Brokerages Set Franco-Nevada Corporation (NYSE:FNV) Target Price at $273.40

Shares of Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) have been assigned a consensus recommendation of “Moderate Buy” from the fifteen analysts that are presently covering the firm, Marketbeat reports. One investment analyst has rated the stock with a sell recommendation, three have issued a hold recommendation and eleven have given a buy recommendation to the company. The average twelve-month price objective among brokers that have updated their coverage on the stock in the last year is $273.40.

A number of research analysts recently weighed in on FNV shares. Wall Street Zen lowered Franco-Nevada from a “buy” rating to a “hold” rating in a report on Monday, June 1st. Jefferies Financial Group cut their price target on Franco-Nevada from $258.00 to $245.00 and set a “hold” rating for the company in a report on Monday, July 6th. Weiss Ratings cut shares of Franco-Nevada from a “buy (b)” rating to a “buy (b-)” rating in a research report on Monday, June 8th. TD upgraded shares of Franco-Nevada from a “hold” rating to a “buy” rating and decreased their price objective for the company from $292.00 to $291.00 in a report on Wednesday, May 20th. Finally, 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 report on Wednesday, May 20th.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Norges Bank acquired a new position in shares of Franco-Nevada in the fourth quarter valued at approximately $578,577,000. First Eagle Investment Management LLC lifted its holdings in Franco-Nevada by 26.5% during the 4th quarter. First Eagle Investment Management LLC now owns 5,123,444 shares of the basic materials company’s stock worth $1,062,037,000 after purchasing an additional 1,074,257 shares during the last quarter. Van ECK Associates Corp lifted its holdings in Franco-Nevada by 12.8% during the 4th quarter. Van ECK Associates Corp now owns 7,441,133 shares of the basic materials company’s stock worth $1,542,402,000 after purchasing an additional 842,132 shares during the last quarter. Capital Research Global Investors lifted its holdings in Franco-Nevada by 100.2% during the 4th quarter. Capital Research Global Investors now owns 1,277,889 shares of the basic materials company’s stock worth $264,882,000 after purchasing an additional 639,493 shares during the last quarter. Finally, Deutsche Bank AG boosted its stake in Franco-Nevada by 30.7% in the 4th quarter. Deutsche Bank AG now owns 1,889,414 shares of the basic materials company’s stock valued at $391,638,000 after purchasing an additional 443,839 shares during the period. Institutional investors and hedge funds own 77.06% of the company’s stock.

Franco-Nevada Stock Performance

Franco-Nevada stock opened at $213.96 on Monday. The stock has a 50-day simple moving average of $216.76 and a 200 day simple moving average of $236.60. The stock has a market capitalization of $41.26 billion, a P/E ratio of 30.14, a PEG ratio of 1.75 and a beta of 0.36. Franco-Nevada has a 52 week low of $157.18 and a 52 week high of $285.67.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last released its quarterly earnings data on Tuesday, May 12th. The basic materials company reported $2.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.09 by $0.29. Franco-Nevada had a return on equity of 18.10% and a net margin of 65.12%.The firm had revenue of $650.70 million for the quarter, compared to analyst estimates of $634.43 million. During the same quarter in the prior year, the company earned $1.07 earnings per share. The business’s revenue for the quarter was up 76.6% compared to the same quarter last year. Research analysts forecast that Franco-Nevada will post 8.23 earnings per share for the current year.

Franco-Nevada Announces Dividend

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

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.