Franco-Nevada (NYSE:FNV) Shares Cross Above 200-Day Moving Average – Should You Sell?

Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV)’s stock price passed above its two hundred day moving average during trading on Wednesday. The stock has a two hundred day moving average of $240.02 and traded as high as $243.54. Franco-Nevada shares last traded at $242.4210, with a volume of 868,172 shares.

Analyst Ratings Changes

A number of research analysts have commented on FNV shares. Weiss Ratings raised shares of Franco-Nevada from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday, October 8th. Scotiabank reduced their price target on shares of Franco-Nevada from $290.00 to $274.00 and set a “sector perform” rating for the company in a report on Tuesday, July 14th. Royal Bank Of Canada boosted their price objective on shares of Franco-Nevada from $285.00 to $300.00 and gave the stock an “outperform” rating in a research note on Wednesday, September 16th. Bank of America lowered their target price on Franco-Nevada from $276.00 to $238.00 and set a “neutral” rating for the company in a report on Thursday, July 9th. Finally, Zacks Research raised Franco-Nevada from a “strong sell” rating to a “hold” rating in a research report on Tuesday, August 11th. Ten equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $275.30.

Franco-Nevada Stock Up 1.6%

The company’s 50 day simple moving average is $248.82 and its two-hundred day simple moving average is $240.07. The company has a market capitalization of $49.14 billion, a price-to-earnings ratio of 33.31, a P/E/G ratio of 2.66 and a beta of 0.34.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last issued its quarterly earnings results on Tuesday, August 11th. The basic materials company reported $1.81 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.95 by ($0.14). The business had revenue of $580.90 million for the quarter, compared to analyst estimates of $616.66 million. Franco-Nevada had a return on equity of 18.58% and a net margin of 63.79%. The business’s revenue for the quarter was up 57.3% on a year-over-year basis. During the same period in the previous year, the company posted $1.24 earnings per share. Analysts anticipate that Franco-Nevada Corporation will post 7.40 EPS for the current year.

Franco-Nevada Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 24th. Investors of record on Thursday, September 10th were given a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend was Thursday, September 10th. Franco-Nevada’s dividend payout ratio is currently 23.01%.

Institutional Investors Weigh In On Franco-Nevada

Several institutional investors have recently added to or reduced their stakes in the business. Engineers Gate Manager LP acquired a new stake in shares of Franco-Nevada in the second quarter worth approximately $2,907,000. BlackRock Inc. purchased a new stake in shares of Franco-Nevada during the second quarter worth approximately $52,816,000. Nykredit A S purchased a new stake in shares of Franco-Nevada during the second quarter worth approximately $626,000. Markel Group Inc. raised its stake in Franco-Nevada by 9.2% in the 2nd quarter. Markel Group Inc. now owns 773,500 shares of the basic materials company’s stock valued at $161,228,000 after purchasing an additional 65,000 shares during the last quarter. Finally, Bank of America Corp DE acquired a new position in Franco-Nevada in the 2nd quarter valued at $126,580,000. Institutional investors and hedge funds own 77.06% of the company’s stock.

About Franco-Nevada

Franco-Nevada is a Toronto-based company that provides financing to mining and energy businesses in exchange for royalties, streams and other interests in production. Rather than operating mines itself, it gives partners capital and receives a share of revenue or future output from their projects.

The company’s portfolio is focused on gold and other precious metals, and also includes interests in other minerals and energy assets, including oil and gas. Its projects and counterparties span multiple regions, including North and South America, Africa, Australia and Europe.

Franco-Nevada traces its origins to 1983.