Yahoo Finance Looking At Franco-Nevada Corporation (TSE:FNV) From All Angles
Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on Franco-Nevada Corporation (TSE:FNV) due to its excellent fundamentals in more than one area. FNV is a company with great financial health as well as a a strong history of performance. Below is a brief commentary on these key aspects. If you’re interested in understanding beyond my high-level commentary, read the full report on Franco-Nevada here.
Flawless balance sheet with proven track record
Over the past year, FNV has grown its earnings by 55.08%, with its most recent figure exceeding its annual average over the past five years. Not only did FNV outperformed its past performance, its growth also exceeded the Metals and Mining industry expansion, which generated a 29.56% earnings growth. This is an notable feat for the company. FNV’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that FNV has sufficient cash flows and proper cash management in place, which is a crucial insight into the health of the company. Investors should not worry about FNV’s debt levels because the company has none! This implies that the company is running its operations purely on off equity funding. which is rather impressive for a US$17.67b market cap company. Therefore the company has plenty of headroom to grow, and the ability to raise debt should it need to in the future.
Next Steps:
For Franco-Nevada, there are three key factors you should further examine:
Future Outlook: What are well-informed industry analysts predicting for FNV’s future growth? Take a look at our free research report of analyst consensus for FNV’s outlook.
Valuation: What is FNV worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether FNV is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of FNV? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
