FNV vs NEM

For growth investors, Franco-Nevada Corporation (FNV) is the stronger pick with 66.

4% revenue growth year-over-year, versus 19. 1% for Newmont Corporation (NEM). Newmont Corporation (NEM) offers the better valuation at 17. 0x trailing P/E (10. 5x forward), making it the more compelling value choice. Analysts rate Newmont Corporation (NEM) a "Buy" — based on 36 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Newmont Corporation (NEM) is the cheapest at 17.

0x versus Franco-Nevada Corporation at 38. 4x. On forward P/E, Newmont Corporation is actually cheaper at 10. 5x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Newmont Corporation wins at 0. 82x versus Franco-Nevada Corporation's 0. 98x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Newmont Corporation (NEM) delivered a total return of +80.

0%, compared to +61. 2% for Franco-Nevada Corporation (FNV). Over 10 years, the gap is even starker: NEM returned +267. 2% versus FNV's +248. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Franco-Nevada Corporation (FNV) is the lower-risk stock at 0.

56β versus Newmont Corporation's 0. 75β — meaning NEM is approximately 34% more volatile than FNV relative to the S&P 500. On balance sheet safety, Franco-Nevada Corporation (FNV) carries a lower debt/equity ratio of 0% versus 1% for Newmont Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Franco-Nevada Corporation (FNV) is pulling ahead at 66.

4% versus 19. 1% for Newmont Corporation (NEM). On earnings-per-share growth, the picture is similar: Newmont Corporation grew EPS 124. 1% year-over-year, compared to 104. 2% for Franco-Nevada Corporation. Over a 3-year CAGR, NEM leads at 22. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Franco-Nevada Corporation (FNV) is the more profitable company, earning 61.

1% net margin versus 32. 1% for Newmont Corporation — meaning it keeps 61. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FNV leads at 71. 0% versus 46. 9% for NEM. At the gross margin level — before operating expenses — FNV leads at 73. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Newmont Corporation (NEM) is the more undervalued stock at a PEG of 0. 82x versus Franco-Nevada Corporation's 0. 98x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Newmont Corporation (NEM) trades at 10. 5x forward P/E versus 26. 0x for Franco-Nevada Corporation — 15. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NEM: 26. 1% to $137. 50.

All stocks in this comparison pay dividends.

Newmont Corporation (NEM) offers the highest yield at 0. 9%, versus 0. 6% for Franco-Nevada Corporation (FNV).

For long-horizon retirement investors, Franco-Nevada Corporation (FNV) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

56), 0. 6% yield, +248. 0% 10Y return). Both have compounded well over 10 years (FNV: +248. 0%, NEM: +267. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Basic Materials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.