Franco-Nevada Corporation (NYSE:FNV) Given Average Rating of “Moderate Buy” by Brokerages

Shares of Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) have been given a consensus rating of “Moderate Buy” by the fifteen ratings firms that are covering the company, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold recommendation and eleven have given a buy recommendation to the company. The average twelve-month price target among brokerages that have covered the stock in the last year is $271.00.

Several research firms recently commented on FNV. TD upgraded shares of Franco-Nevada from a “hold” rating to a “buy” rating and decreased their price objective for the stock from $292.00 to $291.00 in a research report on Wednesday, May 20th. TD Securities upgraded shares of Franco-Nevada from a “hold” rating to a “buy” rating and set a $291.00 price objective on the stock in a research report on Wednesday, May 20th. Zacks Research lowered shares of Franco-Nevada from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, March 31st. National Bank Financial upgraded shares of Franco-Nevada from a “sector perform” rating to an “outperform” rating in a research report on Wednesday, May 13th. Finally, TD Cowen upgraded shares of Franco-Nevada from a “hold” rating to a “buy” rating and reduced their target price for the company from $292.00 to $291.00 in a report on Wednesday, May 20th.

Franco-Nevada Stock Down 3.7%

Franco-Nevada stock opened at $207.26 on Thursday. Franco-Nevada has a 52 week low of $152.89 and a 52 week high of $285.67. The firm’s 50-day simple moving average is $227.79 and its 200 day simple moving average is $237.17. The firm has a market capitalization of $39.97 billion, a PE ratio of 29.19, a P/E/G ratio of 1.87 and a beta of 0.34.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last released its quarterly earnings data on Tuesday, May 12th. The basic materials company reported $2.38 EPS for the quarter, topping the consensus estimate of $2.09 by $0.29. Franco-Nevada had a net margin of 65.12% and a return on equity of 18.10%. The business had revenue of $650.70 million for the quarter, compared to analyst estimates of $634.43 million. During the same period in the previous year, the firm earned $1.07 EPS. The business’s revenue for the quarter was up 76.6% compared to the same quarter last year. On average, research analysts expect that Franco-Nevada will post 8.85 EPS for the current fiscal year.

Franco-Nevada Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, June 25th. Shareholders of record on Thursday, June 11th were issued a $0.44 dividend. This represents a $1.76 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date was Thursday, June 11th. Franco-Nevada’s dividend payout ratio is 24.79%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Sapient Capital LLC lifted its holdings in Franco-Nevada by 3.1% in the 1st quarter. Sapient Capital LLC now owns 7,354 shares of the basic materials company’s stock valued at $1,817,000 after purchasing an additional 222 shares in the last quarter. Rathbones Group PLC lifted its holdings in Franco-Nevada by 134.2% in the 1st quarter. Rathbones Group PLC now owns 6,725 shares of the basic materials company’s stock valued at $1,660,000 after purchasing an additional 3,854 shares in the last quarter. Parallel Advisors LLC lifted its holdings in Franco-Nevada by 2.1% in the 1st quarter. Parallel Advisors LLC now owns 2,605 shares of the basic materials company’s stock valued at $644,000 after purchasing an additional 53 shares in the last quarter. Groupama Asset Managment lifted its holdings in Franco-Nevada by 26.9% in the 1st quarter. Groupama Asset Managment now owns 234,241 shares of the basic materials company’s stock valued at $57,869,000 after purchasing an additional 49,600 shares in the last quarter. Finally, Groupe la Francaise lifted its holdings in Franco-Nevada by 98.7% in the 1st quarter. Groupe la Francaise now owns 155,000 shares of the basic materials company’s stock valued at $38,253,000 after purchasing an additional 77,000 shares in the last quarter. 77.06% of the stock is currently owned by hedge funds and other institutional investors.

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.