ROY: Gold Mining Royalty Co's

[drbubb]

RGLD, FNV, GROY and other top Gold Royalty co's

FNV ($111.65) /UGL($62.66)=178% v.RGLD ($122.75)=90.9% @ 12.19.23. 10d: 6m: TFPM: 

Gold Royalty Co’s “Fair Values”  (at Dec.'23)

Sym. :   Last  :   B.V. :  P/BV :  Anal. :  F.V.  : +/disc :
FNV  :  111.65 : 35.24: 317%: $220 : $130.: - 14.1%
(peak)  161.0 : 35.24: 457%: $220 : 160.e:  same?
RGLD: 122.75: 39.48: 311%: $100. : $82.5: +48.8%
SAND: $ 5.07: $4.73: 107%:  5.00e: $4.29: +18.2%
TFPM: $13.65: $9.03: 151% : 19.28: 28.67: -52.4%
GROY: $ 1.53:  $3.64: 42.0% $2.00:  2.00: 
====

RGLD ($119.08, r1.94) /UGL ($61.35) SAND ($4.86, 7.92%), GROY ($1.48, 2.41%)

w/FNV ($111.11. r1.81)  TFPM ($13.44, 21.9%)

Gold Royalty Co’s

Sym.  :  Last  :  PER : Yield:   B.V. :  P/BV : 2023: 2027: chg%: MkCap: MC/'27
FNV   :  111.11 : 31.3:  1.22% 35.24: 315%: 630k: 790k:+25.4%: $21.3B: $27.0k
(peak) 161.00: 45.4: 0.84% 35.24: 457%: 670k: 800k +19.4% $30.9B: $38.6k
RGLD: 119.08: 33.6: 1.34% 39.48 302%: 335k 400k +20%E $7.82B $19.6k
TFPM: $13.44: 57.5: 1.53%  $9.03: 149%: 107k: 140K +30.8% $2.70B: $19.3k
SAND: $ 4.86:  97.0: 1.20%  $4.73: 103.%:  95k: 125k +31.6%: $1.44B: $11.5k
GROY: $ 1.48:   N/A: 2.70% $3.64: 40.6%:  ?? k:  ?? k +66%E:  $215M:    ?? 
4-5 Ave. ===   54.9: 1.60%: === : 182.0% 

RGLD vs. UGL, gdx, gdxj: from Jan'21: 138.59 /$64.27= 215.6%:

.vs-etc: 5yr: 2yr: fr.2021: 1yr: Ytd: 10d. (/$59.70 UGL). w/EMX ...       

ROY'L vs. UGL : fr. 3/'21: 1yr: Ytd: 10d, RGLD ($126.78) / UGL ($59.70)= 213%

===== :  UGL :  RGLD - pct. : SAND: GROY : FNV :  OR.t:  EMX.t
3.30.23:  63.65 : 129.4-203%: $5.86 : $2.22: 145.8: 21.18: 2.67:
-as Pct.: 100%> ==== -203%: 9.20%: 3.49% 229.% 33.3% 4.19%
01.12.23: 59.70 : 126.8-213%: $5.81 : $2.64: 147.4: 17.36: 2.68:
-as Pct.: 100%> ==== -213%: 9.73%: 4.42% 247.% 29.1% 4.49%
10.03.22: 49.22: 96.46-196%: $5.27: $2.70: 122.3: 14.34: 2.68:
-as Pct.: 100%> ==== -196%: 10.7%: 5.49% 248.% 29.1% 5.44%
04.01.22: 65.09: 146.3-225%: $8.49: $4.22: 163.7: 17.02: 2.75:
-as Pct.: 100%> ==== -225%: 13.0%: 6.48% 251.% 26.1% 4.22%
03.01.21: 55.03: 103.7-200%: $6.04: ====: 106.2 : 12.50: 3.94:
-as Pct.: 100%> ==== -188%: 11.0%: ====: 193.%  22.7% 7.16%
08.03.21: 76.94: 140.1 -182%: $9.48: ====: 157.6 : 16.40: 4.08:
-as Pct.: 100%> ==== -182%: 12.3%: ====: 205.% 21.3% 5.30%
=====

