Sitio Royalties Corp. (NYSE: STR) is a key player in the Zacks Oil and Gas - Royalty Trust - United States industry. The company focuses on acquiring and managing oil and gas royalties, providing investors with exposure to the energy sector. STR competes with other royalty trusts and energy companies, striving to deliver consistent financial performance and shareholder value.
On August 6, 2025, STR reported earnings per share (EPS) of $0.09, surpassing the estimated $0.04. This represents a significant earnings surprise of 100%, as highlighted by Zacks. However, it's important to note that this EPS is a decrease from the $0.15 reported in the same quarter last year. Despite this decline, STR has consistently exceeded consensus EPS estimates in three of the last four quarters.
In terms of revenue, STR generated approximately $145.7 million for the quarter ending June 2025, exceeding the estimated $137.8 million. This marks a 6.71% increase over the Zacks Consensus Estimate. However, this is a decline from the $168.55 million in revenue reported a year ago. STR has outperformed consensus revenue estimates three times in the past four quarters, demonstrating its ability to deliver strong financial results.
STR's operational performance is highlighted by a production rate of 19,300 barrels of oil per day and a total production of 41,900 barrels of oil equivalent per day. These figures underscore the company's ability to maintain robust production levels, contributing to its financial success. The company's price-to-earnings (P/E) ratio of approximately 38.14 indicates investor confidence in its earnings potential.
The company's financial health is further supported by a price-to-sales ratio of about 2.31 and an enterprise value to sales ratio of around 4.08. These metrics reflect STR's market value relative to its sales and total valuation compared to its revenue. With a debt-to-equity ratio of approximately 0.33, STR maintains a relatively low level of debt, ensuring financial stability. Additionally, a current ratio of about 4.04 suggests strong liquidity, enabling the company to cover short-term liabilities with its current assets.
