FRANKLIN RESOURCES INC (BEN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BEN - US3546131018 - Common Stock
25.75 USD
+0.3 (+1.18%)
Overall BEN gets a fundamental rating of 3 out of 10. We evaluated BEN against 235 industry peers in the Capital Markets industry. BEN may be in some trouble as it scores bad on both profitability and health. BEN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BEN had positive earnings in the past year.
BEN had a positive operating cash flow in the past year.
Each year in the past 5 years BEN has been profitable.
In the past 5 years BEN always reported a positive cash flow from operatings.
1.2 Ratios
BEN's Return On Assets of 1.46% is on the low side compared to the rest of the industry. BEN is outperformed by 60.00% of its industry peers.
BEN has a worse Return On Equity (3.90%) than 64.68% of its industry peers.
BEN has a Return On Invested Capital of 2.90%. This is comparable to the rest of the industry: BEN outperforms 42.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BEN is below the industry average of 7.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 3.9% | ||
| ROIC | 2.9% |
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
BEN has a worse Profit Margin (5.38%) than 67.66% of its industry peers.
BEN's Profit Margin has declined in the last couple of years.
The Operating Margin of BEN (12.54%) is worse than 63.40% of its industry peers.
BEN's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 36.61%, BEN is not doing good in the industry: 62.98% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.54% | ||
| PM (TTM) | 5.38% | ||
| GM | 36.61% |
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. Health
2.1 Basic Checks
The number of shares outstanding for BEN has been reduced compared to 1 year ago.
The number of shares outstanding for BEN has been increased compared to 5 years ago.
The debt/assets ratio for BEN is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.27, we must say that BEN is in the distress zone and has some risk of bankruptcy.
BEN has a better Altman-Z score (1.27) than 62.13% of its industry peers.
The Debt to FCF ratio of BEN is 13.49, which is on the high side as it means it would take BEN, 13.49 years of fcf income to pay off all of its debts.
BEN has a Debt to FCF ratio (13.49) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.98 indicates that BEN is somewhat dependend on debt financing.
BEN has a Debt to Equity ratio of 0.98. This is comparable to the rest of the industry: BEN outperforms 51.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 13.49 | ||
| Altman-Z | 1.27 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
BEN has a Current Ratio of 1.00. This is a bad value and indicates that BEN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 1.00, BEN perfoms like the industry average, outperforming 43.40% of the companies in the same industry.
A Quick Ratio of 1.00 indicates that BEN may have some problems paying its short term obligations.
BEN has a Quick ratio of 1.00. This is comparable to the rest of the industry: BEN outperforms 43.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The earnings per share for BEN have decreased by -7.50% 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 3.45% in the last year.
Measured over the past years, BEN shows a quite strong growth in Revenue. The Revenue has been growing by 9.52% on average per year.
EPS 1Y (TTM)-7.5%
EPS 3Y-15.2%
EPS 5Y2.11%
EPS Q2Q%13.56%
Revenue 1Y (TTM)3.45%
Revenue growth 3Y1.96%
Revenue growth 5Y9.52%
Sales Q2Q%5.74%
3.2 Future
The Earnings Per Share is expected to grow by 9.18% on average over the next years. This is quite good.
BEN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.81% yearly.
EPS Next Y13.95%
EPS Next 2Y12.48%
EPS Next 3Y11.6%
EPS Next 5Y9.18%
Revenue Next Year4.55%
Revenue Next 2Y5.08%
Revenue Next 3Y11.4%
Revenue Next 5Y5.81%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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. Valuation
4.1 Price/Earnings Ratio
BEN is valuated reasonably with a Price/Earnings ratio of 11.60.
65.11% of the companies in the same industry are more expensive than BEN, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of BEN to the average of the S&P500 Index (27.00), we can say BEN is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.18, the valuation of BEN can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BEN indicates a somewhat cheap valuation: BEN is cheaper than 74.47% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.70. BEN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.18 |
4.2 Price Multiples
BEN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BEN is cheaper than 83.83% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BEN is valued a bit cheaper than 68.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.72 | ||
| EV/EBITDA | 13.47 |
4.3 Compensation for Growth
BEN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.83
PEG (5Y)5.5
EPS Next 2Y12.48%
EPS Next 3Y11.6%
5. Dividend
5.1 Amount
BEN has a Yearly Dividend Yield of 5.53%, which is a nice return.
BEN's Dividend Yield is comparable with the industry average which is at 6.39.
Compared to an average S&P500 Dividend Yield of 1.94, BEN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
5.2 History
The dividend of BEN has a limited annual growth rate of 4.06%.
BEN has been paying a dividend for at least 10 years, so it has a reliable track record.
BEN has decreased its dividend recently.
