Hey there - just answered a question on this a few days ago- here was my answer:
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There isn't a whole lot that gets me too excited about Diversified Royalty. It holds a series of trademarks in which it earns royalties on. They consist of Mr. Lube, Air Miles, Sutton, Mr. Mikes, Oxford and Nurse Next Door. The recent acquisition of Oxford and last year's purchase of Nurse Next Door has offset weakness in other names.
WOrth noting that the Nurse Next Door has also seen issues of its own as several Master Licenses and franchise licenses have been terminated due disputes.
It isn't a bad company and generates decent cash flow but the company's dividend coverage ratio is high at 104%. While one might think this was pandemic related, last year it was 108%. This is not a number I'd be comfortable with in terms of deeming the dividend safe.
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In terms of price expectations - i'm not expecting much out of the company. Might be a decent rebound play to get back to pre-pandemic levels eventually, but nothing long-term about the company is all that interesting to me.
Mat