Capital World Investors Cuts Position in Franco-Nevada Corporation $FNV

Capital World Investors decreased its position in Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) by 0.7% during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 7,982,550 shares of the basic materials company’s stock after selling 57,830 shares during the quarter. Capital World Investors’ holdings in Franco-Nevada were worth $1,776,787,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also modified their holdings of FNV. Norges Bank acquired a new position in Franco-Nevada in the second quarter valued at approximately $460,218,000. First Eagle Investment Management LLC increased its position in Franco-Nevada by 26.4% during the 3rd quarter. First Eagle Investment Management LLC now owns 4,049,187 shares of the basic materials company’s stock worth $901,092,000 after purchasing an additional 846,950 shares during the period. Arrowstreet Capital Limited Partnership lifted its holdings in Franco-Nevada by 35.2% in the second quarter. Arrowstreet Capital Limited Partnership now owns 3,220,029 shares of the basic materials company’s stock valued at $528,289,000 after acquiring an additional 838,853 shares during the period. Picton Mahoney Asset Management purchased a new stake in shares of Franco-Nevada during the 2nd quarter worth approximately $80,621,000. Finally, Invesco Ltd. grew its holdings in Franco-Nevada by 110.6% in the second quarter. Invesco Ltd. now owns 902,017 shares of the basic materials company’s stock valued at $147,859,000 after purchasing an additional 473,697 shares during the last quarter. 77.06% of the stock is currently owned by institutional investors and hedge funds.

Franco-Nevada Trading Up 1.4%

NYSE:FNV opened at $263.33 on Tuesday. Franco-Nevada Corporation has a 52 week low of $140.03 and a 52 week high of $285.67. The stock has a 50 day moving average of $246.52 and a 200-day moving average of $217.65. The firm has a market capitalization of $50.77 billion, a PE ratio of 55.21, a price-to-earnings-growth ratio of 3.45 and a beta of 0.45.

Franco-Nevada Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 26th. Investors of record on Thursday, March 12th will be issued a $0.44 dividend. This is a boost from Franco-Nevada’s previous quarterly dividend of $0.38. The ex-dividend date of this dividend is Thursday, March 12th. This represents a $1.76 dividend on an annualized basis and a dividend yield of 0.7%. Franco-Nevada’s dividend payout ratio is 31.87%.

Analyst Ratings Changes

A number of research analysts have issued reports on FNV shares. Wall Street Zen upgraded shares of Franco-Nevada from a “hold” rating to a “buy” rating in a report on Monday, November 24th. Jefferies Financial Group reaffirmed a “hold” rating and set a $228.00 price target on shares of Franco-Nevada in a research report on Sunday, December 7th. Scotiabank increased their price objective on shares of Franco-Nevada from $225.00 to $283.00 and gave the company a “sector perform” rating in a research report on Monday, January 26th. Canadian Imperial Bank of Commerce reaffirmed an “outperform” rating on shares of Franco-Nevada in a research report on Wednesday, February 4th. Finally, Royal Bank Of Canada raised Franco-Nevada from a “sector perform” rating to an “outperform” rating and upped their target price for the company from $225.00 to $250.00 in a research report on Wednesday, December 10th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat, Franco-Nevada presently has an average rating of “Moderate Buy” and a consensus price target of $254.38.

Franco-Nevada Profile

Franco-Nevada Corporation is a Toronto-based royalty and streaming company that specializes in securing and managing long-term interests in mining properties. The firm focuses primarily on precious metals, particularly gold, while also holding interests related to silver, copper, platinum-group metals and select base metals. Rather than operating mines directly, Franco-Nevada acquires royalty and streaming agreements that entitle it to a percentage of production or revenue from producing and developing assets in exchange for upfront or staged financing.

The company’s business model centers on providing capital to mining companies in return for a sustained share of production or metal revenue, which can reduce exposure to operating and capital cost risks typical of mine operators.