K2 Principal Fund L.P. Makes New $1.80 Million Investment in Franco-Nevada Corporation $FNV

K2 Principal Fund L.P. purchased a new position in Franco-Nevada Corporation (NYSE:FNV) (TSE:FNV) in the second quarter, Holdings Channel.com reports. The institutional investor purchased 8,625 shares of the basic materials company’s stock, valued at approximately $1,798,000.

Several other hedge funds and other institutional investors have also recently bought and sold shares of FNV. Transamerica Financial Advisors LLC bought a new stake in Franco-Nevada in the 4th quarter valued at about $25,000. Private Trust Co. NA acquired a new position in Franco-Nevada during the 4th quarter worth approximately $29,000. Smartleaf Asset Management LLC boosted its holdings in Franco-Nevada by 600.0% in the second quarter. Smartleaf Asset Management LLC now owns 196 shares of the basic materials company’s stock worth $32,000 after acquiring an additional 168 shares in the last quarter. Navalign LLC bought a new position in Franco-Nevada in the fourth quarter worth approximately $34,000. Finally, Global Retirement Partners LLC acquired a new stake in Franco-Nevada in the second quarter valued at approximately $35,000. 77.06% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several research firms have recently issued reports on FNV. Scotiabank reduced their target price on Franco-Nevada from $290.00 to $274.00 and set a “sector perform” rating for the company in a report on Tuesday, July 14th. Wall Street Zen lowered Franco-Nevada from a “buy” rating to a “hold” rating in a report on Monday, June 1st. UBS Group cut their price objective on Franco-Nevada from $310.00 to $280.00 and set a “buy” rating on the stock in a research report on Tuesday, June 30th. Royal Bank Of Canada reduced their price objective on Franco-Nevada from $295.00 to $285.00 and set an “outperform” rating for the company in a research note on Thursday, July 9th. Finally, TD raised Franco-Nevada from a “hold” rating to a “buy” rating and decreased their target price for the company from $292.00 to $291.00 in a research report on Wednesday, May 20th. Eleven analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $273.40.

Franco-Nevada Price Performance

Franco-Nevada stock opened at $232.88 on Wednesday. Franco-Nevada Corporation has a one year low of $173.39 and a one year high of $285.67. The business has a fifty day moving average price of $216.58 and a 200-day moving average price of $234.73. The firm has a market capitalization of $44.92 billion, a P/E ratio of 30.44, a PEG ratio of 2.14 and a beta of 0.35.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last announced its quarterly earnings results on Tuesday, August 11th. The basic materials company reported $1.81 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.95 by ($0.14). Franco-Nevada had a return on equity of 18.58% and a net margin of 63.79%.The firm had revenue of $580.90 million during the quarter, compared to analysts’ expectations of $616.66 million. During the same period in the previous year, the company posted $1.24 earnings per share. The company’s quarterly revenue was up 57.3% compared to the same quarter last year. Sell-side analysts expect that Franco-Nevada Corporation will post 7.6 earnings per share for the current fiscal year.

Franco-Nevada Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 10th will be paid a $0.44 dividend. This represents a $1.76 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Thursday, September 10th. Franco-Nevada’s dividend payout ratio is currently 23.01%.

Franco-Nevada Company Profile

Franco-Nevada Corporation is a Toronto-based royalty and streaming company that specializes in securing and managing long-term interests in mining properties. The firm focuses primarily on precious metals, particularly gold, while also holding interests related to silver, copper, platinum-group metals and select base metals. Rather than operating mines directly, Franco-Nevada acquires royalty and streaming agreements that entitle it to a percentage of production or revenue from producing and developing assets in exchange for upfront or staged financing.

The company’s business model centers on providing capital to mining companies in return for a sustained share of production or metal revenue, which can reduce exposure to operating and capital cost risks typical of mine operators.