Franco-Nevada Corporation (FNV)vsRoyal Bank of Canada (RY)
FNV
Franco-Nevada Corporation
$233.67
+1.28%
BASIC MATERIALS · Cap: $44.52B
RY
Royal Bank of Canada
$162.50
+0.24%
FINANCIAL SERVICES · Cap: $225.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 3416% more annual revenue ($63.42B vs $1.80B). FNV leads profitability with a 61.6% profit margin vs 33.1%. RY appears more attractively valued with a PEG of 2.41. RY earns a higher WallStSmart Score of 68/100 (B-).
FNV
Strong Buy68
out of 100
Grade: B-
RY
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+6.0%
Fair Value
$274.25
Current Price
$233.67
$40.58 discount
Margin of Safety
+44.3%
Fair Value
$306.13
Current Price
$162.50
$143.63 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 62 of every $100 in revenue as profit
Strong operational efficiency at 76.1%
Revenue surging 85.8% year-over-year
Earnings expanding 108.8% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Mega-cap, among the largest globally
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Generating 37.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Premium valuation, high expectations priced in
Expensive relative to growth rate
Negative free cash flow — burning cash
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull 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 : RY
The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.1% and operating margin at 46.2%.
Bear Case : FNV
The primary concerns for FNV are P/E Ratio, PEG Ratio, Free Cash Flow.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
FNV profiles as a growth stock while RY is a mature play — different risk/reward profiles.
RY carries more volatility with a beta of 0.94 — expect wider price swings.
FNV is growing revenue faster at 85.8% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
FNV scores higher overall (68/100 vs 68/100), backed by strong 61.6% margins and 85.8% revenue growth. RY offers better value entry with a 44.3% margin of safety. 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.
Visit Website →Royal Bank of Canada
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.
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