WallStSmart

Franco-Nevada Corporation (FNV)vsFortuna Silver Mines Inc (FSM)

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Smart Verdict

WallStSmart Research — data-driven comparison

Franco-Nevada Corporation generates 90% more annual revenue ($1.80B vs $947.06M). FNV leads profitability with a 61.6% profit margin vs 30.3%. FSM trades at a lower P/E of 11.2x. FSM earns a higher WallStSmart Score of 77/100 (B+).

FNV

Strong Buy

68

out of 100

Grade: B-

Growth: 9.3Profit: 9.0Value: 6.0Quality: 9.0
Piotroski: 4/9Altman Z: 12.18

FSM

Strong Buy

77

out of 100

Grade: B+

Growth: 8.0Profit: 9.0Value: 8.3Quality: 7.3
Piotroski: 5/9Altman Z: 2.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FNVUndervalued (+6.0%)

Margin of Safety

+6.0%

Fair Value

$274.25

Current Price

$233.67

$40.58 discount

UndervaluedFair: $274.25Overvalued
FSMUndervalued (+71.3%)

Margin of Safety

+71.3%

Fair Value

$39.78

Current Price

$9.52

$30.26 discount

UndervaluedFair: $39.78Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FNV6 strengths · Avg: 10.0/10
Profit MarginProfitability
61.6%10/10

Keeps 62 of every $100 in revenue as profit

Operating MarginProfitability
76.1%10/10

Strong operational efficiency at 76.1%

Revenue GrowthGrowth
85.8%10/10

Revenue surging 85.8% year-over-year

EPS GrowthGrowth
108.8%10/10

Earnings expanding 108.8% YoY

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
12.1810/10

Safe zone — low bankruptcy risk

FSM5 strengths · Avg: 9.6/10
P/E RatioValuation
11.2x10/10

Attractively priced relative to earnings

Profit MarginProfitability
30.3%10/10

Keeps 30 of every $100 in revenue as profit

Operating MarginProfitability
43.4%10/10

Strong operational efficiency at 43.4%

Revenue GrowthGrowth
38.4%10/10

Revenue surging 38.4% year-over-year

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Areas to Watch

FNV3 concerns · Avg: 2.7/10
P/E RatioValuation
39.4x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
11.812/10

Expensive relative to growth rate

Free Cash FlowQuality
$-1.73B2/10

Negative free cash flow — burning cash

FSM0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : FNV

The strongest argument for FNV centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 61.6% and operating margin at 76.1%. Revenue growth of 85.8% demonstrates continued momentum.

Bull Case : FSM

The strongest argument for FSM centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 30.3% and operating margin at 43.4%. Revenue growth of 38.4% demonstrates continued momentum.

Bear Case : FNV

The primary concerns for FNV are P/E Ratio, PEG Ratio, Free Cash Flow.

Bear Case : FSM

No major red flags identified for FSM, but monitor valuation.

Key Dynamics to Monitor

FSM carries more volatility with a beta of 1.99 — expect wider price swings.

FNV is growing revenue faster at 85.8% — sustainability is the question.

FSM generates stronger free cash flow (120M), providing more financial flexibility.

Monitor GOLD industry trends, competitive dynamics, and regulatory changes.

Bottom Line

FSM scores higher overall (77/100 vs 68/100), backed by strong 30.3% margins and 38.4% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Franco-Nevada Corporation

BASIC MATERIALS · GOLD · USA

Franco-Nevada Corporation is a gold-focused royalty and flow company in the United States, Latin America, Canada, Australia, Europe and Africa, and internationally. The company is headquartered in Toronto, Canada.

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Fortuna Silver Mines Inc

BASIC MATERIALS · GOLD · USA

Fortuna Silver Mines Inc. is engaged in the exploration, extraction and processing of precious and base metal deposits in Latin America. The company is headquartered in Vancouver, Canada.

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