Franco-Nevada (NYSE:FNV) Share Price Breaks Above 200 Day Moving Average – Should You Sell?

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) shares passed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $240.02 and traded as high as $243.54. Franco-Nevada shares last traded at $242.4210, with a volume of 868,172 shares.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on FNV. Weiss Ratings upgraded shares of Franco-Nevada from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, October 8th. Bank of America decreased their price target on shares of Franco-Nevada from $276.00 to $238.00 and set a “neutral” rating for the company in a research note on Thursday, July 9th. Scotiabank lowered their price target on shares of Franco-Nevada from $290.00 to $274.00 and set a “sector perform” rating for the company in a research report on Tuesday, July 14th. Zacks Research upgraded shares of Franco-Nevada from a “strong sell” rating to a “hold” rating in a report on Tuesday, August 11th. Finally, Royal Bank Of Canada upped their price objective on shares of Franco-Nevada from $285.00 to $300.00 and gave the stock an “outperform” rating in a report on Wednesday, September 16th. Ten equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $275.30.

Franco-Nevada Price Performance

The company has a market cap of $46.77 billion, a PE ratio of 31.69, a PEG ratio of 2.63 and a beta of 0.34. The business has a 50-day moving average of $249.48 and a 200 day moving average of $240.02.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last released its quarterly earnings results on Tuesday, August 11th. The basic materials company reported $1.81 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.95 by ($0.14). Franco-Nevada had a net margin of 63.79% and a return on equity of 18.58%. The firm had revenue of $580.90 million for the quarter, compared to the consensus estimate of $616.66 million. During the same quarter in the prior year, the firm earned $1.24 earnings per share. The company’s revenue for the quarter was up 57.3% compared to the same quarter last year. On average, equities analysts predict that Franco-Nevada Corporation will post 7.39 EPS for the current fiscal year.

Franco-Nevada Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 24th. Stockholders of record on Thursday, September 10th were paid a dividend of $0.44 per share. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.76 dividend on an annualized basis and a dividend yield of 0.7%. Franco-Nevada’s dividend payout ratio is currently 23.01%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. New Harbor Financial Group LLC lifted its stake in shares of Franco-Nevada by 2.4% in the 3rd quarter. New Harbor Financial Group LLC now owns 1,871 shares of the basic materials company’s stock valued at $446,000 after purchasing an additional 44 shares during the last quarter. Elevated Capital Advisors LLC grew its holdings in shares of Franco-Nevada by 12.6% during the 3rd quarter. Elevated Capital Advisors LLC now owns 401 shares of the basic materials company’s stock worth $95,000 after purchasing an additional 45 shares during the period. Parallel Advisors LLC grew its holdings in shares of Franco-Nevada by 2.1% during the 1st quarter. Parallel Advisors LLC now owns 2,605 shares of the basic materials company’s stock worth $644,000 after purchasing an additional 53 shares during the period. Pinnacle Wealth Planning Services Inc. increased its position in shares of Franco-Nevada by 22.4% during the 3rd quarter. Pinnacle Wealth Planning Services Inc. now owns 295 shares of the basic materials company’s stock worth $70,000 after purchasing an additional 54 shares during the last quarter. Finally, Pekin Hardy Strauss Inc. increased its position in shares of Franco-Nevada by 0.5% during the 3rd quarter. Pekin Hardy Strauss Inc. now owns 12,589 shares of the basic materials company’s stock worth $2,998,000 after purchasing an additional 57 shares during the last quarter. Hedge funds and other institutional investors own 77.06% of the company’s stock.

About Franco-Nevada

Franco-Nevada Corporation is a gold-focused royalty and streaming company. Rather than operating mines directly, it provides capital to mining and energy companies in exchange for the right to receive a portion of future production or revenue from their assets. Its portfolio includes royalties, streams and other interests tied primarily to gold, as well as silver, platinum group metals, base metals and energy assets.

The company’s business model provides exposure to commodity production while generally limiting its direct responsibility for mine development, operating costs and capital expenditures.