Freehold Royalties (TSE:FRU) Trading Down 6.5% After Analyst Downgrade

Freehold Royalties Ltd. (TSE:FRU)’s share price fell 6.5% during trading on Thursday after Desjardins lowered their price target on the stock from C$16.50 to C$16.00. Desjardins currently has a hold rating on the stock. Freehold Royalties traded as low as C$15.80 and last traded at C$16.80. 455,178 shares were traded during mid-day trading, a decline of 34% from the average session volume of 692,805 shares. The stock had previously closed at C$17.97.

A number of other analysts also recently weighed in on the stock. Scotiabank increased their target price on shares of Freehold Royalties from C$15.00 to C$16.00 and gave the company a “sector perform” rating in a research report on Tuesday, January 20th. Raymond James Financial raised shares of Freehold Royalties from a “hold” rating to a “moderate buy” rating and upped their price objective for the company from C$14.50 to C$17.50 in a research note on Tuesday, December 9th. Royal Bank Of Canada cut shares of Freehold Royalties from an “outperform” rating to a “sector perform” rating and set a C$17.00 price objective for the company. in a research report on Friday. Canadian Imperial Bank of Commerce lifted their target price on shares of Freehold Royalties from C$14.50 to C$15.25 in a research note on Friday, November 14th. Finally, TD Securities dropped their target price on shares of Freehold Royalties from C$22.00 to C$21.00 and set a “buy” rating on the stock in a report on Thursday. Two analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of C$16.84.

Key Freehold Royalties News

Here are the key news stories impacting Freehold Royalties this week:

• Positive Sentiment: TD Securities kept a “buy” rating while trimming its price target to C$21.00 (from C$22.00), implying ~23% upside versus the recent share price — this supports continued analyst conviction and may attract buyers. TD Securities target trimmed to C$21
• Neutral Sentiment: The company released its 2025 results and 2026 guidance; investors will be parsing production, royalty revenue, cash flow, capex plans and any dividend/distribution commentary — the guidance details will determine medium‑term sentiment. Freehold 2025 results and 2026 guidance
• Negative Sentiment: RBC downgraded FRU from “outperform” to “sector perform” and set a C$17.00 target (essentially flat vs. the recent price), a downgrade that can reduce buy‑side momentum even if the price target is near current levels. RBC downgrade to sector perform
• Negative Sentiment: Desjardins moved FRU to “hold” and cut its target to C$16.00 (from C$16.50), signaling a clearer near‑term downside view (~5.9% below the recent price) that can pressure the stock. Desjardins trims target to C$16.00

Freehold Royalties Stock Down 0.5%

The company has a current ratio of 1.41, a quick ratio of 1.50 and a debt-to-equity ratio of 28.51. The stock has a market capitalization of C$2.79 billion, a PE ratio of 21.24, a P/E/G ratio of -0.92 and a beta of 0.65. The stock’s fifty day simple moving average is C$16.59 and its 200-day simple moving average is C$15.08.

Freehold Royalties (TSE:FRU) last announced its earnings results on Wednesday, March 11th. The company reported C$0.31 EPS for the quarter. Freehold Royalties had a net margin of 29.28% and a return on equity of 8.82%. The company had revenue of C$69.76 million during the quarter. As a group, sell-side analysts forecast that Freehold Royalties Ltd. will post 0.7581169 EPS for the current fiscal year.

Freehold Royalties Announces Dividend

The company also recently disclosed a monthly dividend, which will be paid on Monday, March 16th. Shareholders of record on Monday, March 16th will be given a $0.09 dividend. This represents a c) dividend on an annualized basis and a yield of 6.4%. The ex-dividend date of this dividend is Friday, February 27th. Freehold Royalties’s dividend payout ratio is presently 135.00%.

Freehold Royalties Company Profile

Freehold Royalties Ltd is in acquiring and managing Oil and Gas royalties. It operates in two segments: Canada, which includes exploration and evaluation assets and the petroleum and natural gas interests in Western Canada; and the United States, which includes petroleum and natural gas interests held in the Permian (Midland and Delaware), Eagle Ford, Haynesville and Bakken basins primarily located in the states of Texas, Louisiana, and North Dakota. The majority of its revenue is generated from Canada Segment.