Upside case
Bull case
$196+543.1%
BEN would need investors to value it at roughly 72x earnings — about 61x more generous than today's 11x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewHoldUpdated May 1, 2026
Franklin Resources, Inc. (BEN) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
27
analysts
6 bullish · 6 bearish · 27 covering BEN
Strong Buy
0
Buy
6
Hold
15
Sell
6
Strong Sell
0
Consensus Target
$29
-5.6% vs today
Scenario Range
$22 – $196
Model bear to bull value window
Coverage
27
Published analyst ratings
Valuation Context
11.2x
Forward P/E · Market cap $15.8B
BEN price targets
Three scenarios for where BEN stock could go
Current
~$30
Confidence
45 / 100
Updated
May 1, 2026
Where we are now
Current · $30
Bear
$22
Base
$58
Bull
$196
Market caseClosest to today
Base case
$58+91.8%
At 21x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$22-29.3%
If investor confidence fades or macro conditions deteriorate, a 3x multiple contraction could push BEN down roughly 29% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Franklin Resources, Inc.
BEN · NYSEFinancial ServicesAsset ManagementSeptember year-end
Franklin Resources is a global asset management firm that offers investment management services to individuals and institutions through mutual funds, ETFs, and separate accounts. It generates revenue primarily through investment management fees — typically a percentage of assets under management — with additional income from distribution and shareholder servicing fees. The company's competitive advantage lies in its global scale, established brand recognition across multiple markets, and diversified product offerings spanning traditional and alternative investments.
Market Cap
$15.8B
Net Income TTM
$812M
BEN Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
75%Exceptional
12 quarters tracked
Revenue Beat Rate
83%Exceptional
vs consensus estimates
Avg EPS Surprise
+11.6%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 4 of 4Q3 2025
EPS
$0.49/$0.48
Revenue
$2.1B/$2.4B
Q4 2025
EPS
$0.67/$0.58
Revenue
$2.3B/$1.7B
Q1 2026
EPS
$0.70/$0.55
Revenue
$1.7B/$1.7B
Q2 2026
EPS
$0.71/$0.55
Revenue
$1.8B/$1.7B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $0.49/$0.48 | +1.5% | $2.1B/$2.4B | -13.4% |
| Q4 2025 | $0.67/$0.58 | +16.1% | $2.3B/$1.7B | +36.6% |
| Q1 2026 | $0.70/$0.55 | +27.3% | $1.7B/$1.7B | +2.1% |
| Q2 2026 | $0.71/$0.55 | +29.1% | $1.8B/$1.7B | +2.9% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$8.7B
-1.3% YoY
FY2
$9.1B
+4.8% YoY
EPS Outlook
FY1
$1.80
+14.8% YoY
FY2
$1.75
-2.9% YoY
Trailing FCF (TTM)$938M
Next Earnings
—
Expected EPS
—
Expected Revenue
—
BEN beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
BEN Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $8.8B
Product Mix
Latest annual revenue by segment or product family
Investment Advisory, Management and Administrative Service
79.6%
+2.3% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
UNITED STATES
75.4%
+4.0% YoY
Tap, hover, or focus a slice to inspect segment detail.
Investment Advisory, Management and Administrative Service is the largest disclosed segment at 79.6% of FY 2025 revenue, up 2.3% YoY.
UNITED STATES is the largest reported region at 75.4%, up 4.0% YoY.
BEN Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Slightly Overvalued
Fair value est. $28 — implies -6.0% from today's price.
Premium to Fair Value
6.0%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
BEN
33.5x
vs
S&P 500
25.1x
+33% premium
vs Financial Services Trailing P/E
BEN
33.5x
vs
Financial Services
13.3x
+151% premium
vs BEN 5Y Avg P/E
Today
33.5x
vs
5Y Average
16.0x
+109% premium
Forward PE
11.2x
S&P 500
19.1x
-41%
Financial Services
10.4x
+8%
5Y Avg
—
—
Trailing PE
33.5x
S&P 500
25.1x
+33%
Financial Services
13.3x
+151%
5Y Avg
16.0x
+109%
PEG Ratio
—
S&P 500
1.72x
—
Financial Services
1.01x
—
5Y Avg
—
—
EV/EBITDA
22.5x
S&P 500
15.2x
+48%
Financial Services
11.4x
+97%
5Y Avg
13.7x
+64%
Price/FCF
17.4x
S&P 500
21.1x
-18%
Financial Services
10.6x
+65%
5Y Avg
11.4x
+52%
Price/Sales
1.8x
S&P 500
3.1x
-42%
Financial Services
2.2x
-19%
5Y Avg
1.4x
+27%
Dividend Yield
4.35%
S&P 500
1.87%
+133%
Financial Services
2.70%
+62%
5Y Avg
5.31%
-18%
| Metric | BEN | S&P 500 | Financial Services | 5Y Avg BEN |
|---|---|---|---|---|
| Forward PE | 11.2x | 19.1x-41% | 10.4x | — |
| Trailing PE | 33.5x | 25.1x+33% | 13.3x+151% | 16.0x+109% |
| PEG Ratio | — | 1.72x | 1.01x | — |
| EV/EBITDA | 22.5x | 15.2x+48% | 11.4x+97% | 13.7x+64% |
| Price/FCF | 17.4x | 21.1x-18% | 10.6x+65% | 11.4x+52% |
| Price/Sales | 1.8x | 3.1x-42% | 2.2x-19% | 1.4x+27% |
| Dividend Yield | 4.35% | 1.87% | 2.70% | 5.31% |
BEN trades above S&P 500 benchmarks on 2 of 5 measured multiples — is elevated on some multiples, but competitive on others — a mixed valuation picture.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolBEN Financial Health
Verdict
Stressed
BEN generates 5.6% ROE and 2.5% return on assets — the two primary signals for banking profitability. FCF-based metrics are not applicable to financial companies.
