Dimensional Fund Advisors LP Raises Stock Position in Franklin Resources, Inc. $BEN

Key Points

• Dimensional Fund Advisors raised its stake in Franklin Resources by 5.8% in Q3 to 10,065,908 shares—about 1.94% ownership worth roughly $232.8 million.
• Franklin Resources declared a quarterly dividend of $0.33 (annualized $1.32), implying a 5.0% yield with a payout ratio of 122.2%; record date Mar 31 and payable Apr 10.
• The company reported Q4 EPS of $0.70 (ahead of the $0.55 estimate) but revenue missed at $1.75 billion versus $2.23 billion consensus, and analysts hold a consensus "Reduce" rating with an average price target of $25.89.

Dimensional Fund Advisors LP boosted its stake in shares of Franklin Resources, Inc. (NYSE:BEN - Free Report) by 5.8% in the third quarter, according to its most recent disclosure with the SEC. The firm owned 10,065,908 shares of the closed-end fund's stock after acquiring an additional 553,184 shares during the period. Dimensional Fund Advisors LP owned about 1.94% of Franklin Resources worth $232,833,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in BEN. Capital A Wealth Management LLC grew its position in shares of Franklin Resources by 3,869.2% in the second quarter. Capital A Wealth Management LLC now owns 1,032 shares of the closed-end fund's stock valued at $25,000 after purchasing an additional 1,006 shares during the period. Root Financial Partners LLC acquired a new position in shares of Franklin Resources during the 3rd quarter worth about $25,000. Total Investment Management Inc. purchased a new position in Franklin Resources in the 2nd quarter valued at about $27,000. Consultiva Wealth Management CORP. lifted its stake in Franklin Resources by 177.1% in the 2nd quarter. Consultiva Wealth Management CORP. now owns 1,283 shares of the closed-end fund's stock valued at $31,000 after buying an additional 820 shares in the last quarter. Finally, EverSource Wealth Advisors LLC boosted its holdings in Franklin Resources by 129.1% in the 3rd quarter. EverSource Wealth Advisors LLC now owns 1,313 shares of the closed-end fund's stock worth $30,000 after buying an additional 740 shares during the last quarter. 47.56% of the stock is owned by hedge funds and other institutional investors.

Franklin Resources Stock Performance

NYSE BEN opened at $26.26 on Friday. The company has a debt-to-equity ratio of 1.01, a quick ratio of 1.86 and a current ratio of 1.86. The stock's fifty day moving average is $26.21 and its two-hundred day moving average is $24.43. The firm has a market capitalization of $13.68 billion, a P/E ratio of 24.31, a price-to-earnings-growth ratio of 0.82 and a beta of 1.46. Franklin Resources, Inc. has a fifty-two week low of $16.25 and a fifty-two week high of $28.32.

Franklin Resources (NYSE:BEN - Get Free Report) last issued its earnings results on Friday, January 30th. The closed-end fund reported $0.70 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.55 by $0.15. Franklin Resources had a return on equity of 9.58% and a net margin of 6.97%.The business had revenue of $1.75 billion during the quarter, compared to the consensus estimate of $2.23 billion. During the same period last year, the company earned $0.59 EPS. The company's revenue for the quarter was up 3.4% on a year-over-year basis. On average, research analysts anticipate that Franklin Resources, Inc. will post 2.16 earnings per share for the current year.

Franklin Resources Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, April 10th. Investors of record on Tuesday, March 31st will be issued a $0.33 dividend. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $1.32 dividend on an annualized basis and a dividend yield of 5.0%. Franklin Resources's dividend payout ratio is currently 122.22%.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on BEN shares. Barclays boosted their price objective on Franklin Resources from $22.00 to $25.00 and gave the stock an "underweight" rating in a research note on Thursday, January 15th. Morgan Stanley lifted their price target on Franklin Resources from $21.00 to $22.00 and gave the stock an "underweight" rating in a research note on Tuesday, February 3rd. Evercore boosted their price target on Franklin Resources from $26.00 to $28.00 and gave the stock an "underperform" rating in a research report on Monday, February 2nd. Wall Street Zen raised Franklin Resources from a "hold" rating to a "buy" rating in a research note on Saturday, January 31st. Finally, TD Cowen restated a "hold" rating on shares of Franklin Resources in a report on Monday, February 2nd. Two research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Reduce" and an average price target of $25.89.

About Franklin Resources

Franklin Resources, Inc, doing business as Franklin Templeton, is a global investment management organization that offers a wide range of asset management solutions to institutional and individual investors. The firm's core focus is on delivering active portfolio management across equities, fixed income, multi-asset strategies and alternative investments. Franklin Templeton's product lineup includes mutual funds, exchange-traded funds (ETFs), closed-end funds, separately managed accounts and sub-advisory services designed to meet varying risk-return objectives and income needs.

Founded in 1947 by Rupert H.

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