Key statistics

Is BEN a good stock to buy in 2026?

Franklin Resources, Inc. (BEN) presents a mixed financial picture as of April 29, 2026. While its P/E ratio of 18.78x is slightly below the sector average of 20x, suggesting a potentially fair valuation, the analyst consensus of $25 points to a negative 15.1% upside from the current price. Despite this, a discounted cash flow (DCF) analysis indicates that BEN stock might be undervalued, with a fair value of $32.81, an 11.4% potential upside, and a modest 22.2% of analysts rating it a ‘Buy’ or ‘Strong Buy’.

2026 BEN price scenarios

Based on analyst consensus of $25 from 27 analysts. Not a prediction by Alert Invest.

About Franklin Resources, Inc. (BEN)

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. The firm invests in the public equity, fixed income, and alternative markets. Franklin Resources, Inc. was founded in 1947 and is based in San Mateo, California with an additional office in Hyde

Under the leadership of CEO Jennifer Johnson, Franklin Resources, Inc. (BEN) operates with a global workforce of approximately 10,000 employees, solidifying its position as a major player in the asset management industry. Its distinctive strengths lie in its diverse investment offerings across equity, fixed income, and multi-asset solutions, coupled with a robust global distribution network. This breadth allows BEN to cater to a wide array of clients, from individual investors to large institutions, maintaining a significant footprint in the competitive financial services landscape.

BEN competitive moat and business analysis

Franklin Resources (BEN) maintains a notable competitive advantage, primarily stemming from its extensive history and established brand reputation in the asset management sector. While specific Return on Equity (ROE) and Return on Invested Capital (ROIC) figures are not available, its net margin of 8.99% indicates a decent level of profitability in its operations. The firm’s ability to attract and retain client assets, even in challenging market environments, speaks to the strength of its investment solutions and client relationships.

Although detailed segment and geographic revenue breakdowns for Fiscal Year 2025 are not explicitly provided in the data, as a diversified asset manager, Franklin Resources typically generates revenue from various investment strategies, including equity, fixed income, and alternative assets. Geographically, its operations span North America, Europe, Asia, and other key international markets, allowing for a broad client base and diversification of revenue streams. This global reach is crucial for an asset manager of BEN’s scale, mitigating risks associated with reliance on any single market.

The company’s revenue growth of +3.5% year-over-year suggests a moderate, though not rapid, expansion of its business. Maintaining a strong competitive moat in asset management increasingly relies on technological innovation, personalized client solutions, and the ability to navigate evolving regulatory landscapes. Without a recent transcript quote, it’s hard to gauge specific management commentary on future moat strengthening strategies, but continuous investment in these areas will be key for BEN to sustain and grow its market share against formidable competitors in the financial services industry.

When evaluating the BEN stock and its moat, it’s essential to compare it against peers like AMG, AMP, and ARCC. Each operates within the broader financial services sector, but with distinct business models. AMG (Affiliated Managers Group) focuses on equity stakes in boutique investment firms, while AMP (Ameriprise Financial) offers a more diversified suite of financial planning and asset management services. ARCC (Ares Capital Corporation) is a business development company focused on direct lending. Understanding these differences helps to appreciate BEN’s specific position in the asset management landscape. For a deeper dive, consider a direct comparison: BEN vs AMG | BEN vs AMP | BEN vs ARCC.

Franklin Resources, Inc. analyst rating

Based on 27 analysts. 22.2% rate BEN Buy or Strong Buy.

With 22.2% of analysts rating BEN stock as a ‘Buy’ or ‘Strong Buy,’ this is a relatively conservative stance compared to some other sectors, where a higher percentage of buy ratings might be common for growth stocks. In the often-mature and competitive financial services industry, a ‘Hold’ consensus, as seen for Franklin Resources, is not uncommon, reflecting cautious optimism rather than aggressive bullishness.

Is BEN undervalued or overvalued?

Analyzing BEN valuation, the company’s P/E ratio of 18.78x appears slightly more attractive than the sector average of 20x for Asset Management, suggesting that BEN stock might be trading at a relative discount. This relative undervaluation on a P/E basis could catch the eye of value investors. Furthermore, a Discounted Cash Flow (DCF) model indicates a fair value of $32.81, representing an 11.4% upside from the current price, which aligns with the idea that BEN stock could be currently undervalued based on its future cash flow potential.

Beyond P/E, Franklin Resources’ P/B ratio of 1.26x and P/S ratio of 1.7x also point towards a potentially cheap valuation when considered against industry benchmarks. While analyst targets suggest a negative upside, the intrinsic value derived from the DCF model provides a counter-narrative, highlighting a possible disconnect between market sentiment and fundamental value. Investors considering if BEN is a good stock should weigh these various valuation metrics carefully.

BEN financial health & key metrics

For value investors, the financial health of BEN stock presents a compelling mix. Its P/E ratio of 18.78x is slightly below the sector average, suggesting a reasonable entry point. The extremely low Debt/Equity ratio of 0.08x highlights a very strong balance sheet, indicating low financial risk. A robust Free Cash Flow (FCF) yield of 6.11% further underscores its financial strength and ability to generate cash. While revenue growth at 3.5% is modest and profitability metrics like net margin at 8.99% are average, the significant undervaluation indicated by the DCF fair value of $32.81 suggests that BEN could be a good stock for those seeking a margin of safety and long-term potential in the asset management space.

Franklin Resources, Inc. earnings history & next report

Franklin Resources, Inc. reported EPS of $0.71, beating estimates by 29.09%. Next earnings: 2026-08-07 with EPS estimate of $0.61.

When Franklin Resources reports its next earnings on August 7, 2026, investors will be keenly watching several key metrics. The estimated EPS of $0.61 will be a crucial figure, especially after the company’s significant beat in the previous quarter. Beyond the headline EPS, attention should be paid to Assets Under Management (AUM) trends, net client flows, and any updates on strategic initiatives or acquisitions, as these drive future revenue and profitability for BEN stock. Commentary on market conditions and the outlook for the asset management industry will also provide valuable insights into the company’s trajectory.

BEN daily short volume

Short volume data from FINRA CNMS Consolidated — shares sold short in the most recent US trading session. A high short ratio can signal bearish conviction or a potential short squeeze. Updated every trading day.

BEN insider trading activity

Corporate insiders must report trades to the SEC within two business days.

Source: SEC Form 4 via EDGAR · Data: Financial Modeling Prep · Not investment advice

Recent BEN analyst rating changes

Franklin Resources, Inc. stock news today

How does BEN compare to its peers?

For investors exploring alternatives or looking to diversify within the Financial Services sector, understanding how Franklin Resources (BEN) stacks up against its industry peers is crucial. While BEN focuses heavily on traditional asset management, other companies offer different exposures or business models within the broad financial landscape. Examining these alternatives can help in assessing if BEN is a good stock relative to other opportunities.

FAQ — Franklin Resources, Inc. (BEN) stock