Franco-Nevada (NYSE:FNV) Reaches New 12-Month High After Dividend Announcement

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) reached a new 52-week high during trading on Tuesday after the company announced a dividend. The stock traded as high as $266.61 and last traded at $259.5420, with a volume of 1436353 shares. The stock had previously closed at $255.75.

The newly announced dividend which will be paid on Thursday, March 26th. Shareholders of record on Thursday, March 12th will be given a $0.44 dividend. This is a boost from Franco-Nevada’s previous quarterly dividend of $0.38. This represents a $1.76 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Thursday, March 12th. Franco-Nevada’s dividend payout ratio is 31.87%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on FNV. Jefferies Financial Group reissued a “hold” rating and set a $228.00 price target on shares of Franco-Nevada in a report on Sunday, December 7th. Scotiabank lifted 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. Weiss Ratings lowered shares of Franco-Nevada from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday. TD Securities decreased their target price on shares of Franco-Nevada from $247.00 to $225.00 and set a “hold” rating for the company in a research report on Wednesday, November 5th. Finally, Wall Street Zen raised Franco-Nevada from a “hold” rating to a “buy” rating in a report on Monday, November 24th. Six research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $240.00.

Franco-Nevada Trading Up 2.3%

The stock has a market cap of $51.67 billion, a P/E ratio of 56.18, a price-to-earnings-growth ratio of 1.48 and a beta of 0.48. The stock’s 50-day moving average is $219.60 and its 200-day moving average is $199.95.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last issued its quarterly earnings results on Monday, November 3rd. The basic materials company reported $1.43 earnings per share for the quarter, topping analysts’ consensus estimates of $1.37 by $0.06. The company had revenue of $487.70 million during the quarter, compared to analyst estimates of $448.51 million. Franco-Nevada had a net margin of 59.48% and a return on equity of 13.94%. The business’s revenue for the quarter was up 76.9% compared to the same quarter last year. During the same period in the prior year, the business posted $0.80 EPS. On average, equities analysts forecast that Franco-Nevada Corporation will post 3.09 EPS for the current year.

Hedge Funds Weigh In On Franco-Nevada

Several hedge funds have recently modified their holdings of FNV. GAMMA Investing LLC lifted its holdings in shares of Franco-Nevada by 112.3% in the fourth quarter. GAMMA Investing LLC now owns 121 shares of the basic materials company’s stock valued at $25,000 after buying an additional 64 shares during the period. Burkett Financial Services LLC bought a new stake in Franco-Nevada in the third quarter worth about $28,000. Private Trust Co. NA acquired a new stake in Franco-Nevada in the 4th quarter valued at about $29,000. Stephens Consulting LLC bought a new position in shares of Franco-Nevada during the 4th quarter valued at about $36,000. Finally, MTM Investment Management LLC bought a new position in shares of Franco-Nevada during the 2nd quarter valued at about $32,000. 77.06% of the stock is currently owned by institutional investors and hedge funds.

Franco-Nevada Company 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.