One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Natural Resource Partners L.P.
NRP · NYQ · Energy · Thermal Coal
Current price
$122.68
52-week range
$95.51 - $128.60
Market cap
—
Balance sheet
Healthy
17.46x Strong cushion
Net cash $33.98M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Returns 16.0% on equity, ahead of 50% of its peers.
- Reward Free cash flow was positive in 10/10 years.
- Risk Stock trades 104.3% above its 5-year average P/E.
- Risk Operating margin compressed from 75.8% to 63.8% over 3 years.
What this company does
Natural Resource Partners L.P.
Natural Resource Partners L.P. primarily makes money by owning and leasing out land that contains valuable resources like coal and trona (used to make soda ash). This means their income comes mainly from royalty payments (a share of the money earned from selling the resources) from other companies that extract these materials. Understanding these royalty payments is key to seeing how much profit the company is making, similar to knowing how much rent a landlord collects from their properties.
How the company got here
Natural Resource Partners L.P. (NRP) was formed in 2002 with the goal of owning and managing mineral rights across the United States. The company's strategy has centered on acquiring and then leasing these valuable resources to other companies that extract them. Over the years, NRP has built a diverse portfolio, including significant interests in coal, soda ash, and other natural resources. This approach has allowed NRP to generate revenue through royalty payments from the lessees who mine or extract these minerals.
What it actually does
Think of Natural Resource Partners L.P. as a landlord for the earth's resources. Instead of owning apartment buildings, NRP owns the rights to valuable minerals like coal and soda ash buried underground. They then lease these rights to mining and extraction companies, who pay NRP a fee, often a percentage of the value of the minerals they pull out of the ground. This royalty income is NRP's primary way of making money, without having to do the actual mining themselves.
Mineral Rights
This segment represents the core of NRP's business, focusing on the ownership and leasing of mineral rights, primarily coal. NRP holds interests in vast coal reserves located in key U.S. regions like the Appalachia Basin and the Powder River Basin. Companies that mine coal pay NRP royalties for the right to extract these resources. This segment also includes other industrial minerals and aggregates, as well as oil and gas properties, all generating revenue through similar leasing arrangements.
Soda Ash
The Soda Ash segment involves NRP's ownership and leasing of trona ore, which is the raw material used to produce soda ash. Soda ash is a crucial ingredient in manufacturing glass, detergents, and other chemicals. NRP leases its trona reserves to companies that process it into soda ash, earning royalty payments based on the production and sale of this essential industrial chemical. This business line diversifies NRP's revenue streams beyond just coal.
What management is betting on now
NRP's management is focused on maximizing the value of its existing mineral portfolio and generating consistent cash flow. A key priority is effectively managing its leases and ensuring favorable terms with its lessees, the companies that extract the resources. The company aims to maintain its position as a reliable supplier of essential minerals while navigating the evolving energy and industrial landscapes. This strategy involves prudent financial management and a focus on operational efficiency within its leasing model.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$66.22M
FY2025 Q4
$44.77M
Revenue
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Net income
—
Diluted EPS
—
Operating cash flow
$43.99M
Free cash flow
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Revenue
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Net income
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Diluted EPS
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Operating cash flow
$40.95M
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Revenue
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Net income
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Diluted EPS
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Operating cash flow
$33.01M
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Revenue
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Net income
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Diluted EPS
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Operating cash flow
$44.77M
Free cash flow
$44.77M
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Revenue
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Diluted EPS
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Operating cash flow
$41.09M
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Diluted EPS
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Operating cash flow
$45.58M
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Revenue
$51.26M
Net income
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Diluted EPS
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Operating cash flow
$34.42M
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Revenue
$61.78M
Net income
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Diluted EPS
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Operating cash flow
$66.22M
Free cash flow
$66.22M
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Is it cheap or expensive?
Fair value — vs current price $122.68
We couldn't calculate a fair value right now.
Is it drowning in debt?
Healthy
Net cash $34.0M - more cash than debt. Interest coverage 17.5x.
Net debt
$-33.98M
Interest coverage
17.46x
Natural Resource Partners L.P.'s profit covers its interest bill about 17.5 times over. which is stronger than every peer shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
NRP
BASELINE
Natural Resource Partners L.P.
Total debt $17.71M Interest coverage 17.46x This is the baseline the peer rows are being compared against.
Total debt $679.60M Interest coverage 9.70x -44% vs NRP Carries about 1.8x less debt cushion than NRP.
Total debt $374.10M Interest coverage -0.13x -100% vs NRP This peer has almost no interest-payment cushion compared with NRP.
Total debt $455.62M Interest coverage -5.38x -100% vs NRP This peer has almost no interest-payment cushion compared with NRP.
What you should know
The case for and against NRP
3 Rewards
2 Risks
Rewards
-
Returns 16.0% on equity, ahead of 50% of its peers.
-
Free cash flow was positive in 10/10 years.
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Trades at 16.0x P/E vs peer median 31.3x (48.9% cheaper).
Risks
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Stock trades 104.3% above its 5-year average P/E.
-
Operating margin compressed from 75.8% to 63.8% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
15.99x
Forward P/E
—
P/B
2.47x
P/S
—
EV/EBITDA
10.47x
PEG ratio
—
Profitability
How much profit each dollar creates
Gross margin
88.5%
Operating margin
63.8%
Net margin
50.8%
ROE
16.0%
ROA
10.3%
Health
Liquidity and balance-sheet strength
Debt / equity
0.03x
Current ratio
2.74x
Quick ratio
2.73x
Total debt
$17.71M
Total cash
$51.69M
Growth
How the business has been compounding
Revenue TTM
$218.04M
Revenue 5Y CAGR
17.9%
EPS TTM
7.67
EPS 5Y CAGR
-9.2%
Cash flow
How much cash the business throws off
Operating CF TTM
$162.72M
Free CF TTM
$165.86M
FCF margin
76.1%
Dividend
Shareholder payout
Yield
7.8%
Payout ratio
40.0%
Last ex-div date
2026-11-17