Franco-Nevada Corporation (NYSE:FNV) to Issue $0.44 Quarterly Dividend

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) declared a quarterly dividend on Tuesday, May 12th. Shareholders of record on Thursday, June 11th will be paid a dividend of 0.44 per share by the basic materials company on Thursday, June 25th. This represents a c) annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Thursday, June 11th.

Franco-Nevada has decreased its dividend payment by an average of 0.1%per year over the last three years and has increased its dividend annually for the last 2 consecutive years. Franco-Nevada has a dividend payout ratio of 35.3% indicating that its dividend is sufficiently covered by earnings. Analysts expect Franco-Nevada to earn $9.02 per share next year, which means the company should continue to be able to cover its $1.76 annual dividend with an expected future payout ratio of 19.5%.

Franco-Nevada Stock Performance

Franco-Nevada stock traded up $3.90 during midday trading on Wednesday, hitting $240.90. 544,027 shares of the company’s stock were exchanged, compared to its average volume of 862,152. Franco-Nevada has a 12 month low of $152.89 and a 12 month high of $285.67. The firm has a 50-day moving average of $247.89 and a two-hundred day moving average of $230.76. The company has a market cap of $46.46 billion, a PE ratio of 41.82, a P/E/G ratio of 2.30 and a beta of 0.34.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last issued its quarterly earnings results on Tuesday, May 12th. The basic materials company reported $2.38 earnings per share for the quarter, topping the consensus estimate of $2.09 by $0.29. The business had revenue of $650.70 million during the quarter, compared to the consensus estimate of $634.43 million. Franco-Nevada had a return on equity of 15.62% and a net margin of 61.01%.The company’s quarterly revenue was up 76.6% on a year-over-year basis. During the same quarter last year, the company earned $1.07 earnings per share. As a group, equities analysts expect that Franco-Nevada will post 7.89 earnings per share for the current year.

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.