* Note: Prices are in Million (M) USD.
Description:
Permianville Royalty Trust (PVL) is a publicly traded legal trust based in Houston, dedicated to acquiring and managing royalty interests in oil and gas properties primarily situated in the highly productive Permian Basin. With a strategic emphasis on generating consistent cash flows from these valuable hydrocarbon assets, PVL offers institutional investors an attractive avenue for exposure to the energy sector while delivering regular income distributions. Its unique trust structure facilitates efficient earnings distribution to unit holders, making it an appealing choice for income-focused investors navigating the complexities of today's energy landscape.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $0 M
Debt : $0 M
EBITDA : $2 M
Since Cash is greater than Total Debt, 5 points assigned.
This criteria used industry in which company operates:
Sector: Energy
Industry: Oil & gas e&p
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Invalid quote data provided.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 14 overlapping fiscal years (max 20).Average Free Cash Flow: $254 M
Average Revenue: $17 M
Revenue Converted To Free Cash Flow (%): 1,497.6%
Since Free Cash Flow (FCF) to Revenue percentage is greater than 25, 5 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $4 M
Revenue 5 Years Ago (2019-12-31): $9 M
Total Growth over 5 Years: -54.2%
5-Year Revenue CAGR (Historical): -14.5%
Forward 5-Year CAGR (Tapered): -13.0%
Since historical Revenue CAGR is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Error: Invalid balance sheet data provided.Using default values for calculation.
Based on default values, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.00
Trailing 12-Month Earnings Per Share (EPS): $0.09
Average Earnings Per Share (EPS): $0.09
Dividend Per Share (DPS): $0
Payout Ratio: 96%
Dividend Yield: 4.67%
⚠️ Caution: Further research is recommended — dividend payout ratio is too high (96%).
Since company Payout Ratio is greater than 50, 1 point assigned.
Since Dividend Yield is greater than 4, 4 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Error: Invalid balance sheet data provided.Skipping ROE-based PE.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Error: Invalid quote data provided.Using default values for calculation.
Based on default values, 0 points assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $60 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Message: Invalid quote data provided.Using default recommendation.
Based on the calculated score, we don't recommend any investment in this stock.
Warren Buffett's Owners' Earnings:
No positive free cash flow found (TTM or annual) to compute Owners' Earnings per share.
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 22 points to above Permianville Royalty Trust (PVL) stock.
Heads up: One or more P/E inputs look exaggerated and may skew the blend.
• RCFC Based PE 50.00 (>2× median)
Further research is recommended; please use your own due diligence.
In such cases, multiplying earnings by the long-run average P/E typically gives a closer, more reliable fair value.
Fair Value PE
15, Industry Based PE
15, RCFC Based PE
50, Risk-Free Anchored PE (25% MoS)
18.34. Based on these 4 values, average assigned is
24.58. Value-Trades has assined P/E value
24.56. An average (Current Year EPS + Next Year EPS) earning per share is
$0.09.
Note: Final fair value is the lesser of the blended PE-based fair value and the simple average PE × EPS fair value.Fair value using multiple P/Es (blended): $2.21 (PE 24.58 × EPS $0.09)
Fair value using simple average PE × EPS: $2.21 (PE 24.58 × EPS $0.09)
Lesser of these two: $2.21
So the Final Fair Value is: $2.21
Understanding the Value-Trades P/E Blend (click to expand)
▾
What goes into the blended P/E?
- 20-Year Avg P/E — Long-run market baseline; conservative anchor.
- Fair Value P/E — Score-based (cash, debt, sector, etc.).
- Industry P/E — Peer group norm.
- Growth-Based P/E — Uses tapered growth rates, floored at 15.
- RCFC-Based P/E — Maps cash conversion efficiency.
- ROE-Based P/E — Higher ROE supports higher multiples.
- Risk-Free Anchored P/E — Macro floor tied to 10y yield w/ MoS.
How it works
- Extreme values are clamped/filtered (IQR method).
- Anchors (20y avg, RCFC/ROE, risk-free) are always kept if valid.
- Final fair value = min(Blended PE × EPS, Avg PE × EPS).
P/E Reference Summary
Using EPS: $0.09
| Source |
P/E Ratio |
Implied Fair Value |
| Value-Trades Assigned | 24.56 | $2.21 |
