Franco-Nevada (NYSE:FNV) Hits New 1-Year High – Time to Buy?

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV)’s share price reached a new 52-week high during trading on Monday . The stock traded as high as $285.67 and last traded at $276.9580, with a volume of 121813 shares. The stock had previously closed at $280.61.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Royal Bank Of Canada raised shares of Franco-Nevada from a “sector perform” rating to an “outperform” rating and increased their price objective for the company from $225.00 to $250.00 in a research report on Wednesday, December 10th. Weiss Ratings raised shares of Franco-Nevada from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Tuesday, February 10th. TD Securities cut their price objective on shares of Franco-Nevada from $247.00 to $225.00 and set a “hold” rating on the stock in a report on Wednesday, November 5th. Scotiabank upped their price objective on shares of Franco-Nevada from $225.00 to $283.00 and gave the company a “sector perform” rating in a research report on Monday, January 26th. Finally, Wall Street Zen upgraded Franco-Nevada from a “hold” rating to a “buy” rating in a research note on Monday, November 24th. Seven investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $254.38.

Franco-Nevada Trading Down 1.9%

The stock has a market capitalization of $53.05 billion, a P/E ratio of 57.75, a P/E/G ratio of 3.73 and a beta of 0.45. The stock’s 50 day simple moving average is $240.67 and its 200 day simple moving average is $214.01.

Franco-Nevada Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 26th. Investors of record on Thursday, March 12th will be issued a $0.44 dividend. This is an increase from Franco-Nevada’s previous quarterly dividend of $0.38. This represents a $1.76 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Thursday, March 12th. Franco-Nevada’s dividend payout ratio is presently 31.87%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. GAMMA Investing LLC raised its position in shares of Franco-Nevada by 112.3% during the 4th quarter. GAMMA Investing LLC now owns 121 shares of the basic materials company’s stock valued at $25,000 after acquiring an additional 64 shares in the last quarter. Transamerica Financial Advisors LLC bought a new stake in Franco-Nevada during the fourth quarter valued at $25,000. Burkett Financial Services LLC acquired a new stake in shares of Franco-Nevada during the third quarter worth $28,000. Private Trust Co. NA bought a new position in shares of Franco-Nevada in the 4th quarter worth about $29,000. Finally, Navalign LLC bought a new position in shares of Franco-Nevada in the 4th quarter worth about $34,000. Institutional investors and hedge funds own 77.06% of the company’s stock.

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.