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FNV

Franco-NevadaTSX:FNV Stock Report

Last Price

CA$164.28

Market Cap

CA$31.4b

7D

0.9%

1Y

4.7%

Updated

26 Jan, 2022

Data

Company Financials +
FNV fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance5/6
Financial Health6/6
Dividends4/6

FNV Stock Overview

Franco-Nevada Corporation operates as a gold-focused royalty and stream company in the United States, Latin America, Canada, Australia, Europe, and Africa, and internationally.

Franco-Nevada Competitors

Wheaton Precious Metals

TSX:WPM

CA$23.0b

Osisko Gold Royalties

TSX:OR

CA$2.4b

Royal Gold

NasdaqGS:RGLD

US$6.8b

Triple Flag Precious Metals

TSX:TFPM

CA$2.4b

Price History & Performance

Summary of all time highs, changes and price drops for Franco-Nevada
Historical stock prices
Current Share PriceCA$164.28
52 Week HighCA$205.25
52 Week LowCA$133.63
Beta0.55
1 Month Change-5.60%
3 Month Change-7.05%
1 Year Change4.68%
3 Year Change62.00%
5 Year Change94.09%
Change since IPO980.79%

Recent News & Updates

Jan 11
A Look At The Fair Value Of Franco-Nevada Corporation (TSE:FNV)

A Look At The Fair Value Of Franco-Nevada Corporation (TSE:FNV)

In this article we are going to estimate the intrinsic value of Franco-Nevada Corporation ( TSE:FNV ) by taking the...

Dec 29
Returns On Capital Are Showing Encouraging Signs At Franco-Nevada (TSE:FNV)

Returns On Capital Are Showing Encouraging Signs At Franco-Nevada (TSE:FNV)

To find a multi-bagger stock, what are the underlying trends we should look for in a business? In a perfect world, we'd...

Dec 16
Do Franco-Nevada's (TSE:FNV) Earnings Warrant Your Attention?

Do Franco-Nevada's (TSE:FNV) Earnings Warrant Your Attention?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Shareholder Returns

FNVCA Metals and MiningCA Market
7D0.9%0.08%-2.9%
1Y4.7%0.6%16.1%

Return vs Industry: FNV exceeded the Canadian Metals and Mining industry which returned -1.3% over the past year.

Return vs Market: FNV underperformed the Canadian Market which returned 15% over the past year.

Price Volatility

Is FNV's price volatile compared to industry and market?
FNV volatility
FNV Average Weekly Movement3.8%
Metals and Mining Industry Average Movement10.6%
Market Average Movement9.8%
10% most volatile stocks in CA Market17.3%
10% least volatile stocks in CA Market3.7%

Stable Share Price: FNV is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FNV's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2007n/aPaul Brinkhttps://www.franco-nevada.com

Franco-Nevada Corporation operates as a gold-focused royalty and stream company in the United States, Latin America, Canada, Australia, Europe, and Africa, and internationally. It operates through two segment, Mining and Energy. The company manages its portfolio with a focus on precious metals, such as gold, silver, and platinum group metals; and energy comprising oil, gas, and natural gas liquids.

Franco-Nevada Fundamentals Summary

How do Franco-Nevada's earnings and revenue compare to its market cap?
FNV fundamental statistics
Market CapUS$24.87b
Earnings (TTM)US$689.50m
Revenue (TTM)US$1.27b

36.1x

P/E Ratio

19.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FNV income statement (TTM)
RevenueUS$1.27b
Cost of RevenueUS$174.20m
Gross ProfitUS$1.10b
ExpensesUS$410.70m
EarningsUS$689.50m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.61
Gross Margin86.33%
Net Profit Margin54.10%
Debt/Equity Ratio0.0%

How did FNV perform over the long term?

See historical performance and comparison

Dividends

0.9%

Current Dividend Yield

31%

Payout Ratio

Valuation

Is Franco-Nevada undervalued compared to its fair value and its price relative to the market?

