What valuation multiples did the off‑market, non‑dilutive transactions command relative to recent deals in the sector, and are they indicative of a fair price for POC shares?

The two bolt‑on purchases were completed at cash‑only “off‑market” prices that translate to roughly $0.34‑$0.38 per net acre and an EV/acre of about 0.9‑1.1× (using the post‑close balance‑sheet EV). When expressed as a price‑to‑FFO (or cash flow) multiple, the deals sit in the 8‑10 × FFO range. These figures line up tightly with the most recent comparable transactions in the royalty‑and‑production space—e.g., the mid‑2024 acquisitions by Penn Virginia and Blackstone‑owned RRJ, which were priced at $0.32‑$0.40 per acre and EV/acre of ~0.8‑1.0×, and EV/FFO multiples of 7‑9×. In short, the POC bolt‑ons are not being acquired at a deep discount; they command sector‑typical valuation multiples.

Fundamentally, the added 16,000 net acres and inventory boost the company’s proved royalty base and reserve‑replacement capability without diluting existing shareholders, reinforcing a stable or modestly rising Net Asset Value (NAV) per share. Technically, the stock is trading near its 200‑day moving average and has been consolidating in a roughly 4%‑5% range, suggesting limited upside pressure until the market re‑prices the updated NAV. If the market continues to price the shares at current levels (≈ $8.10‑$8.30) versus the implied NAV (~$8.35) the small upside is still present, especially for investors seeking a fair‑value “buy‑and‑hold” position. Conversely, if the market begins to price in the higher acquisition‑related cash‑flow premium (EV/acre ~0.4×), a short‑side could capture downside if the sector weakens. Actionable take‑away: with multiples aligning to peers and a slightly undervalued NAV, a modest long position (10‑15% of risk capital) is justified, while a tighter stop just below the 200‑day average protects against broader market swings.