GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Sitio Royalties Corp (NYSE:STR) » Definitions » Degree of Operating Leverage

STR (Sitio Royalties) Degree of Operating Leverage : -651.87 (As of Mar. 2025)


View and export this data going back to 2022. Start your Free Trial

What is Sitio Royalties Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Sitio Royalties's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -651.87. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Sitio Royalties's Degree of Operating Leverage or its related term are showing as below:

STR's Degree of Operating Leverage is ranked better than
99.34% of 906 companies
in the Oil & Gas industry
Industry Median: 0.99 vs STR: -651.87

Sitio Royalties Degree of Operating Leverage Historical Data

The historical data trend for Sitio Royalties's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Sitio Royalties Degree of Operating Leverage Chart

Sitio Royalties Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- -3.10 1.70 -1.41 97.59

Sitio Royalties Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -3.30 -3.44 -4.30 97.59 -651.87

Competitive Comparison of Sitio Royalties's Degree of Operating Leverage

For the Oil & Gas E&P subindustry, Sitio Royalties's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Sitio Royalties's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Sitio Royalties's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Sitio Royalties's Degree of Operating Leverage falls into.


;
;

Sitio Royalties Degree of Operating Leverage Calculation

Sitio Royalties's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 214.502 (Mar. 2025) / -4.686 (Mar. 2024) - 1 )/( 636.538 (Mar. 2025) / 593.921 (Mar. 2024) - 1 )
=-46.7751/0.0718
=-651.87***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Sitio Royalties  (NYSE:STR) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Sitio Royalties Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Sitio Royalties's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Sitio Royalties Business Description

Industry
Traded in Other Exchanges
Address
1401 Lawrence Street, Suite 1750, Denver, CO, USA, 80202
Sitio Royalties Corp is a pure-play mineral and royalty company. The group focuses on investing in mineral and royalty interests in the Permian and other productive U.S. oil basins.
Executives
Christopher L. Conoscenti director, officer: Chief Executive Officer 1144 15TH STREET, SUITE 2650, DENVER CO 80202
Oaktree Holdings, Ltd. director, 10 percent owner 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES CA 90071
Oaktree Capital Management Lp director, 10 percent owner 333 S GRAND AVE 28TH FL, LOS ANGELES CA 90071
Ocm Fie, Llc director, 10 percent owner 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES CA 90071
Bx Royal Aggregator Lp 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Bcp Vi/bep Holdings Manager L.l.c. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Steven R Jones director 1845 WALNUT STREET, 10TH FLOOR, PHILADELPHIA PA 19103
Claire Harvey director 510 MADISON AVENUE, 8TH FLOOR, NEW YORK NY 10022
Bcp Vii/bep Ii Holdings Manager L.l.c. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Morris R Clark director CIVITAS RESOURCES, INC., 410 - 17TH STREET, SUITE 1400, DENVER CO 80202
Bam Partners Trust director, 10 percent owner 181 BAY STREET, SUITE 300, TORONTO A6 M5J 2T3
Alice E Gould director C/O COREPOINT LODGING INC., 909 HIDDEN RIDGE, SUITE 600, IRVING TX 75038
Michael J Downs officer: Chief Operating Officer 1845 WALNUT STREET, SUITE 1111, PHILADELPHIA PA 19103
Stephen J. Pilatzke officer: Chief Accounting Officer 1845 WALNUT STREET, 10TH FLOOR, PHILADELPHIA PA 19103
Bryan Gunderson director, officer: CEO and President 510 MADISON AVENUE, 8TH FLOOR, NEW YORK NY 10022