Morgan Stanley Initiates Coverage on Franco-Nevada (FNV)
Investment analysts at Morgan Stanley began coverage on shares of Franco-Nevada (NYSE:FNV) in a note issued to investors on Tuesday. The firm set an “equal weight” rating and a $52.00 price target on the stock. Morgan Stanley’s price objective points to a potential downside of 7.01% from the stock’s previous close.
The analysts wrote, “With the largest impact of the new agreement being the higher ongoing costs to FNV, we believe the new deal terms will initially have a negative impact. However, the new terms were necessary as it is possible (at current metal prices) that the underground development of the Guadalupe deposit would have remained suspended indefinitely.”
Shares of Franco-Nevada (NYSE:FNV) traded down 0.79% during mid-day trading on Tuesday, hitting $55.48. The stock had a trading volume of 127,623 shares. Franco-Nevada has a 52 week low of $31.54 and a 52 week high of $56.06. The stock’s 50-day moving average is $48.87 and its 200-day moving average is $47.04. The company has a market cap of $8.173 billion and a price-to-earnings ratio of 699.00.
Franco-Nevada (NYSE:FNV) last announced its earnings results on Wednesday, May 7th. The company reported $0.24 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.23 by $0.01. The company had revenue of $104.10 million for the quarter, compared to the consensus estimate of $101.23 million. The company’s quarterly revenue was down 4.3% on a year-over-year basis. On average, analysts predict that Franco-Nevada will post $0.95 earnings per share for the current fiscal year.
Other equities research analysts have also recently issued reports about the stock. Analysts at Goldman Sachs initiated coverage on shares of Franco-Nevada in a research note on Tuesday, April 22nd. They set a “neutral” rating on the stock. Analysts at TheStreet downgraded shares of Franco-Nevada from a “hold” rating to a “sell” rating in a research note on Monday, April 14th. One analyst has rated the stock with a sell rating, seven have given a hold rating and three have issued a buy rating to the company’s stock. Franco-Nevada currently has an average rating of “Hold” and a consensus target price of $48.14.
Franco-Nevada Corporation (NYSE:FNV) is a gold-focused royalty and stream company with interests in platinum group metals (PGMs), oil and gas and other resource assets.
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