In this series, we’re looking at some of the top MLP gainers in 2018. Three royalty interest owner MLPs—Viper Energy Partners (VNOM), Dorchester Minerals (DMLP), and Kimbell Royalty Partners (KRP)—are on the list of the top MLPs so far in 2018. We looked at Viper Energy Partners in Part 1 of this series. In this part, we’ll take a look at Dorchester Minerals’ performance.
As the above graph shows, Dorchester Minerals has risen 32% so far in 2018, outperforming the Alerian MLP ETF (AMLP). In the trailing 12 months, it has risen 23%.
The company has a market capitalization of $650 million. None of the analysts surveyed by Reuters currently cover Dorchester Minerals, which is trading at a yield of ~8.3%.
Royalty interest owner MLPs acquire and lease oil and gas resources to producers. In return, they receive a portion of the production or revenues.
DMLP’s moving averages
Dorchester Minerals is trading 13% above its 50-day moving average and 28% above its 200-day moving average. Its 50-day moving average crossed above its 200-day average—a bullish indicator—in January. Its 50-day moving average may act as a support for the stock in the near term.
Next, we’ll look at another top MLP gainer in 2018—Crestwood Equity Partners (CEQP).