Gold · NYSE
Current Price
$228.51
Intrinsic Value
Use the calculator below to estimate
Run a PE ratio stock valuation on Franco-Nevada Corporation with auto-filled earnings data, adjustable target PE, and instant fair value estimate.
Franco-Nevada Corporation operates as a gold-focused royalty and streaming company in Latin America, the United States, Canada, and internationally. It operates in two segments, Mining and Energy. The company manages its portfolio with a focus on precious metals, such as gold, silver, and platinum group metals; and energy comprising oil, gas, and natural gas liquids. The company was founded in 1983 and is headquartered in Toronto, Canada.
Earnings Yield
2.54%
ROE (TTM)
16.3%
Based on trailing twelve-month data, FNV has earnings per share of N/A and trades at a PE ratio of N/A. These are key inputs for stock valuation using the PE ratio method.
The trailing twelve-month PE ratio of FNV reflects how much investors pay per dollar of Franco-Nevada Corporation's earnings. This metric is most useful when compared to Gold peers and the company's own historical range.
Whether FNV is overvalued depends on comparing its PE ratio to Gold peers, historical averages, and growth expectations. A PE above the sector average may indicate overvaluation, but high-growth companies often command premium multiples. Consider pairing PE analysis with a DCF model for a more complete picture.
To value Franco-Nevada Corporation using PE: (1) Compare the current PE against the Gold median to assess relative pricing, (2) check the PEG ratio to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
The PEG ratio divides the PE ratio by the expected earnings growth rate, providing a growth-adjusted valuation metric. A PEG below 1.0 may indicate undervaluation relative to growth, while above 2.0 may suggest overvaluation. PEG is most reliable for companies with stable, predictable earnings growth.
PE ratio gives a quick relative read — how FNV is priced versus Gold peers. DCF provides an absolute value based on projected free cash flows. For FNV, with a strong ROE of 16.3%, both methods are worth using — PE for a market-relative check, DCF to stress-test whether fundamentals justify the price. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