[drbubb]

Gold Royalty reports record total annual revenues, posts adjusted net loss of $12.5 million in FY22

Vladimir Basov Tuesday December 27, 2022

(Kitco News) - Gold Royalty (NYSE: GROY) announced Tuesday that for the fiscal year ended September 30, 2022 (FY22), its total revenue and option proceeds from the royalty generation program amounted to $5.7 million, exceeding guidance of $5.0 million.

The company also reported adjusted net loss of $12.5 million in FY22, compared to adjusted net loss of $9.3 million in FY21, adding that cash, cash equivalents and marketable securities amounted to approximately $14.2 million as at September 30, 2022.

Gold Royalty noted that in FY22, the company continued the execution of its acquisition strategy completing the acquisition of Abitibi Royalties and Golden Valley Mines and Royalties, acquiring a royalty on the Côté gold project, expanding its royalties on the Beaufor mine, and acquiring a portfolio of royalties in Nevada from Nevada Gold Mines.

Importantly, the company said that its portfolio expands to 216 royalties with a focus on the best mining jurisdictions in the Americas (2021 Fraser Institute of Mining Attractiveness Index), adding that it introduced quarterly dividends in 2022, yielding over 1.5% at current share prices.

[drbubb]

Royal Gold acquires additional royalty interests on the Cortez gold complex for $204 million

Royal Gold (NASDAQ: RGLD) announced today that its wholly owned subsidiary has acquired two portions of a gross smelter return royalty (the "Idaho Royalty") that together cover a large area including the Cortez mine operational area and the entirety of the Fourmile development project in Nevada from certain holders who are successors in interest to Idaho Mining Corporation for cash consideration of $204.1 million.

The area within the Cortez Complex is owned or controlled by Nevada Gold Mines, a joint venture between Barrick Gold (61.5% owner and operator) and Newmont (38.5% owner), with the exception of the Fourmile development project which is 100% owned and operated by Barrick.

In a statement, the company said that the Idaho Royalty consists of a 0.24% gross royalty rate covering areas including the Pipeline and Crossroads deposits, and a 0.45% gross royalty rate covering areas including the Cortez Hills, Goldrush, Fourmile and Robertson

deposits.

Importantly, Royal Gold noted that the Idaho Royalty is life of mine, is not subject to any stepdowns or caps, and there are no deductions applicable, adding that the Idaho Royalty is currently generating revenue and covers a total area of approximately 630 square miles.

Royal Gold also said it expects the Idaho Royalty to contribute approximately 4,000 ounces to Royal Gold's account in 2023, increasing to over 5,000 ounces in 2028....

> https://www.kitco.com/news/2023-01-05/Royal-Gold-acquires-additional-royalty-interests-on-the-Cortez-gold-complex-for-204-million.html

[drbubb]

SAND . 3yr: 1yr: 10d / last: $5.81 ( 12 mo.Range: $4.51 to 9.18)

Sandstorm Gold Royalties reports record sales and revenue in 2022

On Wednesday, Sandstorm Gold (NYSE: SAND) (TSX: SSL) reported that the company sold approximately 82,400 attributable gold equivalent ounces and realized preliminary revenue of $148.7 million for the full 2022 year, both representing a record for the company.

For comparison, the company said it sold 67,548 attributable gold equivalent ounces and realized $114.9 million in revenue in 2021.

According to a press release, preliminary cost of sales, excluding depletion for the full 2022 year was $23.4 million resulting in cash operating margins of approximately $1,511 per attributable gold equivalent ounce ($16.8 million and $1,539 per attributable gold equivalent ounce for the comparable period in 2021, respectively).

Sandstorm is a gold royalty company that provides upfront financing to gold mining companies that are looking for capital and in return, receives the right to a percentage of the gold produced from a mine, for the life of the mine.

