $0.725835 per common unit for the first quarter of 2025, reflecting activities up to March 31, 2025. The distribution, payable on May 15, 2025, includes cash receipts from oil and natural gas sales, with a significant portion attributed to sales from late 2024 and early 2025. The announcement highlights the company’s financial performance and its implications for stakeholders, particularly in terms of tax withholding for non-U.S. investors.

Spark’s Take on DMLP Stock

According to Spark, TipRanks’ AI Analyst, DMLP is a Neutral.

Dorchester Minerals demonstrates financial stability and strong cash flow, but revenue volatility and declining net income present risks. Technical indicators suggest neutral to bearish momentum, while valuation appears reasonable with a high dividend yield. Overall, the stock presents a mixed outlook with potential income benefits but growth concerns.

To see Spark’s full report on DMLP stock, click here.

Dorchester Minerals Reports Decrease in 2024 Net Income

Dorchester Minerals, L.P. announced its financial results for the year ended December 31, 2024, reporting a net income of $92.4 million or $2.13 per common unit, a decrease from the previous year’s net income of $114.1 million. The company’s operating revenues also saw a slight decline from $163.8 million in 2023 to $161.5 million in 2024. The partnership’s proved oil and natural gas reserves were estimated at 17.0 million barrels of oil equivalent, with 86% attributed to Royalty Properties. The company distributed $141.6 million to its common unitholders from May 2024 through February 2025.