Franklin Resources (NYSE:BEN) Releases Earnings Results, Beats Expectations By $0.17 EPS

Franklin Resources (NYSE:BEN) posted its quarterly earnings data on Friday. The closed-end fund reported $0.94 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.77 by $0.17, FiscalAI reports. The company had revenue of $1.88 billion during the quarter, compared to analysts’ expectations of $1.86 billion. Franklin Resources had a return on equity of 11.55% and a net margin of 8.72%. Franklin Resources’s revenue was up 3.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.67 EPS.

Here are the key takeaways from Franklin Resources’ conference call:

• Franklin Templeton reported $84.1 billion in long-term net inflows for fiscal 2026, with positive flows in every quarter across regions and channels. Adjusted operating income rose 23% and adjusted operating margin expanded 350 basis points to 28%.
• Private-markets fundraising reached $43.2 billion for the year, and the company raised its fiscal 2029 fundraising target from $100 billion to $150 billion. Management cited demand across secondaries, private credit, real estate, and venture, while noting fiscal 2027 fundraising is expected to be around the mid-$30 billions.
• ETFs and Canvas both exceeded growth expectations: ETF AUM reached $84.6 billion and Canvas AUM reached $32.6 billion. Franklin Templeton more than doubled its fiscal 2029 targets to $200 billion for ETFs and $100 billion for Canvas.
• Management expects adjusted operating margin to reach approximately 30% in fiscal 2027 and raised its fiscal 2029 goal to 35%, citing growth, cost discipline, and operational efficiencies. The outlook assumes flat markets, and fiscal 2027 adjusted expenses are expected to be in line with or slightly above fiscal 2026.

Franklin Resources Price Performance

BEN stock traded up $1.63 during mid-day trading on Friday, reaching $33.84. 7,203,101 shares of the company’s stock were exchanged, compared to its average volume of 3,711,410. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.48 and a quick ratio of 1.48. Franklin Resources has a 12-month low of $21.10 and a 12-month high of $36.28. The stock’s 50 day moving average is $32.58 and its 200 day moving average is $30.38. The company has a market cap of $17.19 billion, a price-to-earnings ratio of 23.02, a price-to-earnings-growth ratio of 0.57 and a beta of 1.56.

Franklin Resources Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, October 9th. Shareholders of record on Wednesday, September 30th were given a $0.33 dividend. The ex-dividend date was Wednesday, September 30th. This represents a $1.32 dividend on an annualized basis and a dividend yield of 3.9%. Franklin Resources’s dividend payout ratio is 89.80%.

Analysts Set New Price Targets

Several research firms have recently commented on BEN. Keefe, Bruyette & Woods initiated coverage on Franklin Resources in a research report on Wednesday, September 9th. They issued a “hold” rating and a $38.00 price target for the company. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Franklin Resources in a research report on Monday, August 31st. JPMorgan Chase & Co. lifted their target price on Franklin Resources from $34.00 to $35.00 and gave the company a “neutral” rating in a research note on Monday, October 12th. Zacks Research downgraded shares of Franklin Resources from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 25th. Finally, Barclays reissued a “mixed” rating on shares of Franklin Resources in a research report on Wednesday, October 14th. Four investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Franklin Resources has a consensus rating of “Hold” and an average target price of $35.89.

Key Stories Impacting Franklin Resources

Here are the key news stories impacting Franklin Resources this week:

• Positive Sentiment: Adjusted earnings were $0.94 per share, above analyst expectations of roughly $0.77–$0.78 and up from $0.67 a year earlier. Revenue of $1.88 billion also topped estimates of $1.86 billion and increased 3.9% year over year. Article: Franklin Templeton Q4 Earnings and Revenues Beat Estimates
• Positive Sentiment: Reports attributed the results to higher revenue, year-over-year growth in assets under management, robust long-term net inflows and lower operating expenses—indicators that support earnings momentum. Article: Franklin Q4 Earnings Beat Estimates on Higher Revenues, AUM Rises Year Over Year

About Franklin Resources

Franklin Resources, Inc, operating under the Franklin Templeton name, is a global investment management organization headquartered in San Mateo, California. The company provides investment solutions to individuals, financial professionals, institutions, and other clients worldwide.

Its products and services include mutual funds, exchange-traded funds, separately managed accounts, institutional portfolios, and alternative investment strategies. Through its investment teams and specialist affiliates, Franklin Templeton offers capabilities across equities, fixed income, multi-asset strategies, private markets, real assets, and other areas of asset management.

Franklin Resources was founded in 1947 by Rupert H.