Franco-Nevada Corporation (NYSE:FNV) Receives Average Recommendation of “Moderate Buy” from Brokerages

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) has earned a consensus rating of “Moderate Buy” from the fifteen research firms that are presently covering the firm, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold recommendation and eleven have assigned a buy recommendation to the company. The average twelve-month price target among brokerages that have updated their coverage on the stock in the last year is $273.40.

A number of brokerages have commented on FNV. 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. Jefferies Financial Group cut their price objective on shares of Franco-Nevada from $258.00 to $245.00 and set a “hold” rating for the company in a research note on Monday, July 6th. Royal Bank Of Canada decreased their price target on Franco-Nevada from $295.00 to $285.00 and set an “outperform” rating on the stock in a research note on Thursday, July 9th. HC Wainwright reiterated a “buy” rating and issued a $305.00 price objective on shares of Franco-Nevada in a research report on Wednesday, May 13th. Finally, Zacks Research upgraded Franco-Nevada from a “strong sell” rating to a “hold” rating in a research report on Tuesday, August 11th.

Franco-Nevada Trading Down 2.4%

FNV opened at $232.88 on Friday. The stock has a market capitalization of $44.92 billion, a P/E ratio of 30.44, a PEG ratio of 2.14 and a beta of 0.35. The stock has a 50-day moving average price of $216.58 and a 200-day moving average price of $234.73. Franco-Nevada has a 12-month low of $173.39 and a 12-month high of $285.67.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last announced its quarterly earnings data on Tuesday, August 11th. The basic materials company reported $1.81 earnings per share for the quarter, missing analysts’ consensus estimates of $1.95 by ($0.14). The firm had revenue of $580.90 million for the quarter, compared to analysts’ expectations of $616.66 million. Franco-Nevada had a net margin of 63.79% and a return on equity of 18.58%. The business’s quarterly revenue was up 57.3% on a year-over-year basis. During the same period in the prior year, the business posted $1.24 earnings per share. On average, equities research analysts predict that Franco-Nevada will post 7.6 EPS for the current year.

Franco-Nevada Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Shareholders of record on Thursday, September 10th will be given a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Thursday, September 10th. Franco-Nevada’s payout ratio is presently 23.01%.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in FNV. Beacon Pointe Advisors LLC bought a new stake in shares of Franco-Nevada during the 2nd quarter valued at $9,001,000. Kimelman & Baird LLC bought a new position in shares of Franco-Nevada in the 2nd quarter worth about $75,000. Hamilton Capital LLC bought a new position in shares of Franco-Nevada in the 2nd quarter worth about $648,000. Caitlin John LLC purchased a new position in Franco-Nevada during the 2nd quarter valued at about $112,000. Finally, Equitable Holdings Inc. purchased a new position in Franco-Nevada during the 2nd quarter valued at about $748,000. Institutional investors own 77.06% of the company’s stock.

About Franco-Nevada

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.