FRANKLIN RESOURCES INC (BEN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BEN - US3546131018 - Common Stock
25.63 USD
+0.35 (+1.38%)
24.86 USD
-0.77 (-3%)
Overall BEN gets a fundamental rating of 3 out of 10. We evaluated BEN against 235 industry peers in the Capital Markets industry. BEN has a bad profitability rating. Also its financial health evaluation is rather negative. BEN is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- BEN had positive earnings in the past year.
- In the past year BEN had a positive cash flow from operations.
- Each year in the past 5 years BEN has been profitable.
- BEN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 1.46%, BEN is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- Looking at the Return On Equity, with a value of 3.90%, BEN is doing worse than 64.68% of the companies in the same industry.
- BEN has a Return On Invested Capital (2.90%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for BEN is below the industry average of 7.17%.
| 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 Profit Margin of 5.38%. This is in the lower half of the industry: BEN underperforms 67.66% of its industry peers.
- BEN's Profit Margin has declined in the last couple of years.
- BEN has a worse Operating Margin (12.54%) than 63.40% of its industry peers.
- In the last couple of years the Operating Margin of BEN has declined.
- BEN's Gross Margin of 36.61% is on the low side compared to the rest of the industry. BEN is outperformed by 62.98% of its industry peers.
| 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
- Compared to 1 year ago, BEN has less shares outstanding
- Compared to 5 years ago, BEN has more shares outstanding
- BEN has a worse debt/assets ratio than last year.
2.2 Solvency
- BEN has an Altman-Z score of 1.27. This is a bad value and indicates that BEN is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.27, BEN is in the better half of the industry, outperforming 62.13% of the companies in the same industry.
- 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.
- BEN has a Debt/Equity ratio of 0.98. This is a neutral value indicating BEN is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.98, BEN perfoms like the industry average, outperforming 52.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 13.49 | ||
| Altman-Z | 1.27 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- A Current Ratio of 1.00 indicates that BEN may have some problems paying its short term obligations.
- BEN has a Current ratio of 1.00. This is comparable to the rest of the industry: BEN outperforms 44.26% of its industry peers.
- BEN has a Quick 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.
- BEN has a Quick ratio of 1.00. This is comparable to the rest of the industry: BEN outperforms 44.68% 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.
- BEN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.11% yearly.
- The Revenue has been growing slightly by 3.45% in the past 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)-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.
- The Revenue is expected to grow by 5.81% on average over the next years.
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
- 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. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 11.55, the valuation of BEN can be described as very reasonable.
- BEN's Price/Earnings ratio is a bit cheaper when compared to the industry. BEN is cheaper than 66.81% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.33, BEN is valued rather cheaply.
- With a Price/Forward Earnings ratio of 10.13, 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 74.04% of the companies listed in the same industry.
- BEN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.55 | ||
| Fwd PE | 10.13 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, BEN is valued cheaply inside the industry as 84.68% of the companies are valued more expensively.
- 68.51% 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 | 14.65 | ||
| EV/EBITDA | 13.42 |
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)5.47
EPS Next 2Y12.48%
EPS Next 3Y11.6%
5. Dividend
5.1 Amount
- BEN has a Yearly Dividend Yield of 5.19%, which is a nice return.
- Compared to an average industry Dividend Yield of 6.19, BEN has a dividend in line with its industry peers.
- BEN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.19% |
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.
- 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%
25.63
+0.35 (+1.38%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)11-07 2025-11-07/bmo
Earnings (Next)01-30 2026-01-30/bmo
Inst Owners47.07%
Inst Owner Change0.03%
Ins Owners21.79%
Ins Owner Change0.44%
Market Cap13.35B
Revenue(TTM)8.77B
Net Income(TTM)471.60M
Analysts52.63
Price Target25.22 (-1.6%)
Short Float %9.42%
Short Ratio6.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.19% |
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 | 11.55 | ||
| Fwd PE | 10.13 | ||
| P/S | 1.52 | ||
| P/FCF | 14.65 | ||
| P/OCF | 12.52 | ||
| P/B | 1.11 | ||
| P/tB | 7.83 | ||
| EV/EBITDA | 13.42 |
EPS(TTM)2.22
EY8.66%
EPS(NY)2.53
Fwd EY9.87%
FCF(TTM)1.75
FCFY6.83%
OCF(TTM)2.05
OCFY7.98%
SpS16.84
BVpS23.18
TBVpS3.27
PEG (NY)0.83
PEG (5Y)5.47
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 11.55 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.