Franco-Nevada Corporation (FNV) vs Royal Gold, Inc. (RGLD)

Franco-Nevada Corporation and Royal Gold, Inc. are both Gold companies. Franco-Nevada Corporation is the larger, with a market value of $50.1B against $21.4B — 2.3× the size. Royal Gold, Inc. trades at the lower P/E: 27.5× against 33.6×. Royal Gold, Inc. grew revenue faster over the last twelve months: 93.5% against 73.6%. Franco-Nevada Corporation has the higher net margin (63.8% vs 47.8%) and the higher return on invested capital (15.7% vs 7.57%). Both pay a dividend; Royal Gold, Inc. yields more (1.38% vs 1.28%). Across the 23 metrics below, Royal Gold, Inc. leads on 12 and Franco-Nevada Corporation on 11.

Valuation

Metric FNV RGLD Gold median
P/E 33.62 27.53 23.34
P/S 21.47 13.84 5.02
P/B 6.04 2.80 3.53
Price to free cash flow 49.41 16.35 16.73
EV/EBITDA 22.70 17.33 8.34
EV/Sales 21.11 14.01 4.92
Earnings yield 2.97% 3.63% 1.44%
Free cash flow yield 2.02% 6.12% 0.75%

Profitability

Metric FNV RGLD Gold median
Gross margin 77.32% 86.90% 50.00%
Operating margin 78.46% 61.42% 26.32%
Net margin 63.79% 47.76% 12.30%
Free cash flow margin 43.46% 67.51% 0.00%
Return on equity 19.91% 13.49% 6.36%
Return on assets 18.54% 11.35% 0.00%
Return on invested capital 15.72% 7.57% 0.52%

Growth

Metric FNV RGLD Gold median
Revenue growth (TTM) 73.59% 93.51% 68.15%
EPS growth (last fiscal year) 100.70% 32.74% —
Revenue growth, 5-year CAGR 12.31% 10.84% 16.12%
Net income growth, 5-year CAGR 27.80% 9.08% 0.00%

Health

Metric FNV RGLD Gold median
Debt to equity 0.00 0.05 0.10
Current ratio 9.38 2.92 3.08
Net debt to EBITDA (0.41) 0.81 0.00

Dividend

Metric FNV RGLD Gold median
Dividend yield 1.28% 1.38% 1.49%
Payout ratio 0.38 0.42 0.00

Size

Metric FNV RGLD Gold median
Market cap 50.12b 21.44b 1.96b

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