FRANCO-NEVADA CORP (FNV) Stock Fundamental Analysis
NYSE:FNV - New York Stock Exchange, Inc. - CA3518581051 - Common Stock - Currency: USD
Taking everything into account, FNV scores 6 out of 10 in our fundamental rating. FNV was compared to 155 industry peers in the Metals & Mining industry. FNV scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FNV has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
FNV had positive earnings in the past year.
FNV had a positive operating cash flow in the past year.
Of the past 5 years FNV 4 years were profitable.
In the past 5 years FNV always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 9.28%, FNV belongs to the best of the industry, outperforming 89.03% of the companies in the same industry.
The Return On Equity of FNV (9.81%) is better than 76.77% of its industry peers.
With an excellent Return On Invested Capital value of 8.86%, FNV belongs to the best of the industry, outperforming 80.65% of the companies in the same industry.
FNV had an Average Return On Invested Capital over the past 3 years of 8.75%. This is below the industry average of 11.61%.
The 3 year average ROIC (8.75%) for FNV is below the current ROIC(8.86%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.28% | ||
| ROE | 9.81% | ||
| ROIC | 8.86% |
ROA(3y)3.84%
ROA(5y)5.83%
ROE(3y)4.01%
ROE(5y)6.04%
ROIC(3y)8.75%
ROIC(5y)8.65%
1.3 Margins
Looking at the Profit Margin, with a value of 50.39%, FNV belongs to the top of the industry, outperforming 98.06% of the companies in the same industry.
In the last couple of years the Profit Margin of FNV has grown nicely.
With an excellent Operating Margin value of 65.97%, FNV belongs to the best of the industry, outperforming 98.06% of the companies in the same industry.
FNV's Operating Margin has improved in the last couple of years.
FNV has a better Gross Margin (69.85%) than 97.42% of its industry peers.
In the last couple of years the Gross Margin of FNV has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.97% | ||
| PM (TTM) | 50.39% | ||
| GM | 69.85% |
OM growth 3Y1.96%
OM growth 5Y5.98%
PM growth 3Y-4.23%
PM growth 5Y3.99%
GM growth 3Y2.54%
GM growth 5Y5.71%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FNV is still creating some value.
FNV has more shares outstanding than it did 1 year ago.
FNV has more shares outstanding than it did 5 years ago.
FNV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 51.56 indicates that FNV is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 51.56, FNV belongs to the best of the industry, outperforming 93.55% of the companies in the same industry.
FNV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 51.56 |
ROIC/WACC1.02
WACC8.68%
2.3 Liquidity
FNV has a Current Ratio of 22.90. This indicates that FNV is financially healthy and has no problem in meeting its short term obligations.
FNV has a better Current ratio (22.90) than 96.13% of its industry peers.
FNV has a Quick Ratio of 22.90. This indicates that FNV is financially healthy and has no problem in meeting its short term obligations.
FNV has a Quick ratio of 22.90. This is amongst the best in the industry. FNV outperforms 96.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 22.9 | ||
| Quick Ratio | 22.9 |
3. Growth
3.1 Past
FNV shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.17%.
Measured over the past years, FNV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.36% on average per year.
FNV shows a decrease in Revenue. In the last year, the revenue decreased by -8.65%.
Measured over the past years, FNV shows a small growth in Revenue. The Revenue has been growing by 5.70% on average per year.
EPS 1Y (TTM)-8.17%
EPS 3Y-2.62%
EPS 5Y12.36%
EPS Q2Q%0%
Revenue 1Y (TTM)-8.65%
Revenue growth 3Y-5.03%
Revenue growth 5Y5.7%
Sales Q2Q%0%
3.2 Future
Based on estimates for the next years, FNV will show a small growth in Earnings Per Share. The EPS will grow by 6.00% on average per year.
Based on estimates for the next years, FNV will show a small growth in Revenue. The Revenue will grow by 4.13% on average per year.
EPS Next Y27.86%
EPS Next 2Y26.33%
EPS Next 3Y16.04%
EPS Next 5Y6%
Revenue Next Year27.23%
Revenue Next 2Y23.08%
Revenue Next 3Y7.48%
Revenue Next 5Y4.13%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 48.24, the valuation of FNV can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as FNV.
FNV is valuated expensively when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 30.23 indicates a quite expensive valuation of FNV.
FNV's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, FNV is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.24 | ||
| Fwd PE | 30.23 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FNV.
FNV's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 177.53 | ||
| EV/EBITDA | 28.08 |
4.3 Compensation for Growth
FNV's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of FNV may justify a higher PE ratio.
FNV's earnings are expected to grow with 16.04% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.73
PEG (5Y)3.9
EPS Next 2Y26.33%
EPS Next 3Y16.04%
5. Dividend
5.1 Amount
FNV has a yearly dividend return of 0.96%, which is pretty low.
Compared to an average industry Dividend Yield of 2.90, FNV pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.37, FNV's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
5.2 History
The dividend of FNV is nicely growing with an annual growth rate of 11.34%!
FNV has been paying a dividend for at least 10 years, so it has a reliable track record.
FNV has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)11.34%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
41.09% of the earnings are spent on dividend by FNV. This is a bit on the high side, but may be sustainable.
