Franco-Nevada Corporation (NYSE:FNV) Plans $0.38 Quarterly Dividend

Key Points

• Franco-Nevada Corporation declared a quarterly dividend of $0.38 per share, payable on September 25th to stockholders of record as of September 11th, indicating a dividend yield of 0.9%.
• The company's dividend payout ratio stands at 30.5%, suggesting it is well-covered by earnings, with analysts projecting a future payout ratio of 37.8% based on expected earnings per share of $4.02 next year.
• Franco-Nevada reported earnings of $1.24 per share for the last quarter, exceeding estimates by $0.14, and maintains a strong net margin of 50.39%.

Franco-Nevada Corporation (NYSE:FNV - Get Free Report) TSE: FNV announced a quarterly dividend on Monday, August 11th, RTT News reports. Shareholders of record on Thursday, September 11th will be given a dividend of 0.38 per share by the basic materials company on Thursday, September 25th. This represents a c) dividend on an annualized basis and a yield of 0.9%. The ex-dividend date is Thursday, September 11th.

Franco-Nevada has a payout ratio of 30.5% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Franco-Nevada to earn $4.02 per share next year, which means the company should continue to be able to cover its $1.52 annual dividend with an expected future payout ratio of 37.8%.

Franco-Nevada Trading Up 0.1%

FNV traded up $0.10 during midday trading on Friday, reaching $177.47. The company's stock had a trading volume of 313,639 shares, compared to its average volume of 832,978. The stock has a market cap of $34.19 billion, a P/E ratio of 43.61, a PEG ratio of 2.38 and a beta of 0.36. The company has a fifty day simple moving average of $164.82 and a 200 day simple moving average of $158.51. Franco-Nevada has a twelve month low of $112.70 and a twelve month high of $180.98.

Franco-Nevada (NYSE:FNV - Get Free Report) TSE: FNV last released its earnings results on Monday, August 11th. The basic materials company reported $1.24 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.10 by $0.14. The firm had revenue of $369.40 million for the quarter, compared to analyst estimates of $382.70 million. Franco-Nevada had a return on equity of 12.56% and a net margin of 58.82%. The company's revenue was up 42.0% on a year-over-year basis. During the same quarter last year, the firm posted $0.75 EPS. Sell-side analysts expect that Franco-Nevada will post 3.09 earnings per share for the current year.

Analysts Set New Price Targets

A number of analysts have issued reports on FNV shares. HC Wainwright raised their target price on Franco-Nevada from $195.00 to $200.00 and gave the company a "buy" rating in a report on Tuesday. CIBC reissued an "outperform" rating on shares of Franco-Nevada in a research report on Tuesday, July 15th. Royal Bank Of Canada lifted their target price on Franco-Nevada from $160.00 to $190.00 and gave the stock a "sector perform" rating in a research report on Wednesday, June 4th. UBS Group lifted their target price on Franco-Nevada from $205.00 to $210.00 and gave the stock a "buy" rating in a research report on Thursday, July 3rd. Finally, BMO Capital Markets reissued an "outperform" rating on shares of Franco-Nevada in a research report on Wednesday, May 28th. Six equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $178.88.

About Franco-Nevada

Franco-Nevada Corporation operates as a gold-focused royalty and streaming company in South America, Central America, Mexico, the United States, Canada, and internationally. It operates through Mining and Energy segments. The company manages its portfolio with a focus on precious metals, such as gold, silver, and platinum group metals; and engages in the sale of crude oil, natural gas, and natural gas liquids through a third-party marketing agent.