Sandstorm holds a portfolio of 250 royalties, of which 39 of the underlying mines are producing. The company plans to grow and diversify its low cost production profile through the acquisition of additional gold royalties.

> https://www.kitco.com/news/2023-01-11/Sandstorm-Gold-Royalties-reports-record-sales-and-revenue-in-2022.html

 

[drbubb]

ROY'L vs. UGL : fr. 3/'21: 1yr: Ytd: 10d, RGLD ($126.78) / UGL ($59.70)= 213%

===== :  UGL :  RGLD - pct. : SAND: GROY : FNV :  OR.t: EMX.t
 5.12.23: 66.63 : 137.5 -206%: $6.04: $2.20: 157.1: 23.90: 2.72:
-as Pct.: 100%> ==== -206%: 9.06%: 3.30% 236% 35.9% 4.08%
  1.12.23: 59.70 : 126.8 -213%: $5.81 : $2.64: 147.4: 17.36: 2.68:
-as Pct.: 100%> ==== -213%: 9.73%: 4.42% 247.% 29.1% 4.49%
10.03.22: 49.22: 96.46-196%: $5.27: $2.70: 122.3: 14.34: 2.68:
-as Pct.: 100%> ==== -196%: 10.7%: 5.49% 248.% 29.1% 5.44%
 4.01.22: 65.09: 146.3-225%: $8.49: $4.22: 163.7: 17.02: 2.75:
-as Pct.: 100%> ==== -225%: 13.0%: 6.48% 251.% 26.1% 4.22%
 3.01.21: 55.03: 103.7-200%: $6.04: ====: 106.2 : 12.50: 3.94:
-as Pct.: 100%> ==== -188%:  11.0%: ====: 193.%  22.7% 7.16%
 8.03.21: 76.94: 140.1 -182%: $9.48: ====: 157.6 : 16.40: 4.08:
-as Pct.: 100%> ==== -182%:  12.3%: ====: 205.% 21.3% 5.30%
======

[drbubb]

SAND

https://seekingalpha.com/article/4562620-sandstorm-gold-too-cheap-ignore. this is a report of 6th of dec 2022 but still relevant. ..Sandstorm Gold looks cheap vs peers.    Valuation

Based on ~300 million shares outstanding and a share price of US$5.20, Sandstorm trades at a market cap of ~$1.56 billion, which compares very favorably to an estimated net asset value of ~$1.84 billion after factoring in net debt of ~$520 million and estimated corporate G&A of $60 million. This represents the most attractive P/NAV multiple in its peer group among $1.0+ billion companies (~0.85x P/NAV). Investors are getting this price for a company with industry-leading growth and diversification, plus multiple assets in the lowest-cost quartile. In my view, this is a huge valuation disconnect.

To put the valuation in perspective, Maverix (MMX) was just acquired for ~1.0x P/NAV with a much smaller scale (estimated ~50,000 GEOs in FY2025 for Sandstorm vs. ~150,000 for Sandstorm).

Using what I believe to be a fair multiple for Sandstorm of 1.60x P/NAV to reflect the company's superior diversification and higher exposure to precious metals vs. most of its peers offset by slightly higher jurisdictional risk, I see a fair value for the stock of ~$2.94 billion. After dividing this by 300 million shares outstanding, this translates to a fair value for Sandstorm of US$9.80 - 88% upside from current levels. Meanwhile, even in what I would argue to be an ultra-conservative scenario with a lower multiple of 1.50x P/NAV, Sandstorm's fair value would come in at US$9.25, still representing a 70% upside from current levels.

 

[drbubb]

Gold royalty company Sandstorm announces record 2022 results, including record net ...

Kitco News | Feb 22

(Kitco News) - The company reported record cash flows from operating activities, excluding changes in non-cash working capital of $109.8 million (FY 2021 - $83.5 million), as well as record net income of $78.5 million (FY 2021 - $27.6 million).