Dividend Growth(5Y)4.06%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BEN pays out 144.97% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BEN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP144.97%
EPS Next 2Y12.48%
EPS Next 3Y11.6%
NYSE:BEN (1/9/2026, 9:40:07 AM)
25.75
+0.3 (+1.18%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners47.07%
Inst Owner Change0%
Ins Owners21.79%
Ins Owner Change0.44%
Market Cap13.41B
Revenue(TTM)8.77B
Net Income(TTM)471.60M
Analysts52.63
Price Target25.22 (-2.06%)
Short Float %9.42%
Short Ratio6.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
Yearly Dividend1.31
Dividend Growth(5Y)4.06%
DP144.97%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.65%
Min EPS beat(2)-1.74%
Max EPS beat(2)15.04%
EPS beat(4)2
Avg EPS beat(4)5.59%
Min EPS beat(4)-1.74%
Max EPS beat(4)15.04%
EPS beat(8)4
Avg EPS beat(8)4.04%
EPS beat(12)7
Avg EPS beat(12)6.52%
EPS beat(16)11
Avg EPS beat(16)8.76%
Revenue beat(2)1
Avg Revenue beat(2)1.48%
Min Revenue beat(2)-1.59%
Max Revenue beat(2)4.55%
Revenue beat(4)2
Avg Revenue beat(4)-0.3%
Min Revenue beat(4)-4.17%
Max Revenue beat(4)4.55%
Revenue beat(8)4
Avg Revenue beat(8)-0.42%
Revenue beat(12)8
Avg Revenue beat(12)2.98%
Revenue beat(16)9
Avg Revenue beat(16)2.09%
PT rev (1m)-0.37%
PT rev (3m)0.7%
EPS NQ rev (1m)-6.18%
EPS NQ rev (3m)-8.57%
EPS NY rev (1m)-0.38%
EPS NY rev (3m)-0.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.97%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.18 | ||
| P/S | 1.53 | ||
| P/FCF | 14.72 | ||
| P/OCF | 12.58 | ||
| P/B | 1.11 | ||
| P/tB | 7.86 | ||
| EV/EBITDA | 13.47 |
EPS(TTM)2.22
EY8.62%
EPS(NY)2.53
Fwd EY9.82%
FCF(TTM)1.75
FCFY6.8%
OCF(TTM)2.05
OCFY7.95%
SpS16.84
BVpS23.18
TBVpS3.27
PEG (NY)0.83
PEG (5Y)5.5
Graham Number34.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 3.9% | ||
| ROCE | 4.04% | ||
| ROIC | 2.9% | ||
| ROICexc | 3.34% | ||
| ROICexgc | 6.18% | ||
| OM | 12.54% | ||
| PM (TTM) | 5.38% | ||
| GM | 36.61% | ||
| FCFM | 10.39% |
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 | 0.98 | ||
| Debt/FCF | 13.49 | ||
| Debt/EBITDA | 7.25 | ||
| Cap/Depr | 29.05% | ||
| Cap/Sales | 1.76% | ||
| Interest Coverage | 1.28 | ||
| Cash Conversion | 65.34% | ||
| Profit Quality | 193.3% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 1.27 |
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)-7.5%
EPS 3Y-15.2%
EPS 5Y2.11%
EPS Q2Q%13.56%
EPS Next Y13.95%
EPS Next 2Y12.48%
EPS Next 3Y11.6%
EPS Next 5Y9.18%
Revenue 1Y (TTM)3.45%
Revenue growth 3Y1.96%
Revenue growth 5Y9.52%
Sales Q2Q%5.74%
Revenue Next Year4.55%
Revenue Next 2Y5.08%
Revenue Next 3Y11.4%
Revenue Next 5Y5.81%
EBIT growth 1Y-5.02%
EBIT growth 3Y-14.73%
EBIT growth 5Y0.95%
EBIT Next Year44.53%
EBIT Next 3Y15.67%
EBIT Next 5Y9.68%
FCF growth 1Y14.78%
FCF growth 3Y-21.25%
FCF growth 5Y-1.43%
OCF growth 1Y9.76%
OCF growth 3Y-18.32%
OCF growth 5Y-0.32%
FRANKLIN RESOURCES INC / BEN FAQ
What is the ChartMill fundamental rating of FRANKLIN RESOURCES INC (BEN) stock?
ChartMill assigns a fundamental rating of 3 / 10 to BEN.
What is the valuation status for BEN stock?
ChartMill assigns a valuation rating of 6 / 10 to FRANKLIN RESOURCES INC (BEN). This can be considered as Fairly Valued.
How profitable is FRANKLIN RESOURCES INC (BEN) stock?
FRANKLIN RESOURCES INC (BEN) has a profitability rating of 2 / 10.
What are the PE and PB ratios of FRANKLIN RESOURCES INC (BEN) stock?
The Price/Earnings (PE) ratio for FRANKLIN RESOURCES INC (BEN) is 11.6 and the Price/Book (PB) ratio is 1.11.
How financially healthy is FRANKLIN RESOURCES INC?
The financial health rating of FRANKLIN RESOURCES INC (BEN) is 2 / 10.