FNV.TO · Intrinsic value
Is Franco-Nevada Corporation (FNV.TO) overvalued or undervalued?
Franco-Nevada Corporation (FNV.TO) trades at the delayed market price of CA$339.69 a share. That price already implies revenue growth of more than 25%/yr. TickerWorth's fair value is CA$188.87 a share (80% above fair value), as of Oct 19, 2026. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from market data · Updated Oct 19, 2026 · How these pages are made
Is FNV.TO overvalued?
- Fair value
- CA$188.87
- Market price
- CA$339.69
- Downside to fair value
- 44.4%
- Verdict
- 80% above fair value
Reverse DCF: Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast.
What is FNV.TO's TickerWorth Score?
Middle of the pack — real strengths and real weaknesses
Compared with Basic Materials companies in Canada
Its strongest point: a profitable, high-quality business. Its weakest: looks expensive on the numbers.
- Value · 14 of 100
Cheaper than 14% of Basic Materials companies worldwide
- Price vs worth · 14 of 100
- Quality · 93 of 100
More profitable than 93% of Basic Materials companies worldwide
- Financial health · 95 of 100
Financially stronger than 95% of Basic Materials companies worldwide
- Growth · 58 of 100
Growing faster than 58% of Basic Materials companies worldwide
- Momentum · 60 of 100
Outperformed 60% of Basic Materials companies worldwide over the past year
Confidence: High confidence · Scored
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FNV.TO DCF valuation: what the price assumes
At a recent price of C$339.69, Franco-Nevada Corporation (FNV.TO) trades 80% above TickerWorth's blended fair value of C$188.87 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices FNV.TO overvalued vs our estimate of what the business is intrinsically worth. Our fair value sits below the market, an implied -44.4% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.
Read the full reasoning
One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values FNV.TO at about C$219.46 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.
The valuation discounts Franco-Nevada Corporation's projected free cash flows at a weighted-average cost of capital (WACC) of 9.6%, with a long-run terminal growth rate of 2.5%. About 74% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — FNV.TO would need sustained revenue growth of more than 25%/yr to justify today's price, against about 16.6% a year compounded in our base case. We don't quote a precise figure here, because past about 25% a year the reverse-DCF stops being informative: it solves for revenue growth alone, holding margins, capital intensity and the forecast horizon fixed, so a price well above our fair value has nowhere to go but growth. The honest reading is that the price implies growth this model can't reconcile — not that we forecast it.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, FNV.TO's modeled DCF value ranges from about C$167.51 to C$327.12 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Franco-Nevada Corporation would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of FNV.TO's intrinsic value. Figures update as new filings and prices come in.
Every input behind FNV.TO's DCF
| Input | Value |
|---|---|
| Base-year revenueLive feed — totalRevenue (TTM) | C$3,268,060,000 |
| Base EBIT marginComputed — trailing operatingMargins, held roughly flat | 60.0% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 30% → 24% → 17% → 10% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.2% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 0.94 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesLive feed — sharesOutstanding | 193M |
| Market priceLast known price · as of 2026-10-19 18:36 UTC | C$339.69 |
Change FNV.TO's assumptions
The discount-rate dial and the editable model
ProChange growth, margin and WACC yourself — Pro (7-day free trial, card required).
What does Franco-Nevada Corporation do?
What does it do?
Franco-Nevada Corporation operates as a royalty and stream company focused on precious metals in South America, Central America, Mexico, the United States, Canada, Australia, Europe, and Africa. The company operates through Precious Metals, Other Mining and Energy segments. It operates in the Gold industry (Basic Materials sector), headquartered in Canada.
How does it make money?
The business turns $2.3B in annual revenue into profit. Out of every $100 of sales, about $77 is left as operating profit (operating margin of 77.0%), after a 92% gross margin on the products/services it sells. After all costs, taxes and interest, 64.2% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks solid: comfortably covers its short-term bills (9.4× current ratio), and is currently profitable.
FNV.TO insider trading
Insider filings are available for US-listed companies only.
Common questions
What is FNV.TO's intrinsic value?
TickerWorth's blended fair value for Franco-Nevada Corporation (FNV.TO) is C$188.87 per share, versus a market price of C$339.69 (80% above fair value).
Is FNV.TO overvalued or undervalued?
On our blended fair value FNV.TO looks overvalued vs fair value at C$339.69. This is an educational estimate, not advice.
What discount rate is used for FNV.TO?
A WACC of 9.6% and a terminal growth rate of 2.5%.
Is Franco-Nevada stock undervalued?
TickerWorth's fair value for Franco-Nevada Corporation (FNV.TO) is CA$188.87 against a market price of CA$339.69. Our read: 80% above fair value. This is a model estimate, not investment advice.
Franco-Nevada (FNV.TO) DCF valuation and fair value
Our fair value for Franco-Nevada Corporation (FNV.TO) is CA$188.87, built on a 9.6% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Franco-Nevada stock?
Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of CA$339.69. A model estimate, not investment advice.
Franco-Nevada (FNV.TO) insider trading
We have no recent SEC Form 4 insider filings on file for Franco-Nevada Corporation (FNV.TO). Form 4 covers US-listed companies only.
Stocks below our fair value instead
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.