Earnings Engine
Revenue, profitability, and return on capital
Revenue (TTM)
Trailing-twelve-month sales base
—
Revenue Growth
TTM vs prior year
—
Operating Margin
Operating income divided by revenue
—
Net Margin
Net income divided by revenue
—
EPS (TTM)
Diluted earnings per share, trailing twelve months
$1.57
ROE
Return on equity — the primary profitability signal for banks
5.6%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
1.6%
ROA
Return on assets, trailing twelve months
2.5%
Cash & Equivalents
Liquid assets on the balance sheet
$3.6B
Net Debt
Total debt minus cash
$9.7B
FCF Analysis
Traditional FCF and debt/FCF ratios are not meaningful for financial companies. Focus on ROE and ROA above.
ROE
Return on equity — the headline bank profitability metric
5.6%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
5.9%
Dividend
4.4%
Buyback
1.5%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$240M
Dividend / Share
Annualized trailing dividend per share
$1.33
Payout Ratio
Share of earnings distributed as dividends
130.3%
Shares Outstanding
Declining as buybacks retire shares
520M
All figures from the trailing twelve months. For financial companies, ROE and ROA are the primary health signals — FCF-based metrics are not applicable.
Open full ratios pageBEN Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
High Risk
Valuation Risks
Franklin Resources (BEN) is currently estimated to be approximately 30.3% overvalued according to its GF Value™, which raises concerns about potential price corrections. This overvaluation could lead to significant financial losses for investors if market sentiment shifts.
High Risk
Client Acquisition Challenges
The company faces significant difficulties in attracting new clients, particularly younger investors who are increasingly favoring innovative investment solutions. This trend could lead to persistent revenue declines and negatively impact profitability.
High Risk
Ongoing Legal Challenges
Franklin Resources is currently dealing with ongoing legal challenges, particularly involving its subsidiary Western Asset Management. These legal issues could result in substantial financial liabilities and reputational damage, affecting investor confidence.
Medium
Dividend Security
While the dividend yield appears attractive, it is at risk as dividends have exceeded GAAP earnings, indicating potential unsustainability. Additionally, long-term EPS growth is minimal, raising concerns about future dividend payments.
Medium
Fee Compression
The asset management industry is experiencing ongoing fee compression, which is negatively impacting assets under management and earnings. This trend could further erode Franklin Resources' profitability and market position.
Medium
Dependence on Traditional Revenue Streams
Franklin Resources relies heavily on traditional investment management fees, which are under pressure from the growing popularity of lower-cost index funds and ETFs. This shift in investor preference poses a risk to future revenue growth.
Lower
Acquisition Risks
While acquisitions like Apera Asset Management offer growth potential, there is no guarantee of success for every deal. Failed acquisitions can consume profits and divert resources away from core operations.
Lower
Technological Adaptation Risks
Failure to innovate and adapt to technological advancements, such as AI and tokenization, could lead to a decline in profitability for Franklin Resources. The inability to keep pace with industry changes may hinder competitive positioning.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why BEN Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
Private Markets and Alternatives
Franklin Resources anticipates continued strength in private markets fundraising, particularly in private credit and secondary private equity. They aim for annual fundraising above their $25–30 billion target, driven by new fund launches and a strong institutional pipeline.
Technology-Enabled Solutions
The company is investing in AI and technology to scale client solutions, including its Canvas platform for custom indexing and tax-efficient investments. This platform has already seen significant growth in assets under management (AUM).
ETF Platform Momentum
Franklin Resources' ETF assets under management have grown substantially, with active ETFs forming a significant portion of the platform. They plan to expand ETF offerings and expect continued momentum in various ETF strategies.
Revenue and Profit Growth
Recent Q1 CY2026 results exceeded revenue and non-GAAP profit expectations, with year-on-year sales growth and a significant beat on adjusted EPS. Management projects investment management fee revenue to increase at a faster rate than expense growth.
