FRANCO-NEVADA CORP (FNV) Stock Fundamental Analysis
USA - NYSE:FNV - CA3518581051 - Common Stock
200.4 USD
-1.45 (-0.72%)
201 USD
+0.6 (+0.3%)
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 gets an excellent profitability rating and is at the same time showing great financial health properties. FNV does not seem to be growing, but still is valued expensively.
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.
Each year in the past 5 years FNV had a positive operating cash flow.
1.2 Ratios
FNV has a Return On Assets of 11.18%. This is amongst the best in the industry. FNV outperforms 90.32% of its industry peers.
The Return On Equity of FNV (11.89%) is better than 83.23% of its industry peers.
The Return On Invested Capital of FNV (9.38%) is better than 80.65% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FNV is below the industry average of 13.00%.
The 3 year average ROIC (8.75%) for FNV is below the current ROIC(9.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.18% | ||
| ROE | 11.89% | ||
| ROIC | 9.38% |
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 58.82%, FNV belongs to the top of the industry, outperforming 98.71% of the companies in the same industry.
In the last couple of years the Profit Margin of FNV has grown nicely.
FNV has a Operating Margin of 67.43%. This is amongst the best in the industry. FNV outperforms 98.06% of its industry peers.
In the last couple of years the Operating Margin of FNV has grown nicely.
With an excellent Gross Margin value of 71.16%, FNV belongs to the best of the industry, outperforming 96.13% of the companies in the same industry.
In the last couple of years the Gross Margin of FNV has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 67.43% | ||
| PM (TTM) | 58.82% | ||
| GM | 71.16% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FNV is creating some value.
Compared to 1 year ago, FNV has more shares outstanding
The number of shares outstanding for FNV has been increased compared to 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
FNV has an Altman-Z score of 56.57. This indicates that FNV is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 56.57, FNV belongs to the top of the industry, outperforming 90.32% of the companies in the same industry.
There is no outstanding debt for FNV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 56.57 |
ROIC/WACC1.01
WACC9.31%
2.3 Liquidity
A Current Ratio of 4.25 indicates that FNV has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.25, FNV is in the better half of the industry, outperforming 75.48% of the companies in the same industry.
FNV has a Quick Ratio of 4.25. This indicates that FNV is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 4.25, FNV is doing good in the industry, outperforming 77.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.25 | ||
| Quick Ratio | 4.25 |
3. Growth
3.1 Past
The earnings per share for FNV have decreased by -8.17% in the last year.
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.
Looking at the last year, FNV shows a decrease in Revenue. The Revenue has decreased by -8.65% in the last year.
The Revenue has been growing slightly by 5.70% on average over the past years.
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
FNV is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.90% yearly.
FNV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.13% yearly.
EPS Next Y53.98%
EPS Next 2Y32.01%
EPS Next 3Y21.71%
EPS Next 5Y5.9%
Revenue Next Year49.14%
Revenue Next 2Y29.47%
Revenue Next 3Y19.28%
Revenue Next 5Y4.13%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 61.47, which means the current valuation is very expensive for FNV.
Based on the Price/Earnings ratio, FNV is valued a bit cheaper than 60.65% of the companies in the same industry.
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 35.27 indicates a quite expensive valuation of FNV.
FNV's Price/Forward Earnings is on the same level as the industry average.
FNV is valuated expensively when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 61.47 | ||
| Fwd PE | 35.27 |
4.2 Price Multiples
FNV's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 33.79 |
4.3 Compensation for Growth
The 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.
A more expensive valuation may be justified as FNV's earnings are expected to grow with 21.71% in the coming years.
PEG (NY)1.14
PEG (5Y)4.97
EPS Next 2Y32.01%
EPS Next 3Y21.71%
5. Dividend
5.1 Amount
FNV has a yearly dividend return of 0.77%, which is pretty low.
Compared to an average industry Dividend Yield of 2.74, FNV pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.77, FNV pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
5.2 History
On average, the dividend of FNV grows each year by 11.34%, which is quite nice.
FNV has paid a dividend for at least 10 years, which is a reliable track record.