[drbubb]

.vs-etc: 5yr: 2yr: 1yr: 10d: / ... (/$59.78 UGL)... w/EMX

1.21.22: FNV $130.62 (219%), RGLD $102.25 (171%), OR.t $14.58 (24.4%), EMX.t $2.73 (4.57%), GROY (??)



ROY: fr. 4.6.20: 3yr: GROY-x, SAND-x, EMX.t-x, RGLD-x

From GROY presentation

[webmaster]

Royalty firm Sandstorm boasts record sales and revenue in Q1'23

• http://www.kitco.com/ind/Vladimir/images/Vladimir_bio.jpg

Vladimir Basov    

Thursday April 06, 2023

(Kitco News) - On Wednesday, Sandstorm Gold (NYSE: SAND) (TSX: SSL) reported that the company sold approximately 28,400 attributable gold equivalent ounces and realized preliminary revenue of $44.0 million in Q1 2023, both representing a record for the company.

In a press release, Sandstorm said it had preliminary total sales, royalties, and income from other interests of $54.0 million for the three month period, also a record for the company.

The company’s preliminary cost of sales, excluding depletion for the three month period was $6.5 million resulting in cash operating margins of approximately $1,650 per attributable gold equivalent ounce.

Sandstorm is a gold royalty company that provides upfront financing to gold mining companies that are looking for capital and in return, receives the right to a percentage of the gold produced from a mine, for the life of the mine.

Sandstorm holds a portfolio of 250 royalties, of which 39 of the underlying mines are producing. Sandstorm said it plans to grow and diversify its low cost production profile through the acquisition of additional gold royalties.

[drbubb]

Royal Gold, ST Top?: 2022: 138.59, R: 84.54 to 147.06, PER: 37.4, Yield: 1.08%

RGLD: Oct'22 w/ugl 141.60 /$65.40 = 216.5% : FLIP: ... updated? 

SAND: Oct'22 w/ugl : $6.12 /$65.40= 9.36%

RGLD vs. UGL, gdx, gdxj: from Jan'21: 138.59 /$64.27= 215.6%:

NEWS Helped RGLD : Royal Gold reported first-quarter stream segment results. Stream sales were 60,800 ounces versus the consensus of 57,000oz (6% higher), with stream deliveries of 57,800oz, 1% higher than the consensus. Overall, gold inventories were 11% lower at 25,500oz.

[drbubb]

SAND seems too cheap!

SAND- UGL, Rgld. since May'19 (5.21/36.1): 14.4%, last: 6.12/ 65.40= 9.36%

[drbubb]

Bought some shares in GROY, the laggard Gold Royalty Co.  Last $2.30:  2022:

Took some partial profits in RGLD, near $144

GROY / RGLD Ratio at 1.625%, is near the low extreme. Rally back to 4-5% would be great

[drbubb]

RGLD : 5yr: from 7/2018: Last: $132.49,  -1.70, -1.27%

[drbubb]

Royal Gold announces commitment to acquire royalties on producing copper-gold-nickel mines in ...

Kitco News | 01:34PM

(Kitco News) - Royal Gold (NASDAQ: RGLD) announced on Monday that its wholly-owned subsidiary has entered into a binding commitment letter with ACG Acquisition Company to acquire new royalty interests on the producing Serrote and Santa Rita mines in Brazil ...

[drbubb]

Royalty firm Sandstorm Gold reports record revenue in second quarter

Kitco News | Jul 7

(Kitco News) - Sandstorm Gold (NYSE: SAND) (TSX: SSL) reported Thursday that the company sold approximately 24,500 attributable gold equivalent ounces and realized record preliminary revenue of $49.8 million in Q2 2023.

Sandstorm Gold (NYSE: SAND) (TSX: SSL) reported Thursday that the company sold approximately 24,500 attributable gold equivalent ounces and realized record preliminary revenue of $49.8 million in Q2 2023.

In the comparable period in 2022, the company sold 19,276 attributable gold equivalent ounces and realized revenue of $36.0 million.

