Franco-Nevada Corp.

Franco-Nevada Corporation is a resource royalty and investment company owning a diversified portfolio of precious and base metal royalties, oil and natural gas royalties and other interests. The portfolio includes assets in production, under development or in the exploration phase mostly located in geopolitically secure countries. Franco-Nevada intends to use its free cash flow to expand its portfolio and pay dividends.

Expert Comments:

Michael Siperco, Macquarie Capital Markets (11/16/15)
"We continue to prefer Franco-Nevada Corp. (and the royalty/stream sector) vs. producers for the relative safety of the high-margin, low-cost business model in the face of ongoing volatile commodity markets. . .no surprises in Q3/15—revenue of $104M was in-line with our forecast. . .longer term, as recent investments deliver growth and (as we expect) capacity and new opportunities dry up somewhat, the company (and the sector) should see higher dividend payout ratios and more cash returned to shareholders."

Adrian Day, Global Analyst (11/14/15)
"Franco-Nevada Corp. continues to perform well, with gold-equivalent production up 22%. . .the company continues to grow and make significant investments. . .Franco-Nevada would not be mistaken for a 'Graham-and-Dodd' value investment, but it is, in my view, the most solid of the royalty and streaming group, with top management, a conservative balance sheet, a broad, diversified portfolio, and growth potential. It's a Buy at the current level, if you don't already own it. If you only own one gold company, make it Franco-Nevada."

Cosmos Chiu, CIBC World Markets (11/13/15)
"Franco-Nevada Corp. reported yet another solid quarter with revenue of $103.7M, including 85,637 ounces gold equivalent, compared with our estimate of $104M and 85,008 ounces gold equivalent, respectively. Adjusted EPS of $0.12 and CFPS of $0.46 compared with our estimates of $0.12 and $0.47, respectively."

Josh Wolfson, Dundee Capital Markets (11/12/15)
"Franco-Nevada Corp. reported Q3/15 adjusted EPS of $0.12, in line with our estimate and consensus of $0.12. The company reported total gold production of 85.6 Koz gold equivalent, 1% above our 85.1 Koz gold estimate. . .Franco reported adjusted earnings of $19.4M, $1.3M above our $18.1M estimate."

Jefferson Research (10/16/15)
"Franco-Nevada Corp. is showing strong earnings quality, cash flow quality, operating efficiency and balance sheet quality. . .the primary reason the overall rating improved during the last quarter was an improvement in the balance sheet rating due to strengthening receivable and inventory positions. Another factor in the upgraded overall rating was an improved operating efficiency rating."

Ben Kramer-Miller, miningWEALTH (10/13/15)
"Franco-Nevada Corp. recently purchased a stream on Teck Resources' share of the massive Antamina mine in Peru. We did rough back-of-the-envelope math on this, and it works out to a ~4% silver bond with lots of optionality given that there are lots of resource that haven't been upgraded to reserves in part due to a lack of tailings space. . . we trust these guys to create long-term value and believe the stock is a Buy on weakness (<$40/share)."

More Expert Comments

Experts Following This Company

Matt Badiali, Editor – Stansberry Research
John Bridges, Analyst – J.P. Morgan
Cosmos Chiu, Executive Director of Precious Metals Equity Research – CIBC World Markets
Adrian Day, Founder – Adrian Day Asset Management
James Fraser, Mining Analyst
Andrew Kaip, Analyst – BMO Capital Markets
Don Maclean, Senior Analyst – Paradigm Capital
Chris Mancini, Research Analyst – Gabelli Gold Fund
Brad Mills, Fund Manager/CEO – Plinian Capital
Bob Moriarty, Author 321 Gold
Jordan Roy-Byrne, Editor/CMT The Daily Gold
Rick Rule, Chairman – Sprott Global Resource Investments Ltd.
Phil Russo, Research Associate – Raymond James
Michael Siperco, Analyst, Mining Equity Research – Macquarie Capital Markets
Porter Stansberry, Pres & CEO – Stansberry Research
Josh Wolfson, VP, Senior Analyst Gold & Precious Metals – Dundee Capital Markets

The information provided above is from analysts, newsletters and other contributors. Please contact the company and visit its website before making an investment decision.