FNV has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.34%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
33.17% of the earnings are spent on dividend by FNV. This is a low number and sustainable payout ratio.
The dividend of FNV is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.17%
EPS Next 2Y32.01%
EPS Next 3Y21.71%
200.4
-1.45 (-0.72%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners77.03%
Inst Owner Change-1.13%
Ins Owners0.71%
Ins Owner ChangeN/A
Market Cap38.62B
Analysts72.63
Price Target185.94 (-7.22%)
Short Float %1.73%
Short Ratio4.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
Yearly Dividend1.26
Dividend Growth(5Y)11.34%
DP33.17%
Div Incr Years16
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.38%
Min EPS beat(2)6.24%
Max EPS beat(2)8.51%
EPS beat(4)3
Avg EPS beat(4)3.43%
Min EPS beat(4)-6.54%
Max EPS beat(4)8.51%
EPS beat(8)6
Avg EPS beat(8)2.21%
EPS beat(12)8
Avg EPS beat(12)0.94%
EPS beat(16)10
Avg EPS beat(16)0.61%
Revenue beat(2)1
Avg Revenue beat(2)7%
Min Revenue beat(2)-3.27%
Max Revenue beat(2)17.27%
Revenue beat(4)2
Avg Revenue beat(4)3.31%
Min Revenue beat(4)-4.67%
Max Revenue beat(4)17.27%
Revenue beat(8)3
Avg Revenue beat(8)-0.35%
Revenue beat(12)4
Avg Revenue beat(12)-1.29%
Revenue beat(16)4
Avg Revenue beat(16)-1.33%
PT rev (1m)1.25%
PT rev (3m)-1.59%
EPS NQ rev (1m)6.43%
EPS NQ rev (3m)36.42%
EPS NY rev (1m)20.42%
EPS NY rev (3m)20.42%
Revenue NQ rev (1m)-1.5%
Revenue NQ rev (3m)24.53%
Revenue NY rev (1m)4.95%
Revenue NY rev (3m)17.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 61.47 | ||
| Fwd PE | 35.27 | ||
| P/S | 28.94 | ||
| P/FCF | N/A | ||
| P/OCF | 32.84 | ||
| P/B | 5.85 | ||
| P/tB | 5.85 | ||
| EV/EBITDA | 33.79 |
EPS(TTM)3.26
EY1.63%
EPS(NY)5.68
Fwd EY2.83%
FCF(TTM)-4.87
FCFYN/A
OCF(TTM)6.1
OCFY3.04%
SpS6.93
BVpS34.26
TBVpS34.26
PEG (NY)1.14
PEG (5Y)4.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.18% | ||
| ROE | 11.89% | ||
| ROCE | 12.97% | ||
| ROIC | 9.38% | ||
| ROICexc | 9.6% | ||
| ROICexgc | 9.6% | ||
| OM | 67.43% | ||
| PM (TTM) | 58.82% | ||
| GM | 71.16% | ||
| FCFM | N/A |
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-Score7
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 857.02% | ||
| Cap/Sales | 158.37% | ||
| Interest Coverage | 359.96 | ||
| Cash Conversion | 102.56% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.25 | ||
| Quick Ratio | 4.25 | ||
| Altman-Z | 56.57 |
F-Score7
WACC9.31%
ROIC/WACC1.01
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 Y53.98%
EPS Next 2Y32.01%
EPS Next 3Y21.71%
EPS Next 5Y5.9%
Revenue 1Y (TTM)-8.65%
Revenue growth 3Y-5.03%
Revenue growth 5Y5.7%
Sales Q2Q%0%
Revenue Next Year49.14%
Revenue Next 2Y29.47%
Revenue Next 3Y19.28%
Revenue Next 5Y4.13%
EBIT growth 1Y29.43%
EBIT growth 3Y-3.17%
EBIT growth 5Y12.02%
EBIT Next Year76.62%
EBIT Next 3Y28.2%
EBIT Next 5Y11.79%
FCF growth 1Y-260.66%
FCF growth 3Y29.32%
FCF growth 5Y19.56%
OCF growth 1Y19.58%
OCF growth 3Y-4.6%
OCF growth 5Y6.07%