Franco-Nevada (NYSE:FNV) Upgraded to “Buy” at TD

Franco-Nevada (NYSE:FNV) (TSE:FNV) was upgraded by stock analysts at TD from a “hold” rating to a “buy” rating in a research report issued on Wednesday,BayStreet.CA reports. The brokerage currently has a $291.00 price objective on the basic materials company’s stock, down from their previous price objective of $292.00. TD’s price target would suggest a potential upside of 28.83% from the company’s previous close.

A number of other analysts have also commented on FNV. National Bank Financial raised shares of Franco-Nevada from a “sector perform” rating to an “outperform” rating in a research report on Wednesday, May 13th. Scotiabank boosted their price objective on shares of Franco-Nevada from $286.00 to $290.00 and gave the stock a “sector perform” rating in a research report on Thursday, May 14th. Wall Street Zen lowered shares of Franco-Nevada from a “buy” rating to a “hold” rating in a research report on Saturday. Canadian Imperial Bank of Commerce reaffirmed an “outperform” rating on shares of Franco-Nevada in a research report on Wednesday, February 4th. Finally, TD Cowen raised shares of Franco-Nevada from a “hold” rating to a “buy” rating and dropped their price target for the stock from $292.00 to $291.00 in a research report on Wednesday. Twelve equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, Franco-Nevada presently has a consensus rating of “Moderate Buy” and an average price target of $271.00.

Franco-Nevada Price Performance

Shares of Franco-Nevada stock traded up $3.14 on Wednesday, hitting $225.88. The company had a trading volume of 397,240 shares, compared to its average volume of 861,300. The firm has a market capitalization of $43.56 billion, a P/E ratio of 31.77, a P/E/G ratio of 1.95 and a beta of 0.34. Franco-Nevada has a twelve month low of $152.89 and a twelve month high of $285.67. The stock has a 50-day moving average of $244.61 and a 200-day moving average of $232.27.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last released its quarterly earnings results on Tuesday, May 12th. The basic materials company reported $2.38 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.29. The company had revenue of $650.70 million during the quarter, compared to analysts’ expectations of $634.43 million. Franco-Nevada had a net margin of 65.12% and a return on equity of 18.10%. The business’s quarterly revenue was up 76.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.07 earnings per share. Equities analysts predict that Franco-Nevada will post 8.84 EPS for the current year.

Hedge Funds Weigh In On Franco-Nevada

Several institutional investors and hedge funds have recently modified their holdings of the business. Norges Bank bought a new position in Franco-Nevada in the 4th quarter valued at approximately $578,577,000. First Eagle Investment Management LLC grew its position in shares of 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 buying an additional 1,074,257 shares during the period. Mackenzie Financial Corp grew its position in shares of Franco-Nevada by 76.0% during the 3rd quarter. Mackenzie Financial Corp now owns 2,363,324 shares of the basic materials company’s stock worth $525,925,000 after buying an additional 1,020,509 shares during the period. Van ECK Associates Corp grew its position in shares of 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 buying an additional 842,132 shares during the period. Finally, Capital Research Global Investors grew its position in Franco-Nevada by 100.2% in the 4th quarter. Capital Research Global Investors now owns 1,277,889 shares of the basic materials company’s stock valued at $264,882,000 after purchasing an additional 639,493 shares during the period. 77.06% of the stock is currently owned by institutional investors and hedge funds.

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.