Franklin Resources (NYSE:BEN) Sets New 1-Year Low – Should You Sell?

Franklin Resources, Inc. (NYSE:BEN)’s stock price hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $18.74 and last traded at $19.14, with a volume of 2057283 shares traded. The stock had previously closed at $18.96.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the company. Wells Fargo & Company lifted their price target on Franklin Resources from $20.50 to $24.00 and gave the company an “equal weight” rating in a research report on Monday, February 3rd. The Goldman Sachs Group raised shares of Franklin Resources from a “sell” rating to a “neutral” rating and upped their target price for the stock from $21.00 to $22.00 in a research report on Monday, January 6th. JPMorgan Chase & Co. lowered their price target on shares of Franklin Resources from $21.00 to $19.00 and set a “neutral” rating for the company in a research report on Thursday, January 16th. Keefe, Bruyette & Woods upped their price objective on shares of Franklin Resources from $19.00 to $21.00 and gave the stock an “underperform” rating in a report on Monday, February 3rd. Finally, Barclays lifted their target price on shares of Franklin Resources from $19.00 to $22.00 and gave the company an “underweight” rating in a report on Monday, February 3rd. Four research analysts have rated the stock with a sell rating and eight have assigned a hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $20.86.

Franklin Resources Price Performance

The firm has a market cap of $10.17 billion, a PE ratio of 29.79, a PEG ratio of 2.31 and a beta of 1.42. The firm has a fifty day simple moving average of $20.13 and a two-hundred day simple moving average of $20.57. The company has a debt-to-equity ratio of 0.89, a quick ratio of 1.66 and a current ratio of 1.66.

Franklin Resources (NYSE:BEN) last posted its earnings results on Friday, January 31st. The closed-end fund reported $0.59 earnings per share for the quarter, beating analysts’ consensus estimates of $0.56 by $0.03. Franklin Resources had a net margin of 4.32% and a return on equity of 9.45%. During the same period last year, the firm earned $0.65 earnings per share. Equities analysts predict that Franklin Resources, Inc. will post 2.16 EPS for the current fiscal year.

Franklin Resources Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, April 11th. Stockholders of record on Monday, March 31st will be given a dividend of $0.32 per share. This represents a $1.28 annualized dividend and a dividend yield of 6.61%. The ex-dividend date is Monday, March 31st. Franklin Resources’s dividend payout ratio is 196.92%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Xponance Inc. lifted its stake in shares of Franklin Resources by 1.2% in the 4th quarter. Xponance Inc. now owns 43,687 shares of the closed-end fund’s stock valued at $886,000 after purchasing an additional 497 shares during the last quarter. Smartleaf Asset Management LLC lifted its position in Franklin Resources by 44.5% in the fourth quarter. Smartleaf Asset Management LLC now owns 1,641 shares of the closed-end fund’s stock worth $33,000 after buying an additional 505 shares during the last quarter. Bessemer Group Inc. boosted its stake in Franklin Resources by 6.2% during the fourth quarter. Bessemer Group Inc. now owns 8,789 shares of the closed-end fund’s stock worth $177,000 after buying an additional 510 shares during the period. Hardy Reed LLC increased its position in Franklin Resources by 3.7% during the fourth quarter. Hardy Reed LLC now owns 16,721 shares of the closed-end fund’s stock valued at $339,000 after acquiring an additional 591 shares during the last quarter. Finally, Anchor Investment Management LLC raised its stake in shares of Franklin Resources by 30.2% in the third quarter. Anchor Investment Management LLC now owns 2,604 shares of the closed-end fund’s stock valued at $52,000 after acquiring an additional 604 shares during the period. Hedge funds and other institutional investors own 47.56% of the company’s stock.

About Franklin Resources

Franklin Resources, Inc is a publicly owned asset management holding company. Through its subsidiaries, the firm provides its services to individuals, institutions, pension plans, trusts, and partnerships. It launches equity, fixed income, balanced, and multi-asset mutual funds through its subsidiaries.