Franco-Nevada Corporation (NYSE:FNV) to Issue Quarterly Dividend of $0.44

Key Points

• Franco-Nevada declared a $0.44 quarterly dividend, payable December 17 to shareholders of record December 3. That equates to $1.76 annually and a 0.7% yield.
• The dividend appears well covered: the current payout ratio is 35.3%, and analysts expect it to fall to 20.7% based on next year’s forecast earnings. The company has raised its dividend for 18 consecutive years.
• Franco-Nevada’s latest quarterly earnings were $1.89 per share, beating estimates of $1.77; revenue rose 12.6% year over year, though it came in below analyst expectations.

Franco-Nevada Corporation (NYSE:FNV - Get Free Report) TSE: FNV declared a quarterly dividend on Wednesday, November 11th. Shareholders of record on Thursday, December 3rd will be given a dividend of $0.44 per share by the basic materials company on Thursday, December 17th. This represents a $1.76 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Thursday, December 3rd.

Franco-Nevada has decreased its dividend by an average of 0.1% annually over the last three years and has increased its dividend every year for the last 18 years. Franco-Nevada has a payout ratio of 35.3% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Franco-Nevada to earn $8.51 per share next year, which means the company should continue to be able to cover its $1.76 annual dividend with an expected future payout ratio of 20.7%.

Franco-Nevada Trading Down 2.9%

Shares of NYSE FNV opened at $248.41 on Thursday. The firm's 50-day moving average price is $248.48 and its 200-day moving average price is $240.07. Franco-Nevada has a 1-year low of $188.47 and a 1-year high of $285.67. The firm has a market capitalization of $47.92 billion, a P/E ratio of 32.47, a P/E/G ratio of 2.97 and a beta of 0.34.

Franco-Nevada (NYSE:FNV - Get Free Report) TSE: FNV last announced its quarterly earnings results on Wednesday, November 11th. The basic materials company reported $1.89 EPS for the quarter, beating analysts' consensus estimates of $1.77 by $0.12. The business had revenue of $549.30 million during the quarter, compared to analyst estimates of $568.44 million. Franco-Nevada had a net margin of 63.79% and a return on equity of 18.58%. Franco-Nevada's quarterly revenue was up 12.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.43 EPS. Equities research analysts forecast that Franco-Nevada will post 7.40 EPS for the current year.

Institutional Trading of Franco-Nevada

Several large investors have recently added to or reduced their stakes in the business. Edmond DE Rothschild Holding S.A. grew its position in shares of Franco-Nevada by 11.5% during the third quarter. Edmond DE Rothschild Holding S.A. now owns 29,475 shares of the basic materials company's stock worth $7,038,000 after purchasing an additional 3,050 shares in the last quarter. Private Advisor Group LLC boosted its stake in shares of Franco-Nevada by 130.4% during the 3rd quarter. Private Advisor Group LLC now owns 22,489 shares of the basic materials company's stock worth $5,355,000 after purchasing an additional 12,728 shares during the period. Ieq Capital LLC boosted its holdings in Franco-Nevada by 6.5% during the 3rd quarter. Ieq Capital LLC now owns 4,172 shares of the basic materials company's stock valued at $993,000 after acquiring an additional 253 shares during the period. Focus Advisor Solutions LLC grew its stake in Franco-Nevada by 64.7% in the 3rd quarter. Focus Advisor Solutions LLC now owns 1,599 shares of the basic materials company's stock worth $381,000 after acquiring an additional 628 shares in the last quarter. Finally, Independent Advisor Alliance grew its position in shares of Franco-Nevada by 3.0% during the 3rd quarter. Independent Advisor Alliance now owns 24,062 shares of the basic materials company's stock worth $5,740,000 after buying an additional 698 shares in the last quarter. 77.06% of the stock is currently owned by institutional investors.

Franco-Nevada Company Profile

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.

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