Franco-Nevada (NYSE:FNV) Issues Quarterly Earnings Results, Beats Expectations By $0.18 EPS

Franco-Nevada (NYSE:FNV) (TSE:FNV) issued its quarterly earnings data on Tuesday. The basic materials company reported $1.85 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.67 by $0.18, Briefing.com reports. The business had revenue of $597.30 million during the quarter, compared to analyst estimates of $542.02 million. Franco-Nevada had a return on equity of 13.94% and a net margin of 59.48%.Franco-Nevada’s quarterly revenue was up 86.1% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.95 EPS.

Franco-Nevada Price Performance

Shares of FNV opened at $262.40 on Wednesday. Franco-Nevada has a fifty-two week low of $140.03 and a fifty-two week high of $285.67. The company’s 50-day moving average is $247.60 and its 200-day moving average is $218.19. The firm has a market capitalization of $50.59 billion, a PE ratio of 55.01, a PEG ratio of 3.50 and a beta of 0.45.

Franco-Nevada Increases Dividend

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

Analyst Ratings Changes

FNV has been the topic of a number of research reports. Jefferies Financial Group reissued a “hold” rating and issued a $228.00 price objective on shares of Franco-Nevada in a research report on Sunday, December 7th. Canaccord Genuity Group downgraded Franco-Nevada from a “strong-buy” rating to a “hold” rating in a report on Friday, January 23rd. HC Wainwright raised their target price on shares of Franco-Nevada from $210.00 to $285.00 and gave the company a “buy” rating in a research note on Friday, February 13th. Canadian Imperial Bank of Commerce restated an “outperform” rating on shares of Franco-Nevada in a report on Wednesday, February 4th. Finally, UBS Group reiterated a “buy” rating and issued a $310.00 price target on shares of Franco-Nevada in a research note on Friday, January 30th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat, Franco-Nevada has an average rating of “Moderate Buy” and an average target price of $254.38.

Institutional Trading of Franco-Nevada

Several large investors have recently bought and sold shares of the business. Transamerica Financial Advisors LLC bought a new position in Franco-Nevada in the fourth quarter valued at about $25,000. Quattro Advisors LLC acquired a new stake in shares of Franco-Nevada in the 4th quarter valued at approximately $36,000. Smartleaf Asset Management LLC boosted its stake in shares of Franco-Nevada by 600.0% in the 2nd quarter. Smartleaf Asset Management LLC now owns 196 shares of the basic materials company’s stock valued at $32,000 after purchasing an additional 168 shares in the last quarter. Intesa Sanpaolo Wealth Management bought a new stake in shares of Franco-Nevada during the 4th quarter valued at approximately $51,000. Finally, J.Safra Asset Management Corp acquired a new position in Franco-Nevada during the 4th quarter worth approximately $65,000. 77.06% of the stock is 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.