$Franco-Nevada (FNV.US)$🎯 2023.8.1 The current price is 143...

New data: 2022 full year data and 2023Q1

Revenue continued to grow for the past four years. The growth rate fell to 1.2% in 2022, and operating profit continued to grow for 5 years. The average growth rate was 28.4%, the growth rate fell to 3.6% in 2022, net profit fell 5.2% in 2020 due to the depreciation of 260 million yuan, and impairment of capital assets in 2021 added back another 068 million yuan. It is estimated that the 2020 write-off calculation was incorrect, causing the 2021 base to be too high, and net profit in 2022 shrank by 4.5%. However, the 2022 data is closer to the actual business situation. The average 5-year net profit growth rate is 29.2%.

Currently, the price-earnings ratio is 39.3, and the price-earnings ratio TTM has increased slightly to 40.8. Considering the high growth rate to be unsustainable and the cyclical nature of the gold industry, current valuations are not attractive, so it is possible to close positions and exit.