Franco-Nevada Co. (NYSE:FNV) Sees Significant Drop in Short Interest

Franco-Nevada Co. (NYSE:FNV) (TSE:FNV) saw a significant decline in short interest in December. As of December 15th, there was short interest totalling 1,390,000 shares, a decline of 8.6% from the November 30th total of 1,520,000 shares. Currently, 0.7% of the shares of the stock are short sold. Based on an average daily trading volume, of 689,100 shares, the short-interest ratio is currently 2.0 days.

Institutional Trading of Franco-Nevada

Several hedge funds have recently modified their holdings of the stock. Mechanics Financial Corp raised its holdings in shares of Franco-Nevada by 150.0% during the second quarter. Mechanics Financial Corp now owns 250 shares of the basic materials company’s stock valued at $30,000 after purchasing an additional 150 shares during the period. Sunbelt Securities Inc. increased its position in Franco-Nevada by 3,333.3% in the 2nd quarter. Sunbelt Securities Inc. now owns 412 shares of the basic materials company’s stock valued at $49,000 after buying an additional 400 shares in the last quarter. Point72 DIFC Ltd acquired a new position in Franco-Nevada during the 3rd quarter worth approximately $52,000. Erste Asset Management GmbH bought a new position in Franco-Nevada in the third quarter worth approximately $55,000. Finally, Capital Performance Advisors LLP acquired a new stake in Franco-Nevada in the third quarter valued at approximately $147,000. Institutional investors own 77.06% of the company’s stock.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on the company. HC Wainwright dropped their price objective on Franco-Nevada from $200.00 to $155.00 and set a “buy” rating for the company in a research report on Friday, December 20th. Jefferies Financial Group lowered their price objective on shares of Franco-Nevada from $137.00 to $136.00 and set a “hold” rating for the company in a research report on Thursday, October 17th. Canaccord Genuity Group upgraded Franco-Nevada from a “hold” rating to a “buy” rating in a research note on Monday, November 18th. Bank of America cut Franco-Nevada from a “buy” rating to a “neutral” rating and lowered their target price for the stock from $142.00 to $139.00 in a report on Tuesday, October 1st. Finally, UBS Group assumed coverage on Franco-Nevada in a research note on Monday, November 18th. They set a “buy” rating and a $160.00 price target on the stock. Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company’s stock. According to data from MarketBeat, Franco-Nevada has an average rating of “Moderate Buy” and an average price target of $145.33.

Franco-Nevada Price Performance

NYSE FNV traded up $0.63 during mid-day trading on Wednesday, reaching $117.59. 243,416 shares of the stock were exchanged, compared to its average volume of 658,895. The stock has a market cap of $22.64 billion, a P/E ratio of -37.21 and a beta of 0.72. Franco-Nevada has a one year low of $103.64 and a one year high of $137.60. The stock has a 50 day simple moving average of $123.12 and a 200-day simple moving average of $123.28.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last announced its quarterly earnings data on Wednesday, November 6th. The basic materials company reported $0.80 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.83 by ($0.03). Franco-Nevada had a negative net margin of 55.28% and a positive return on equity of 10.55%. The business had revenue of $275.70 million during the quarter, compared to analyst estimates of $279.11 million. During the same period in the prior year, the firm earned $0.91 earnings per share. The firm’s revenue for the quarter was down 10.9% compared to the same quarter last year. Sell-side analysts anticipate that Franco-Nevada will post 3.22 EPS for the current fiscal year.

Franco-Nevada Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, December 19th. Stockholders of record on Thursday, December 5th were given a dividend of $0.36 per share. This represents a $1.44 annualized dividend and a dividend yield of 1.22%. The ex-dividend date of this dividend was Thursday, December 5th. Franco-Nevada’s dividend payout ratio (DPR) is -45.57%.

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.