Capital World Investors Cuts Stock Position in Franco-Nevada Corporation $FNV

Capital World Investors lessened its position in Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) by 34.8% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 5,207,241 shares of the basic materials company’s stock after selling 2,775,309 shares during the quarter. Capital World Investors owned approximately 2.70% of Franco-Nevada worth $1,079,387,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently modified their holdings of the company. PFG Investments LLC raised its holdings in shares of Franco-Nevada by 0.6% in the 4th quarter. PFG Investments LLC now owns 7,159 shares of the basic materials company’s stock valued at $1,484,000 after buying an additional 46 shares during the period. Composition Wealth LLC raised its holdings in shares of Franco-Nevada by 0.8% in the 4th quarter. Composition Wealth LLC now owns 6,108 shares of the basic materials company’s stock valued at $1,266,000 after buying an additional 49 shares during the period. Smartleaf Asset Management LLC raised its holdings in shares of Franco-Nevada by 27.6% in the 3rd quarter. Smartleaf Asset Management LLC now owns 250 shares of the basic materials company’s stock valued at $55,000 after buying an additional 54 shares during the period. Lafayette Investments Inc. increased its holdings in Franco-Nevada by 2.4% during the 3rd quarter. Lafayette Investments Inc. now owns 2,515 shares of the basic materials company’s stock worth $561,000 after purchasing an additional 60 shares during the period. Finally, GAMMA Investing LLC increased its holdings in Franco-Nevada by 112.3% during the 4th quarter. GAMMA Investing LLC now owns 121 shares of the basic materials company’s stock worth $25,000 after purchasing an additional 64 shares during the period. Hedge funds and other institutional investors own 77.06% of the company’s stock.

Franco-Nevada Stock Down 0.1%

Shares of NYSE FNV opened at $218.43 on Monday. The stock has a market cap of $42.13 billion, a PE ratio of 30.76, a price-to-earnings-growth ratio of 1.91 and a beta of 0.34. Franco-Nevada Corporation has a 52-week low of $152.89 and a 52-week high of $285.67. The business has a 50-day moving average price of $239.79 and a 200 day moving average price of $235.55.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last posted its quarterly earnings data on Tuesday, May 12th. The basic materials company reported $2.38 earnings per share for the quarter, topping analysts’ consensus estimates of $2.09 by $0.29. Franco-Nevada had a return on equity of 18.10% and a net margin of 65.12%.The company had revenue of $650.70 million during the quarter, compared to analysts’ expectations of $634.43 million. During the same period last year, the firm earned $1.07 EPS. The firm’s revenue for the quarter was up 76.6% on a year-over-year basis. Sell-side analysts anticipate that Franco-Nevada Corporation will post 8.85 earnings per share for the current year.

Franco-Nevada Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Thursday, June 11th will be issued a $0.44 dividend. This represents a $1.76 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend is Thursday, June 11th. Franco-Nevada’s dividend payout ratio (DPR) is currently 24.79%.

Wall Street Analyst Weigh In

Several brokerages have weighed in on FNV. Zacks Research downgraded Franco-Nevada from a “strong-buy” rating to a “hold” rating in a report on Tuesday, March 31st. TD Cowen upgraded Franco-Nevada from a “hold” rating to a “buy” rating and cut their price target for the stock from $292.00 to $291.00 in a report on Wednesday, May 20th. Canaccord Genuity Group upgraded Franco-Nevada from a “hold” rating to a “buy” rating in a report on Wednesday, April 29th. TD Securities upgraded Franco-Nevada from a “hold” rating to a “buy” rating and set a $291.00 price target on the stock in a report on Wednesday, May 20th. Finally, Wall Street Zen downgraded Franco-Nevada from a “buy” rating to a “hold” rating in a report on Monday, June 1st. Eleven analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $271.00.

Franco-Nevada Company Profile

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.