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 91% more annual revenue ($2.09B vs $1.09B). FNV leads profitability with a 65.7% profit margin vs 31.1%. FSM trades at a lower P/E of 8.3x. FSM earns a higher WallStSmart Score of 79/100 (B+).

FNV

Strong Buy

71

out of 100

Grade: B

Growth: 9.3Profit: 9.0Value: 3.3Quality: 7.8
Piotroski: 4/9Altman Z: 8.71

FSM

Strong Buy

79

out of 100

Grade: B+

Growth: 9.3Profit: 9.0Value: 8.3Quality: 8.5
Piotroski: 4/9Altman Z: 2.96
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FNVSignificantly Overvalued (-36.4%)

Margin of Safety

-36.4%

Fair Value

$188.88

Current Price

$218.74

$29.86 premium

UndervaluedFair: $188.88Overvalued
FSMUndervalued (+61.4%)

Margin of Safety

+61.4%

Fair Value

$23.13

Current Price

$9.46

$13.66 discount

UndervaluedFair: $23.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FNV5 strengths · Avg: 10.0/10
Profit MarginProfitability
65.7%10/10

Keeps 66 of every $100 in revenue as profit

Operating MarginProfitability
79.3%10/10

Strong operational efficiency at 79.3%

Revenue GrowthGrowth
77.7%10/10

Revenue surging 77.7% year-over-year

EPS GrowthGrowth
123.1%10/10

Earnings expanding 123.1% YoY

Altman Z-ScoreHealth
8.7110/10

Safe zone — low bankruptcy risk

FSM6 strengths · Avg: 9.8/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Profit MarginProfitability
31.1%10/10

Keeps 31 of every $100 in revenue as profit

Operating MarginProfitability
53.0%10/10

Strong operational efficiency at 53.0%

Revenue GrowthGrowth
75.6%10/10

Revenue surging 75.6% year-over-year

EPS GrowthGrowth
81.6%10/10

Earnings expanding 81.6% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

Areas to Watch

FNV2 concerns · Avg: 3.0/10
P/E RatioValuation
29.5x4/10

Moderate valuation

PEG RatioValuation
11.812/10

Expensive relative to growth rate

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 65.7% and operating margin at 79.3%. Revenue growth of 77.7% 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 31.1% and operating margin at 53.0%. Revenue growth of 75.6% demonstrates continued momentum.

Bear Case : FNV

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

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 2.08 — expect wider price swings.

FNV is growing revenue faster at 77.7% — sustainability is the question.

FSM generates stronger free cash flow (164M), providing more financial flexibility.

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

Bottom Line

FSM scores higher overall (79/100 vs 71/100), backed by strong 31.1% margins and 75.6% 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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