Franklin Resources (BEN) came out with quarterly earnings of $0.49 per share, beating the Zacks Consensus Estimate of $0.48 per share. This compares to earnings of $0.6 per share a year ago.
BEN's Q3 earnings are expected to drop 20% as lower fees and AUM outflows offset fixed-income market gains.
Franklin Resources (BEN) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
KRP, NXRT and BEN made it to the Zacks Rank #1 (Strong Buy) income stocks list on July 23, 2025.
Insiders are pouncing on these three Dividend Aristocrat stocks. All three stocks are at distressed valuations, with many investors seeing a turnaround.
Victory Capital and Franklin Resources both grow through acquisitions, but one is still scaling while the other is working to reposition its mature platform. Victory has maintained strong margins above 50% and is expanding via ETFs and the Pioneer acquisition, but organic flows remain a concern. Franklin's AUM is 5x larger, but it faces continued outflows from legacy funds. Its future growth depends on scaling alternatives and converting its $20B pipeline.
BEN's AUM rose to $1.61T in June, up 2.1% from May, as positive markets offset $1B in net long-term outflows.
BEN is set to expand its alternatives platform with a majority stake in Apera, boosting global credit AUM to $87 billion.
BEN's AUM rose to $1.57 trillion in May, driven by positive markets and net inflows despite outflows at Western Asset.
BEN gains 6.2% in three months on AUM growth and acquisitions, but rising costs and fee volatility keep the stock in hold territory.
Many investors are de-risking their portfolios and moving their gains into dividend stocks.
Franklin Resources offers a significant risk premium over Treasuries, with a potential 39%-82% higher cash return if dividends grow modestly. Despite a "meh" financial performance, Franklin Resources' balance sheet is strong, securing the dividend for the intermediate term. Compared to a 4.4% 10-Year Treasury Note, Franklin Resources shares are attractively priced, making it a rare find in the current market.