HighTower Advisors LLC Boosts Holdings in Franco-Nevada Corporation $FNV

HighTower Advisors LLC increased its holdings in Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) by 21.0% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 102,591 shares of the basic materials company’s stock after buying an additional 17,782 shares during the quarter. HighTower Advisors LLC’s holdings in Franco-Nevada were worth $21,265,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. GAMMA Investing LLC boosted its holdings in shares of Franco-Nevada by 112.3% in the fourth quarter. GAMMA Investing LLC now owns 121 shares of the basic materials company’s stock worth $25,000 after buying an additional 64 shares during the last quarter. Burkett Financial Services LLC purchased a new position in shares of Franco-Nevada in the third quarter worth approximately $28,000. Private Trust Co. NA purchased a new position in shares of Franco-Nevada in the fourth quarter worth approximately $29,000. Navalign LLC purchased a new position in Franco-Nevada during the fourth quarter valued at approximately $34,000. Finally, Stephens Consulting LLC purchased a new position in Franco-Nevada during the fourth quarter valued at approximately $36,000. Hedge funds and other institutional investors own 77.06% of the company’s stock.

Franco-Nevada Price Performance

Shares of NYSE:FNV opened at $225.75 on Friday. Franco-Nevada Corporation has a 1-year low of $152.89 and a 1-year high of $285.67. The company has a market capitalization of $43.54 billion, a P/E ratio of 31.80, a P/E/G ratio of 1.95 and a beta of 0.34. The firm’s 50 day simple moving average is $242.33 and its two-hundred day simple moving average is $232.75.

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

Franco-Nevada Announces Dividend

The business also recently announced 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 payout ratio is 24.79%.

Analysts Set New Price Targets

Several brokerages have weighed in on FNV. TD raised shares of Franco-Nevada from a “hold” rating to a “buy” rating and lowered their price target for the company from $292.00 to $291.00 in a report on Wednesday. Canaccord Genuity Group raised shares of Franco-Nevada from a “hold” rating to a “buy” rating in a report on Wednesday, April 29th. Canadian Imperial Bank of Commerce reaffirmed an “outperform” rating on shares of Franco-Nevada in a report on Wednesday, February 4th. Weiss Ratings raised shares of Franco-Nevada from a “hold (c+)” rating to a “buy (b)” rating in a report on Friday, March 20th. Finally, National Bank Financial raised shares of Franco-Nevada from a “sector perform” rating to an “outperform” rating in a report on Wednesday, May 13th. Twelve investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $271.00.

Franco-Nevada 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.