Franklin Resources, Inc. (BEN) Stock Grade

About Franklin Resources, Inc.'s fundamentals

Franklin Resources is a $11.9 billion asset management firm with modest revenue growth of 3.5% year-over-year and a net profit margin of 6.0%, indicating relatively thin profitability typical of the industry. The company trades at a P/E ratio of 22.7 while generating a return on equity of just 4.3%, suggesting shareholders earn limited returns on invested capital despite a valuation that sits above historical averages. The 5.8% dividend yield provides meaningful income for investors, though this elevated payout partly reflects the company's modest earnings growth and capital efficiency challenges.