Sabine Royalty Trust (SBR): fair value, margin of safety and Wheel Score

Is SBR undervalued?

At 67.62 (close of 5 Nov 2026), SBR trades 50% over the GLS average fair value of 45.19, with 2 of 7 models above the price. The stock earns none of the Wheel Score's Value points at this price. That is a statement about price against trailing fundamentals, not about the company's prospects - the Wall Street View and the Growth tab on the Quote page carry the forward numbers.

There is a wide gap between Graham Number (7.97) and Graham Growth (79.01). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.

Ranked against every other company we cover, neither cheapness nor growth clearly wins for SBR, so the nightly engine files it under Blend (value score 25, growth score 14, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).

Nine valuation models for SBR

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

Sabine Royalty Trust scores only 4 of 9 on the Piotroski F-score, which fails the "Piotroski 6 or more" Wheel Trade Filter. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 9.2/10 puts SBR among the more durable businesses we track: over up to ten years its returns on capital have stayed high, its margins steady and its balance sheet sound.

Returns on capital are high - ROIC 1072.5%, ROE 1072.5%, ROA 960.8% - with debt at 0.00 times equity and negative free cash flow.

The dividend yield is high at 6.66% (payout ratio 0%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual.

Institutional ownership scores 2/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 21: No options

No options are listed on Sabine Royalty Trust in our nightly snapshot, so it fails the first Wheel Trade Filter (options that actually trade) (it reads 21, under 70) and is left out of every options scan; the fair value and health figures above are still useful for a plain stock position.

Volume runs at 41k shares a day on a market cap of $986M, with a beta of 0.23 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.

Upcoming events

Sabine Royalty Trust reports earnings on 6 Nov 2026 - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

Similar stocks in Oil & Gas Midstream

The 12 companies below are the closest to Sabine Royalty Trust by market cap within the Oil & Gas Midstream industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.

⚖ Compare SBR with 7 of them   All Energy stocks →