The dividend of FNV is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP41.09%
EPS Next 2Y26.33%
EPS Next 3Y16.04%
NYSE:FNV (7/9/2025, 9:41:08 AM)
157.26
-0.77 (-0.49%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners77.03%
Inst Owner Change0%
Ins Owners0.71%
Ins Owner ChangeN/A
Market Cap30.29B
Analysts70
Price Target192.05 (22.12%)
Short Float %1.68%
Short Ratio3.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
Yearly Dividend1.26
Dividend Growth(5Y)11.34%
DP41.09%
Div Incr Years16
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.87%
Min EPS beat(2)5.49%
Max EPS beat(2)6.24%
EPS beat(4)2
Avg EPS beat(4)-1.03%
Min EPS beat(4)-9.32%
Max EPS beat(4)6.24%
EPS beat(8)6
Avg EPS beat(8)1.43%
EPS beat(12)8
Avg EPS beat(12)0.46%
EPS beat(16)10
Avg EPS beat(16)0.26%
Revenue beat(2)2
Avg Revenue beat(2)10.59%
Min Revenue beat(2)3.91%
Max Revenue beat(2)17.27%
Revenue beat(4)2
Avg Revenue beat(4)3.38%
Min Revenue beat(4)-4.67%
Max Revenue beat(4)17.27%
Revenue beat(8)3
Avg Revenue beat(8)-0.18%
Revenue beat(12)4
Avg Revenue beat(12)-1.18%
Revenue beat(16)5
Avg Revenue beat(16)-1.01%
PT rev (1m)7.69%
PT rev (3m)18.01%
EPS NQ rev (1m)2.91%
EPS NQ rev (3m)13.12%
EPS NY rev (1m)0%
EPS NY rev (3m)2.71%
Revenue NQ rev (1m)2.05%
Revenue NQ rev (3m)23.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.24 | ||
| Fwd PE | 30.23 | ||
| P/S | 24.72 | ||
| P/FCF | 177.53 | ||
| P/OCF | 32.23 | ||
| P/B | 4.81 | ||
| P/tB | 4.81 | ||
| EV/EBITDA | 28.08 |
EPS(TTM)3.26
EY2.07%
EPS(NY)5.2
Fwd EY3.31%
FCF(TTM)0.89
FCFY0.56%
OCF(TTM)4.88
OCFY3.1%
SpS6.36
BVpS32.67
TBVpS32.67
PEG (NY)1.73
PEG (5Y)3.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.28% | ||
| ROE | 9.81% | ||
| ROCE | 12.26% | ||
| ROIC | 8.86% | ||
| ROICexc | 10.69% | ||
| ROICexgc | 10.69% | ||
| OM | 65.97% | ||
| PM (TTM) | 50.39% | ||
| GM | 69.85% | ||
| FCFM | 13.92% |
ROA(3y)3.84%
ROA(5y)5.83%
ROE(3y)4.01%
ROE(5y)6.04%
ROIC(3y)8.75%
ROIC(5y)8.65%
ROICexc(3y)11.19%
ROICexc(5y)10.45%
ROICexgc(3y)11.19%
ROICexgc(5y)10.45%
ROCE(3y)12.11%
ROCE(5y)11.97%
ROICexcg growth 3Y2.02%
ROICexcg growth 5Y13.31%
ROICexc growth 3Y2.02%
ROICexc growth 5Y13.31%
OM growth 3Y1.96%
OM growth 5Y5.98%
PM growth 3Y-4.23%
PM growth 5Y3.99%
GM growth 3Y2.54%
GM growth 5Y5.71%
F-Score6
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 326.62% | ||
| Cap/Sales | 62.78% | ||
| Interest Coverage | 299.37 | ||
| Cash Conversion | 90.04% | ||
| Profit Quality | 27.63% | ||
| Current Ratio | 22.9 | ||
| Quick Ratio | 22.9 | ||
| Altman-Z | 51.56 |
F-Score6
WACC8.68%
ROIC/WACC1.02
Cap/Depr(3y)140.51%
Cap/Depr(5y)161.01%
Cap/Sales(3y)30.06%
Cap/Sales(5y)35.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.17%
EPS 3Y-2.62%
EPS 5Y12.36%
EPS Q2Q%0%
EPS Next Y27.86%
EPS Next 2Y26.33%
EPS Next 3Y16.04%
EPS Next 5Y6%
Revenue 1Y (TTM)-8.65%
Revenue growth 3Y-5.03%
Revenue growth 5Y5.7%
Sales Q2Q%0%
Revenue Next Year27.23%
Revenue Next 2Y23.08%
Revenue Next 3Y7.48%
Revenue Next 5Y4.13%
EBIT growth 1Y11.26%
EBIT growth 3Y-3.17%
EBIT growth 5Y12.02%
EBIT Next Year76.62%
EBIT Next 3Y28.2%
EBIT Next 5Y12.1%
FCF growth 1Y-76.65%
FCF growth 3Y29.32%
FCF growth 5Y19.56%
OCF growth 1Y-3.97%
OCF growth 3Y-4.6%
OCF growth 5Y6.07%