OZ:    19,276  >  24,500 : + 27.1 %
USD: $36.0M > $49.8M : + 38.3%

GLD vs Price:
jul.7: $162.23 > $178.64: + 10.1% GLD
jul.7:   $5.81   >   $5.18   : - 10.8% SAND
shOS 200.0m > 275.0m :  +37.5%, est. SAND sh
====
Sandstorm issued approximately 74.4 million common shares of the Company (“Sandstorm Shares”) to former Nomad shareholders

 

[drbubb]

RGLD : 5yr: from Jul'18: Last: $116.13, +3.03, +2.68%

[drbubb]

Royal Gold logs net income of $63.4 million in second quarter, maintains annual guidance

Vladimir Basov  

Thursday August 03, 2023 

(Kitco News) - Precious metals stream and royalty company Royal Gold (NASDAQ: RGLD) yesterday announced Q2 2023 revenue of $144.0 million (Q2 2022: $146.4 million) and operating cash flow of $107.9 million (Q2 2022: $120.2 million).

The company said that the decrease in total revenue in the second quarter resulted primarily from lower gold sales at Andacollo, lower copper sales at Mount Milligan and lower gold and silver production attributable to its interest at Peñasquito.

“The decrease in operating cash flow was primarily due to higher interest payments on amounts outstanding under our revolving credit facility and lower royalty revenue, compared to the prior year period,” it added.

The company also reported Q2 2023 net income of $63.4 million or $0.97 per share (Q2 2022: net income of $71.1 million or $1.08 per share), while adjusted net income was $57.2 million or $0.88 per share (Q2 2022: adjusted net income of $54 million or $0.81 per share).

Royal Gold explained that the decrease in net income was primarily attributable to higher debt-related interest expense.

Importantly, the company informed that there is no change to previously issued guidance for sales of 320,000 to 345,000 gold equivalent ounces (GEOs) for 2023.

“However, if operations at Peñasquito remain suspended through the remainder of 2023, and absent other unforeseen events at our producing properties, total GEO sales may come in around the low end of the 2023 guidance range,” the company said in a press release.

[webmaster]

Gold has one big advantage over Bitcoin - Sandstorm Gold's Nolan Watson

(Kitco News) - Central bank buying will favor gold over Bitcoin, said Nolan Watson, president and CEO of Sandstorm Gold.

On Thursday Watson spoke to Kitco.

Sandstorm Gold (NYSE:SAND) is a royalty and streaming company headquartered in Vancouver, B.C. In 2023 the company forecasts production of 95,000 ounces. Watson is also an executive on the World Gold Council.

Looking at the gold market, Watson said the metal is benefiting but the miners are not.

"Central banks and governments around the world are buying gold, but they're not buying gold equities," noted Watson, which is resulting in higher metal prices but not necessarily higher stock prices for the miners.

To track what's happening in the gold space, pay attention to gold ETFs, said Watson. He said that there's been net liquidation out of gold ETFs over the last 18 months due to institutional investors selling because of the high interest rate environment.

"That is about to reverse. If you actually look at the trend of net liquidation of gold ETFs it's getting smaller and smaller every month," said Watson, who expects the trend to change in the next month or two.

Gold prices hit an all-time high in early December, but cryptocurrencies have had their own run with Bitcoin doubling off lows at the start of the year. Watson said that gold has nothing to fear from Bitcoin.

"Gold is going up because governments and central banks are buying gold," said Watson. "Governments and central banks are not buying Bitcoin. The fundamental thing that is driving the gold price is separate from...what's happening in crypto. There used to be thousands of crypto coins and the total cumulative market cap was getting close to a trillion dollars in crypto. That's all evaporated except for a few core things like Bitcoin and Ethereum. As an asset class crypto has lost a huge amount of ground to gold even though the Bitcoin prices come up."

Operationally, Watson highlighted some future projects that will grow its ounces: Equinox Gold's first pour at Greenstone in 2024, Barrick Gold's Cortez Complex in 2027 and SSR Mining's Hod Maden also in 2027. Watson was most excited about the Ivanhoe Mining's Platreef production that will come online next year.

