WallStSmart

Franco-Nevada Corporation (FNV)vsConstellation Brands Inc Class A (STZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Constellation Brands Inc Class A generates 420% more annual revenue ($9.38B vs $1.80B). FNV leads profitability with a 61.6% profit margin vs 11.8%. STZ appears more attractively valued with a PEG of 5.46. FNV earns a higher WallStSmart Score of 68/100 (B-).

FNV

Strong Buy

68

out of 100

Grade: B-

Growth: 9.3Profit: 9.0Value: 6.0Quality: 9.0
Piotroski: 4/9Altman Z: 12.18

STZ

Hold

50

out of 100

Grade: D+

Growth: 2.7Profit: 7.5Value: 4.7Quality: 6.5
Piotroski: 5/9Altman Z: 1.61
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FNVUndervalued (+6.0%)

Margin of Safety

+6.0%

Fair Value

$274.25

Current Price

$233.67

$40.58 discount

UndervaluedFair: $274.25Overvalued
STZSignificantly Overvalued (-276.7%)

Margin of Safety

-276.7%

Fair Value

$43.32

Current Price

$151.56

$108.24 premium

UndervaluedFair: $43.32Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FNV6 strengths · Avg: 10.0/10
Profit MarginProfitability
61.6%10/10

Keeps 62 of every $100 in revenue as profit

Operating MarginProfitability
76.1%10/10

Strong operational efficiency at 76.1%

Revenue GrowthGrowth
85.8%10/10

Revenue surging 85.8% year-over-year

EPS GrowthGrowth
108.8%10/10

Earnings expanding 108.8% YoY

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
12.1810/10

Safe zone — low bankruptcy risk

STZ1 strengths · Avg: 10.0/10
Operating MarginProfitability
33.9%10/10

Strong operational efficiency at 33.9%

Areas to Watch

FNV3 concerns · Avg: 2.7/10
P/E RatioValuation
39.4x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
11.812/10

Expensive relative to growth rate

Free Cash FlowQuality
$-1.73B2/10

Negative free cash flow — burning cash

STZ4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.614/10

Distress zone — elevated risk

Debt/EquityHealth
1.383/10

Elevated debt levels

PEG RatioValuation
5.462/10

Expensive relative to growth rate

Revenue GrowthGrowth
-9.8%2/10

Revenue declined 9.8%

Comparative Analysis Report

WallStSmart Research

Bull 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 : STZ

The strongest argument for STZ centers on Operating Margin.

Bear Case : FNV

The primary concerns for FNV are P/E Ratio, PEG Ratio, Free Cash Flow.

Bear Case : STZ

The primary concerns for STZ are Altman Z-Score, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

FNV profiles as a growth stock while STZ is a declining play — different risk/reward profiles.

FNV carries more volatility with a beta of 0.90 — expect wider price swings.

FNV is growing revenue faster at 85.8% — sustainability is the question.

STZ generates stronger free cash flow (371M), providing more financial flexibility.

Bottom Line

FNV scores higher overall (68/100 vs 50/100), backed by strong 61.6% margins and 85.8% revenue growth. Both earn "Strong Buy" and "Hold" 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.

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Constellation Brands Inc Class A

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Constellation Brands, Inc., headquartered in Victor, New York, is an American producer and marketer of beer, wine, and spirits.

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