Franco-Nevada Co. (NYSE:FNV) Plans Dividend Increase – $0.38 Per Share

Franco-Nevada Co. (NYSE:FNV) (TSE:FNV) announced a quarterly dividend on Friday, January 31st,Wall Street Journal reports. Investors of record on Thursday, March 13th will be given a dividend of 0.38 per share by the basic materials company on Thursday, March 27th. This represents a $1.52 annualized dividend and a yield of 1.12%. The ex-dividend date of this dividend is Thursday, March 13th. This is a positive change from Franco-Nevada’s previous quarterly dividend of $0.36.

Franco-Nevada has raised its dividend payment by an average of 7.5% per year over the last three years. Franco-Nevada has a payout ratio of 30.2% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Franco-Nevada to earn $4.04 per share next year, which means the company should continue to be able to cover its $1.44 annual dividend with an expected future payout ratio of 35.6%.

Franco-Nevada Stock Performance

NYSE FNV opened at $136.06 on Friday. Franco-Nevada has a 1 year low of $103.64 and a 1 year high of $138.34. The business’s fifty day moving average is $123.40 and its two-hundred day moving average is $124.27. The stock has a market capitalization of $26.20 billion, a P/E ratio of -43.06, a P/E/G ratio of 5.90 and a beta of 0.72.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last announced its earnings results 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 positive return on equity of 10.55% and a negative net margin of 55.28%. The company had revenue of $275.70 million for the quarter, compared to analyst estimates of $279.11 million. During the same period last year, the firm earned $0.91 earnings per share. The firm’s revenue for the quarter was down 10.9% on a year-over-year basis. On average, research analysts forecast that Franco-Nevada will post 3.19 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the stock. UBS Group assumed coverage on shares of Franco-Nevada in a report on Monday, November 18th. They set a “buy” rating and a $160.00 price target on the stock. Jefferies Financial Group reduced their target price on Franco-Nevada from $137.00 to $136.00 and set a “hold” rating for the company in a report on Thursday, October 17th. Scotiabank lowered their price target on Franco-Nevada from $142.00 to $141.00 and set a “sector perform” rating on the stock in a report on Friday, November 8th. HC Wainwright restated a “buy” rating and set a $155.00 price objective on shares of Franco-Nevada in a research report on Tuesday. Finally, Canaccord Genuity Group upgraded Franco-Nevada from a “hold” rating to a “buy” rating in a report on Monday, November 18th. Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $145.33.

Franco-Nevada Company Profile

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.