Sandstorm has been busy deal-making in the past 18 months. The company had to take on debt to fund the deals, as well as issue equity, which has weighed on the stock. Over the past year, Sandstorm is down about 8% in an up market for gold. In 2022 Sandstorm took on debt funding for acquisition of $637 million after acquiring Nomad Royalty Company, as well as nine royalties and one stream from BaseCore Metals. By the end of 2024, Sandstorm expects to nearly halve debt levels.

"Our portfolio is much bigger," said Watson. "It's much more diversified. Most of the things that we
bought—most of the value that we paid for—is very large and very low-cost. [The operations] are very long-life mines that are being built now."

Watson said production is going to increase 50% to 60% over the next few years.

"We're sort of in this awkward phase where we made all of these acquisitions. We're not getting the benefit from it yet, but the mines are being built."

> xx

[webmaster]

RGLD ($119.08, r1.94) /UGL ($61.35) SAND ($4.86, 7.92%), GROY ($1.48, 2.41%)

w/FNV ($111.11. r1.81)

Gold Royalty Co’s

Sym.  :  Last  :  PER : Yield:   B.V. :  P/BV : 2023: 2027: chg%: MkCap: MC/'27
FNV   :  111.11 : 31.3:  1.22% 35.24: 315%: 630k: 790k:+25.4%: $21.3B: $27.0k
(peak) 161.00: 45.4: 0.84% 35.24: 457%: 670k: 800k +19.4% $30.9B: $38.6k
RGLD: 119.08: 33.6: 1.34% 39.48 302%: 335k 400k +20%E $7.82B $19.6k
TFPM: $13.44: 57.5: 1.53%  $9.03: 149%: 107k: 140K +30.8% $2.70B: $19.3k
SAND: $ 4.86:  97.0: 1.20%  $4.73: 103.%:  95k: 125k +31.6%: $1.44B: $11.5k
GROY: $ 1.48:   N/A: 2.70% $3.64: 40.6%:  ?? k:  ?? k +66%E:  $215M:    ?? 
4-5 Ave. ===   54.9: 1.60%: === : 182.0% 

[webmaster]

FNV/ Franco Nevada ($110.34) /UGL: $61.88 =r1.78x; RGLD: $120.42, r1.95x

.... Start, 03.02.20 : ($109.94) /UGL: $52.70 =r2.09x; RGLD: $100.05, r1.90x

FNV: All: 10yr: 5yr: 2yr: Ytd, $110.34, (range:102.29 to 161.25) PER: 31.1, Yield:1.23%

FNV: All:

Ratio: FNV to UGL:  ($110.34) / $61.88 =r1.78x

Ratio: RGLD to FNV

[webmaster]

FNV ($111.65) / UGL ($62.66)= r178% vs RGLD ($122.75)= 90.95%, at 12.19.23

Ratio: FNV ($111.65) / UGL ($62.66)= r178%

vs RGLD ($122.75)= 90.95%; 1/.9065= 1.103

(105C +12.90-11)= 107 / 120C= 89.2%; 1/.892 = 1.12

[webmaster]

Gold Royalty Co’s “Fair Values”  (at Dec.'23)

Sym. :   Last  :   B.V. :  P/BV :  Anal. :  F.V.  : +/disc :
FNV  :  111.65 : 35.24: 317%: $220 : $130.: - 14.1%
(peak)  161.0 : 35.24: 457%: $220 : 160.e:  same?
RGLD: 122.75: 39.48: 311%: $100. : $82.5: +48.8%
SAND: $ 5.07: $4.73: 107%:  5.00e: $4.29: +18.2%
TFPM: $13.65: $9.03: 151% : 19.28: 28.67: -52.4%
GROY: $ 1.53:  $3.64: 42.0% $2.00:  2.00: 
====

Calculating The Intrinsic Value Of Franco-Nevada Corporation (TSE:FNV)

