Royal Gold (RGLD) Faces Bearish Analyst Update As Hod Maden Stake Reduction Moves Forward

With a forward P/E of 16.08x, Royal Gold, Inc. (NASDAQ:RGLD) ranks among the most undervalued silver mining stocks to buy now. Meanwhile, analysts see 63.80% upside for the stock. However, the most recent update was bearish.

Royal Gold (RGLD) Faces Bearish Analyst Update As Hod Maden Stake Reduction Moves Forward

BofA cut its price target on Royal Gold, Inc. (NASDAQ:RGLD) to $245 from $246 on May 19, 2026, reiterating an “Underperform” rating. The move came after SSR Mining Inc. announced a definitive agreement with Lidya Mines of Turkiye to sell its 20% stake and operatorship in the Hod Maden project, with Royal Gold announcing plans to cut its own Hod Maden stake to 15% from 30%.

That resolution answers a question that Royal Gold, Inc. (NASDAQ:RGLD) faced repeatedly during its first-quarter 2026 earnings call on May 7, 2026. CEO William Heissenbuttel told analysts that any rationalization of the company’s Hod Maden interest would have to involve its partners, either to them or to a third party, with their consent. He added that an answer should come relatively soon, noting SSR had put its own timeframe of a few months on the strategic review.

On that same call, CFO Paul Libner explained how the Hod Maden equity investment runs through Royal Gold’s books. Royal Gold, Inc. (NASDAQ:RGLD) booked a $14 million cash call for its share of development costs in the first quarter, plus a $1.3 million pickup of joint venture losses in interest and other expense. Libner said those losses had typically run between $600,000 and $700,000 per quarter over the prior four to five quarters.

Royal Gold, Inc. (NASDAQ:RGLD) is involved in the acquisition and management of precious metal streams, royalties, and similar interests. Its operations are divided into the Acquisition and Management of Stream Interests and the Acquisition and Management of Royalty Interests segments.

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