Hsbc Holdings PLC Purchases Shares of 3,378 Franco-Nevada Corporation $FNV

Hsbc Holdings PLC purchased a new stake in Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 3,378 shares of the basic materials company’s stock, valued at approximately $704,000.

Other institutional investors and hedge funds have also modified their holdings of the company. Norges Bank acquired a new position in Franco-Nevada in the 4th quarter valued at $578,577,000. Deutsche Bank AG acquired a new position in Franco-Nevada during the 2nd quarter worth $372,435,000. Canada Pension Plan Investment Board acquired a new position in Franco-Nevada during the 2nd quarter worth $254,515,000. First Eagle Investment Management LLC boosted its holdings in Franco-Nevada by 26.5% during the fourth quarter. First Eagle Investment Management LLC now owns 5,123,444 shares of the basic materials company’s stock valued at $1,062,037,000 after acquiring an additional 1,074,257 shares during the period. Finally, Legal & General Group Plc acquired a new stake in shares of Franco-Nevada in the second quarter valued at about $193,879,000. 77.06% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

FNV has been the topic of a number of recent analyst reports. TD Cowen upgraded Franco-Nevada from a “hold” rating to a “buy” rating and dropped their price objective for the stock from $292.00 to $291.00 in a research note on Wednesday, May 20th. TD Securities upgraded Franco-Nevada from a “hold” rating to a “buy” rating and set a $291.00 target price for the company in a research note on Wednesday, May 20th. Weiss Ratings lowered Franco-Nevada from a “buy (b)” rating to a “buy (b-)” rating in a report on Monday, June 8th. National Bank Financial raised Franco-Nevada from a “sector perform” rating to an “outperform” rating in a research report on Wednesday, May 13th. Finally, TD 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. Eleven equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $273.40.

Franco-Nevada Stock Performance

NYSE:FNV opened at $260.04 on Thursday. The firm’s 50-day moving average is $226.82 and its 200-day moving average is $236.41. The company has a market cap of $50.15 billion, a price-to-earnings ratio of 33.99, a PEG ratio of 2.36 and a beta of 0.39. Franco-Nevada Corporation has a 52-week low of $181.50 and a 52-week high of $285.67.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last released its earnings results on Tuesday, August 11th. The basic materials company reported $1.81 earnings per share for the quarter, missing the consensus estimate of $1.95 by ($0.14). Franco-Nevada had a net margin of 63.79% and a return on equity of 18.58%. The company had revenue of $580.90 million during the quarter, compared to the consensus estimate of $616.66 million. During the same quarter in the previous year, the business posted $1.24 EPS. The firm’s quarterly revenue was up 57.3% on a year-over-year basis. Equities analysts predict that Franco-Nevada Corporation will post 7.54 EPS for the current year.

Franco-Nevada Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders of record on Thursday, September 10th will be issued a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend is Thursday, September 10th. Franco-Nevada’s dividend payout ratio (DPR) is presently 23.01%.

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.