Simply Wall St, Published November 10, 2023

Key Insights, C$180 /1.33= $135; Current C$166= $125

• Using the 2 Stage Free Cash Flow to Equity, Franco-Nevada fair value estimate is CA$180
• Current share price of CA$166 suggests Franco-Nevada is potentially trading close to its fair value
• Analyst price target for FNV is US$220, which is 22% above our fair value estimate

Today we will run through one way of estimating the intrinsic value of Franco-Nevada Corporation (TSE:FNV) by taking the expected future cash flows and discounting them to today's value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. Before you think you won't be able to understand it, just read on! It's actually much less complex than you'd imagine.

We generally believe that a company's value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. If you still have some burning questions about this type of valuation, take a look at the Simply Wall St analysis model.

Is Franco-Nevada Fairly Valued?

We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows. Generally the first stage is higher growth, and the second stage is a lower growth phase. To start off with, we need to estimate the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.

Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars:

10-year free cash flow (FCF) forecast

10 yr. Highlights:   2024   :   2027   :   2030  :  2033  :

Levered Free CF:  $1.04B : $1.32B  : $1.51B  : $1.64B :

Growth source  : 6x anal. : 6.93%e:  4.38%e: 2.52%e

PV. at 7.2%        :  $972M :  $829M :

    = Total P.V.    :  $9.2B / 192 M sh = $47.92 per sh.

("Est" = FCF growth rate estimated by Simply Wall St)

Present Value of 10-year Cash Flow (PVCF) = US$9.2b

The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (1.9%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 7.2%.

Present Value of Terminal Value (PVTV)= TV / (1 + r)¹⁰= US$32b÷ ( 1 + 7.2%)¹⁰= US$16b

The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is $9B + 16B= US$25b  ( /192m=  $130.) In the final step we divide the equity value by the number of shares outstanding. Relative to the current share price of CA$166, the company appears about fair value at a 7.8% discount to where the stock price trades currently. 

=== > https://simplywall.st/stocks/ca/materials/tsx-fnv/franco-nevada-shares/news/calculating-the-intrinsic-value-of-franco-nevada-corporation

[webmaster]

Triple Flag Precious Metals.  Support at $13.00

TFPM : last $13.65 / UGL ($62.66)= 21.8%, PER: 58.2x, Yield: 1.50%, BV: $9.03

TFPM : last $13.65

[webmaster]

SAND "plan to reduced debt by $100M by late 2024"

Greenstone project of EQX, to us is "very material"

Good interview  / Sandstorm Gold Royalties: Investor Update

 

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FRANCO : "A Pile of Money, sitting in the corner... Panana was only 15% of NAV. FNV down 30%"

FRANCO NEVADA - Time to BUY after the CRASH?

 

World renowned commodities investor Jim Rogers' investing style is pretty straightforward: He waits patiently until he spots a pile of cash just lying around, and then he swoops in to claim it. And right now, Franco Nevada FNV, the world's premier gold company, is exactly that—a pile of money waiting to be picked up! So, why am I so excited about Franco Nevada stock right now? Well, for starters, it's not every day that this top-tier gold company goes on sale. When it does, it's usually a sign to grab some shares.

They own around 400 assets, with the crown jewel being the Cobre Panama copper mine. It's a massive operation down in Panama. But here's where it gets interesting. About a year ago, the Panamanian government threatened to shut down the mine. They thought they had resolved the issue, but recently, the mine was officially closed. This closure caused FNV's stock price to tumble by about 30%. However, this drop seems like an overreaction. The Cobre Panama mine represents only about 15% of Franco Nevada's total net asset value. So logically, even in the worst-case scenario where the mine never reopens, the stock should have only dipped by around 15%. But I don't think we're looking at the worst-case scenario here. Let's dive a bit deeper. This mine is crucial to Panama's economy, contributing about 5% to the country's GDP. It's also one of Panama's largest employers and tax revenue sources. If it stays closed, it would become a significant liability for the country.