Decoding 4 Analyst Evaluations For Franklin Resources

Ratings for Franklin Resources BEN were provided by 4 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Franklin Resources and provided 12-month price targets. The average target is $24.0, accompanied by a high estimate of $26.00 and a low estimate of $23.00. A 6.32% drop is evident in the current average compared to the previous average price target of $25.62.

Analyzing Analyst Ratings: A Detailed Breakdown

In examining recent analyst actions, we gain insights into how financial experts perceive Franklin Resources. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Franklin Resources. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Franklin Resources compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Franklin Resources's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Franklin Resources's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Franklin Resources analyst ratings.

About Franklin Resources

Franklin Resources provides investment services for individual and institutional investors. At the end of April 2024, Franklin had $1.602 trillion in managed assets, composed primarily of equity (35%), fixed-income (35%), multi-asset/balanced (10%) funds, alternatives (16%) and money market funds (4%). Distribution tends to be weighted equally between retail investors (52% of AUM) and institutional accounts (46%), with high-net-worth clients accounting for the remainder. Franklin is one of the more global of the US-based asset managers we cover, with more than a third of its assets under management invested in global/international strategies and 30% of managed assets sourced from clients domiciled outside the United States.

Franklin Resources: Delving into Financials

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Franklin Resources's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 11.71%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: Franklin Resources's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 5.43%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Franklin Resources's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 0.94%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Franklin Resources's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 0.37%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Franklin Resources's debt-to-equity ratio is below the industry average at 1.02, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding the Relevance of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.