Franco-Nevada (FNV) Competitors

Royal Gold (NASDAQ:RGLD) and Franco-Nevada (NYSE:FNV) are both large-cap basic materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, media sentiment, profitability, dividends, valuation and institutional ownership.

Is RGLD or FNV a better dividend stock?

Royal Gold pays an annual dividend of $1.80 per share and has a dividend yield of 1.0%. Franco-Nevada pays an annual dividend of $1.52 per share and has a dividend yield of 0.9%. Royal Gold pays out 29.8% of its earnings in the form of a dividend. Franco-Nevada pays out 47.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Royal Gold has increased its dividend for 25 consecutive years and Franco-Nevada has increased its dividend for 2 consecutive years. Royal Gold is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Do institutionals & insiders have more ownership in RGLD or FNV?

83.7% of Royal Gold shares are held by institutional investors. Comparatively, 77.1% of Franco-Nevada shares are held by institutional investors. 0.5% of Royal Gold shares are held by insiders. Comparatively, 0.7% of Franco-Nevada shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Which has more risk and volatility, RGLD or FNV?

Royal Gold has a beta of 0.44, suggesting that its share price is 56% less volatile than the S&P 500. Comparatively, Franco-Nevada has a beta of 0.41, suggesting that its share price is 59% less volatile than the S&P 500.

Does the media prefer RGLD or FNV?

In the previous week, Royal Gold had 2 more articles in the media than Franco-Nevada. MarketBeat recorded 11 mentions for Royal Gold and 9 mentions for Franco-Nevada. Franco-Nevada's average media sentiment score of 1.44 beat Royal Gold's score of 1.40 indicating that Franco-Nevada is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Royal Gold	9 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Franco-Nevada	7 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is RGLD or FNV more profitable?

Royal Gold has a net margin of 52.15% compared to Franco-Nevada's net margin of 50.39%. Royal Gold's return on equity of 12.48% beat Franco-Nevada's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Royal Gold	52.15%	12.48%	11.52%
Franco-Nevada	50.39%	11.40%	10.82%

Which has preferable earnings and valuation, RGLD or FNV?

Franco-Nevada has higher revenue and earnings than Royal Gold. Royal Gold is trading at a lower price-to-earnings ratio than Franco-Nevada, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Royal Gold	$719.40M	16.45	$332.02M	$6.04	29.77
Franco-Nevada	$1.11B	28.64	$552.10M	$3.20	51.73

Do analysts rate RGLD or FNV?

Royal Gold presently has a consensus target price of $192.13, indicating a potential upside of 6.86%. Franco-Nevada has a consensus target price of $172.13, indicating a potential upside of 3.98%. Given Royal Gold's stronger consensus rating and higher probable upside, equities analysts clearly believe Royal Gold is more favorable than Franco-Nevada.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Gold	0 Sell rating(s)	3 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.63
Franco-Nevada	0 Sell rating(s)	6 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.54

Summary

Royal Gold beats Franco-Nevada on 12 of the 19 factors compared between the two stocks.