FRANKLIN RESOURCES INC (BEN) Fundamental Analysis & Valuation
NYSE:BEN • US3546131018
Current stock price
26.63 USD
+0.2 (+0.76%)
At close:
26.63 USD
0 (0%)
After Hours:
This BEN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. BEN Profitability Analysis
1.1 Basic Checks
- In the past year BEN was profitable.
- In the past year BEN had a positive cash flow from operations.
- Each year in the past 5 years BEN has been profitable.
- Each year in the past 5 years BEN had a positive operating cash flow.
1.2 Ratios
- BEN has a Return On Assets of 1.73%. This is comparable to the rest of the industry: BEN outperforms 42.50% of its industry peers.
- BEN's Return On Equity of 4.64% is on the low side compared to the rest of the industry. BEN is outperformed by 61.25% of its industry peers.
- BEN has a Return On Invested Capital (2.82%) which is in line with its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for BEN is below the industry average of 7.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.73% | ||
| ROE | 4.64% | ||
| ROIC | 2.82% |
ROA(3y)1.86%
ROA(5y)3.45%
ROE(3y)4.82%
ROE(5y)8.17%
ROIC(3y)3.25%
ROIC(5y)4.29%
1.3 Margins
- With a Profit Margin value of 6.36%, BEN is not doing good in the industry: 62.92% of the companies in the same industry are doing better.
- BEN's Profit Margin has declined in the last couple of years.
- BEN has a worse Operating Margin (12.82%) than 64.17% of its industry peers.
- In the last couple of years the Operating Margin of BEN has declined.
- The Gross Margin of BEN (36.07%) is worse than 63.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.82% | ||
| PM (TTM) | 6.36% | ||
| GM | 36.07% |
OM growth 3Y-16.37%
OM growth 5Y-7.82%
PM growth 3Y-28.89%
PM growth 5Y-17.51%
GM growth 3YN/A
GM growth 5YN/A
2. BEN Health Analysis
2.1 Basic Checks
- BEN has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for BEN has been increased compared to 5 years ago.
- Compared to 1 year ago, BEN has a worse debt to assets ratio.
2.2 Solvency
- BEN has an Altman-Z score of 1.33. This is a bad value and indicates that BEN is not financially healthy and even has some risk of bankruptcy.
- BEN has a better Altman-Z score (1.33) than 64.17% of its industry peers.
- BEN has a debt to FCF ratio of 15.13. This is a negative value and a sign of low solvency as BEN would need 15.13 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 15.13, BEN is in line with its industry, outperforming 55.83% of the companies in the same industry.
- BEN has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
- BEN has a Debt to Equity ratio of 1.09. This is comparable to the rest of the industry: BEN outperforms 46.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 15.13 | ||
| Altman-Z | 1.33 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- A Current Ratio of 1.35 indicates that BEN should not have too much problems paying its short term obligations.
- BEN has a better Current ratio (1.35) than 62.08% of its industry peers.
- A Quick Ratio of 1.35 indicates that BEN should not have too much problems paying its short term obligations.
- BEN's Quick ratio of 1.35 is fine compared to the rest of the industry. BEN outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 |
3. BEN Growth Analysis
3.1 Past
- The earnings per share for BEN have decreased by -0.43% in the last year.
- Measured over the past 5 years, BEN shows a small growth in Earnings Per Share. The EPS has been growing by 2.11% on average per year.
- Looking at the last year, BEN shows a small growth in Revenue. The Revenue has grown by 1.23% in the last year.
- BEN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.52% yearly.
EPS 1Y (TTM)-0.43%
EPS 3Y-15.2%
EPS 5Y2.11%
EPS Q2Q%18.64%
Revenue 1Y (TTM)1.23%
Revenue growth 3Y1.96%
Revenue growth 5Y9.52%
Sales Q2Q%3.83%
3.2 Future
- Based on estimates for the next years, BEN will show a small growth in Earnings Per Share. The EPS will grow by 7.53% on average per year.