Margin Expansion
The company is focused on disciplined expense management, which, combined with revenue growth, is expected to lead to margin expansion.
Strong Inflows
Franklin Resources has experienced robust long-term net inflows across various asset classes and geographies, indicating strong client demand.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
BEN Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$30.46
52W Range Position
99%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$19.79
+53.9% from the low
52-Week High
$30.52
-0.2% from the high
1 Month
+30.17%
3 Month
+13.19%
YTD
+28.0%
1 Year
+52.2%
3Y CAGR
+6.0%
5Y CAGR
-2.0%
10Y CAGR
-1.6%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
BEN vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
11.2x
vs 9.5x median
+18% above peer median
Revenue Growth
-1.3%
vs +2.9% median
-145% below peer median
Net Margin
—
vs — median
Peer median unavailable
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
BEN BEN Franklin Resources, Inc. | $15.8B | 11.2x | -1.3% | — | Hold | -5.6% |
IVZ IVZ Invesco Ltd. | $11.9B | 10.4x | -0.6% | — | Hold | +10.8% |
TRO TROW T. Rowe Price Group, Inc. | $22.7B | 11.3x | +2.9% | — | Hold | -2.8% |
AMG AMG Affiliated Managers Group, Inc. | $8.1B | 9.2x | +15.4% | — | Buy | +9.2% |
VRT VRTS Virtus Investment Partners, Inc. | $959M | 5.6x | -8.6% | — | Hold | +13.8% |
DHI DHIL Diamond Hill Investment Group, Inc. | $473M | 9.5x | +20.5% | — | — | — |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
BEN Dividend and Capital Return
BEN returns 5.9% total yield, led by a 4.35% dividend, raised 6 consecutive years. Buybacks add another 1.5%.
Dividend SustainableFCF Adequate
Total Shareholder Yield
5.9%
Dividend + buyback return per year
Buyback Yield
1.5%
Dividend Yield
4.35%
Payout Ratio
1.3%
How BEN Splits Its Return
Div 4.35%
Buyback 1.5%
Dividend 4.35%Buybacks 1.5%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$1.33
Growth Streak
Consecutive years of dividend increases
6Y
3Y Div CAGR
3.3%
5Y Div CAGR
3.4%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$240M
Estimated Shares Retired
8M
Approx. Share Reduction
1.5%
Shares Outstanding
Current diluted share count from the screening snapshot
520M
At 1.5%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $0.33 | — | — | — |
| 2025 | $1.29 | -17.3% | 2.0% | 7.8% |
| 2024 | $1.56 | +73.3% | 2.7% | 9.1% |
| 2023 | $0.90 | -23.1% | 2.1% | 7.2% |
| 2022 | $1.17 | +3.5% | 1.7% | 7.3% |
FAQ
7 questionsBEN Investor Questions
Common questions answered from live analyst data and company financials.
01Is Franklin Resources, Inc. (BEN) stock a buy or sell in 2026?
Franklin Resources, Inc. (BEN) is rated Hold by Wall Street analysts as of 2026. Of 27 analysts covering the stock, 6 rate it Buy or Strong Buy, 15 rate it Hold, and 6 rate it Sell or Strong Sell. The consensus 12-month price target is $29, implying -5.6% from the current price of $30. The bear case scenario is $22 and the bull case is $196.
02What is the BEN stock price target for 2026?
The Wall Street consensus price target for BEN is $29 based on 27 analyst estimates. The high-end target is $34 (+11.6% from today), and the low-end target is $22 (-27.8%). The base case model target is $58.
03Is Franklin Resources, Inc. (BEN) stock overvalued in 2026?
BEN trades at 11.2x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals slightly overvalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Franklin Resources, Inc. (BEN) stock in 2026?
The primary risks for BEN in 2026 are: (1) Valuation Risks — Franklin Resources (BEN) is currently estimated to be approximately 30. (2) Client Acquisition Challenges — The company faces significant difficulties in attracting new clients, particularly younger investors who are increasingly favoring innovative investment solutions. (3) Ongoing Legal Challenges — Franklin Resources is currently dealing with ongoing legal challenges, particularly involving its subsidiary Western Asset Management. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Franklin Resources, Inc.'s revenue and earnings forecast?
Analyst consensus estimates BEN will report consensus revenue of $8.7B (-1.3% year-over-year) and EPS of $1.80 (+14.8% year-over-year) for the upcoming fiscal year. The following year, analysts project $9.1B in revenue.
06When does Franklin Resources, Inc. (BEN) report its next earnings?
A confirmed upcoming earnings date for BEN is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
07How much free cash flow does Franklin Resources, Inc. generate?
Franklin Resources, Inc. (BEN) generated $938M in free cash flow over the trailing twelve months. BEN returns capital to shareholders through dividends (4.4% yield) and share repurchases ($240M TTM).