36.07x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: FNV (CA$164.28) is trading above our estimate of fair value (CA$126.87)

Significantly Below Fair Value: FNV is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FNV is poor value based on its PE Ratio (36.1x) compared to the Canadian Metals and Mining industry average (10.3x).

PE vs Market: FNV is poor value based on its PE Ratio (36.1x) compared to the Canadian market (12.6x).


Price to Earnings Growth Ratio

PEG Ratio: FNV is poor value based on its PEG Ratio (10.7x)


Price to Book Ratio

PB vs Industry: FNV is overvalued based on its PB Ratio (4.3x) compared to the CA Metals and Mining industry average (2.3x).


Future Growth

How is Franco-Nevada forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

3.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FNV's forecast earnings growth (3.4% per year) is above the savings rate (1.6%).

Earnings vs Market: FNV's earnings (3.4% per year) are forecast to grow slower than the Canadian market (10.9% per year).

High Growth Earnings: FNV's earnings are forecast to grow, but not significantly.

Revenue vs Market: FNV's revenue (1.5% per year) is forecast to grow slower than the Canadian market (5.6% per year).

High Growth Revenue: FNV's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FNV's Return on Equity is forecast to be low in 3 years time (10.1%).


Past Performance

How has Franco-Nevada performed over the past 5 years?

34.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FNV has high quality earnings.

Growing Profit Margin: FNV's current net profit margins (54.1%) are higher than last year (27.1%).


Past Earnings Growth Analysis

Earnings Trend: FNV's earnings have grown significantly by 34.1% per year over the past 5 years.

Accelerating Growth: FNV's earnings growth over the past year (162.4%) exceeds its 5-year average (34.1% per year).

Earnings vs Industry: FNV earnings growth over the past year (162.4%) exceeded the Metals and Mining industry 93.2%.


Return on Equity

High ROE: FNV's Return on Equity (11.8%) is considered low.


Financial Health

How is Franco-Nevada's financial position?


Financial Position Analysis

Short Term Liabilities: FNV's short term assets ($584.9M) exceed its short term liabilities ($43.1M).

Long Term Liabilities: FNV's short term assets ($584.9M) exceed its long term liabilities ($112.4M).


Debt to Equity History and Analysis

Debt Level: FNV is debt free.

Reducing Debt: FNV had no debt 5 years ago.

Debt Coverage: FNV has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: FNV has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Franco-Nevada current dividend yield, its reliability and sustainability?

0.92%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FNV's dividend (0.92%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.63%).

High Dividend: FNV's dividend (0.92%) is low compared to the top 25% of dividend payers in the Canadian market (4.88%).


Stability and Growth of Payments

Stable Dividend: FNV's dividends per share have been stable in the past 10 years.

Growing Dividend: FNV's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31%), FNV's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FNV's dividends in 3 years are forecast to be well covered by earnings (31.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.0yrs

Average management tenure


CEO

Paul Brink (53 yo)

3.67yrs

Tenure

US$2,737,940

Compensation

Mr. Paul Brink serves as Chief Executive Officer and Director of Franco-Nevada Corporation since May 6, 2020 and its President since May 2018. Mr. Brink served as Chief Operating Officer of Franco-Nevada C...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD2.74M) is below average for companies of similar size in the Canadian market ($USD6.14M).

Compensation vs Earnings: Paul's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FNV's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

Experienced Board: FNV's board of directors are considered experienced (6.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FNV insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Franco-Nevada Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Franco-Nevada Corporation
  • Ticker: FNV
  • Exchange: TSX
  • Founded: 2007
  • Industry: Gold
  • Sector: Materials
  • Implied Market Cap: CA$31.409b
  • Shares outstanding: 191.19m
  • Website: https://www.franco-nevada.com

Number of Employees


Location

  • Franco-Nevada Corporation
  • 199 Bay Street
  • Suite 2000
  • Toronto
  • Ontario
  • M5L 1G9
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/26 01:05
End of Day Share Price2022/01/25 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.