- Based on estimates for the next years, BEN will show a small growth in Revenue. The Revenue will grow by 5.62% on average per year.
EPS Next Y18.86%
EPS Next 2Y14.46%
EPS Next 3Y12.46%
EPS Next 5Y7.53%
Revenue Next Year5.51%
Revenue Next 2Y5.64%
Revenue Next 3Y5.83%
Revenue Next 5Y5.62%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. BEN Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 11.43, the valuation of BEN can be described as reasonable.
- BEN's Price/Earnings ratio is a bit cheaper when compared to the industry. BEN is cheaper than 60.83% of the companies in the same industry.
- When comparing the Price/Earnings ratio of BEN to the average of the S&P500 Index (27.33), we can say BEN is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 9.16, the valuation of BEN can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of BEN indicates a somewhat cheap valuation: BEN is cheaper than 76.25% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 38.16. BEN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.43 | ||
| Fwd PE | 9.16 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BEN indicates a somewhat cheap valuation: BEN is cheaper than 79.58% of the companies listed in the same industry.
- 66.67% of the companies in the same industry are more expensive than BEN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.88 | ||
| EV/EBITDA | 14.62 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as BEN's earnings are expected to grow with 12.46% in the coming years.
PEG (NY)0.61
PEG (5Y)5.42
EPS Next 2Y14.46%
EPS Next 3Y12.46%
5. BEN Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 5.27%, BEN is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 6.64, BEN has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, BEN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
5.2 History
- The dividend of BEN has a limited annual growth rate of 4.06%.
- BEN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.06%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- BEN pays out 122.21% of its income as dividend. This is not a sustainable payout ratio.
- BEN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP122.21%
EPS Next 2Y14.46%
EPS Next 3Y12.46%
BEN Fundamentals: All Metrics, Ratios and Statistics
26.63
+0.2 (+0.76%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)01-30 2026-01-30/bmo
Earnings (Next)04-28 2026-04-28/bmo
Inst Owners48.26%
Inst Owner Change0.02%
Ins Owners21.82%
Ins Owner Change0.59%
Market Cap13.87B
Revenue(TTM)8.85B
Net Income(TTM)562.70M
Analysts52.63
Price Target27.88 (4.69%)
Short Float %9.92%
Short Ratio4.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
Yearly Dividend1.31
Dividend Growth(5Y)4.06%
DP122.21%
Div Incr Years0
Div Non Decr Years0
Ex-Date03-31 2026-03-31 (0.33)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.14%
Min EPS beat(2)15.04%
Max EPS beat(2)25.24%
EPS beat(4)2
Avg EPS beat(4)9.23%
Min EPS beat(4)-1.74%
Max EPS beat(4)25.24%
EPS beat(8)4
Avg EPS beat(8)5.69%
EPS beat(12)8
Avg EPS beat(12)9.12%
EPS beat(16)11
Avg EPS beat(16)9.06%
Revenue beat(2)2
Avg Revenue beat(2)2.77%
Min Revenue beat(2)0.99%
Max Revenue beat(2)4.55%
Revenue beat(4)3
Avg Revenue beat(4)0.99%
Min Revenue beat(4)-1.59%
Max Revenue beat(4)4.55%
Revenue beat(8)4
Avg Revenue beat(8)-0.3%
Revenue beat(12)8
Avg Revenue beat(12)0.35%
Revenue beat(16)9
Avg Revenue beat(16)2.08%
PT rev (1m)-0.4%
PT rev (3m)10.54%
EPS NQ rev (1m)-0.98%
EPS NQ rev (3m)-10.04%
EPS NY rev (1m)-0.96%
EPS NY rev (3m)4.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.43 | ||
| Fwd PE | 9.16 | ||
| P/S | 1.57 | ||
| P/FCF | 15.88 | ||
| P/OCF | 14.5 | ||
| P/B | 1.14 | ||
| P/tB | 8.21 | ||
| EV/EBITDA | 14.62 |
EPS(TTM)2.33
EY8.75%
EPS(NY)2.91
Fwd EY10.92%
FCF(TTM)1.68
FCFY6.3%
OCF(TTM)1.84
OCFY6.9%
SpS16.99
BVpS23.3
TBVpS3.24
PEG (NY)0.61
PEG (5Y)5.42
Graham Number34.9517 (31.25%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.73% | ||
| ROE | 4.64% | ||
| ROCE | 3.93% | ||
| ROIC | 2.82% | ||
| ROICexc | 3.21% | ||
| ROICexgc | 5.67% | ||
| OM | 12.82% | ||
| PM (TTM) | 6.36% | ||
| GM | 36.07% | ||
| FCFM | 9.87% |
ROA(3y)1.86%
ROA(5y)3.45%
ROE(3y)4.82%
ROE(5y)8.17%
ROIC(3y)3.25%
ROIC(5y)4.29%
ROICexc(3y)3.84%
ROICexc(5y)5.28%
ROICexgc(3y)7.52%
ROICexgc(5y)11.66%
ROCE(3y)4.53%
ROCE(5y)5.98%
ROICexgc growth 3Y-25.89%
ROICexgc growth 5Y-17.95%
ROICexc growth 3Y-19.86%
ROICexc growth 5Y-8.77%
OM growth 3Y-16.37%
OM growth 5Y-7.82%
PM growth 3Y-28.89%
PM growth 5Y-17.51%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 15.13 | ||
| Debt/EBITDA | 8.21 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.36 | ||
| Cash Conversion | 59.49% | ||
| Profit Quality | 155.23% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 1.33 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)33.8%
Cap/Depr(5y)30.17%
Cap/Sales(3y)1.92%
Cap/Sales(5y)1.56%
Profit Quality(3y)164.72%
Profit Quality(5y)142.29%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.43%
EPS 3Y-15.2%
EPS 5Y2.11%
EPS Q2Q%18.64%
EPS Next Y18.86%
EPS Next 2Y14.46%
EPS Next 3Y12.46%
EPS Next 5Y7.53%
Revenue 1Y (TTM)1.23%
Revenue growth 3Y1.96%
Revenue growth 5Y9.52%
Sales Q2Q%3.83%
Revenue Next Year5.51%
Revenue Next 2Y5.64%
Revenue Next 3Y5.83%
Revenue Next 5Y5.62%
EBIT growth 1Y-0.8%
EBIT growth 3Y-14.73%
EBIT growth 5Y0.95%
EBIT Next Year55.33%
EBIT Next 3Y20.46%
EBIT Next 5Y8.26%
FCF growth 1Y-12.84%
FCF growth 3Y-21.25%
FCF growth 5Y-1.43%
OCF growth 1Y-16.35%
OCF growth 3Y-18.32%
OCF growth 5Y-0.32%
FRANKLIN RESOURCES INC / BEN Fundamental Analysis FAQ
What is the ChartMill fundamental rating of FRANKLIN RESOURCES INC (BEN) stock?
ChartMill assigns a fundamental rating of 4 / 10 to BEN.
Can you provide the valuation status for FRANKLIN RESOURCES INC?
ChartMill assigns a valuation rating of 7 / 10 to FRANKLIN RESOURCES INC (BEN). This can be considered as Undervalued.
Can you provide the profitability details for FRANKLIN RESOURCES INC?
FRANKLIN RESOURCES INC (BEN) has a profitability rating of 3 / 10.
What is the earnings growth outlook for FRANKLIN RESOURCES INC?
The Earnings per Share (EPS) of FRANKLIN RESOURCES INC (BEN) is expected to grow by 18.86% in the next year.
Can you provide the dividend sustainability for BEN stock?
The dividend rating of FRANKLIN RESOURCES INC (BEN) is 5 / 10 and the dividend payout ratio is 122.21%.