Franklin Resources, Inc (NYSE: BEN) has seen a decline in its stock price by -2.01 in relation to its previous close of 20.41. However, the company has experienced a -3.19% decline in its stock price over the last five trading sessions. 247wallst.com reported 2025-01-06 that The Federal Reserve’s 25 basis points rate cut at the end of October 2024 took interest rates below 5% for the first time since March 2023, and another rate a few weeks ago puts it as 4.5% as of writing.
Is It Worth Investing in Franklin Resources, Inc (NYSE: BEN) Right Now?
Franklin Resources, Inc (NYSE: BEN) has a price-to-earnings ratio of 23.22x that is above its average ratio. Additionally, the 36-month beta value for BEN is 1.44. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 0 rating it as “overweight,” 8 rating it as “hold,” and 2 rating it as “sell.”
The public float for BEN is 280.76M and currently, short sellers hold a 8.39% ratio of that float. The average trading volume of BEN on January 07, 2025 was 3.99M shares.
BEN’s Market Performance
The stock of Franklin Resources, Inc (BEN) has seen a -3.19% decrease in the past week, with a -11.78% drop in the past month, and a 0.50% gain in the past quarter. The volatility ratio for the week is 2.77%, and the volatility levels for the past 30 days are at 2.80% for BEN. The simple moving average for the last 20 days is -4.94% for BEN stock, with a simple moving average of -10.52% for the last 200 days.
Analysts’ Opinion of BEN
Wells Fargo, on the other hand, stated in their research note that they expect to see BEN reach a price target of $20. The rating they have provided for BEN stocks is “Equal Weight” according to the report published on September 12th, 2024.
Barclays gave a rating of “Underweight” to BEN, setting the target price at $20 in the report published on August 27th of the previous year.
BEN Trading at -6.31% from the 50-Day Moving Average
After a stumble in the market that brought BEN to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -32.00% of loss for the given period.
Volatility was left at 2.80%, however, over the last 30 days, the volatility rate increased by 2.77%, as shares sank -10.71% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -0.45% lower at present.
During the last 5 trading sessions, BEN fell by -3.19%, which changed the moving average for the period of 200-days by -26.87% in comparison to the 20-day moving average, which settled at $21.04. In addition, Franklin Resources, Inc saw -1.43% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at BEN starting from FRANKLIN RESOURCES INC, who sale 2,209 shares at the price of $46.04 back on Dec 16 ’24. After this action, FRANKLIN RESOURCES INC now owns 28,000 shares of Franklin Resources, Inc, valued at $101,707 using the latest closing price.
FRANKLIN RESOURCES INC, the Affiliate of Investment Adv of Franklin Resources, Inc, sale 2,610 shares at $47.43 during a trade that took place back on Dec 10 ’24, which means that FRANKLIN RESOURCES INC is holding 32,909 shares at $123,795 based on the most recent closing price.
Stock Fundamentals for BEN
Current profitability levels for the company are sitting at:
- 0.11 for the present operating margin
- 0.67 for the gross margin
The net margin for Franklin Resources, Inc stands at 0.06. The total capital return value is set at 0.03. Equity return is now at value 3.53, with 1.38 for asset returns.
Based on Franklin Resources, Inc (BEN), the company’s capital structure generated 0.49 points at debt to capital in total, while cash flow to debt ratio is standing at 0.08. The debt to equity ratio resting at 0.97. The interest coverage ratio of the stock is 9.46.
Currently, EBITDA for the company is 796.8 million with net debt to EBITDA at 6.0. When we switch over and look at the enterprise to sales, we see a ratio of 2.27. The receivables turnover for the company is 5.7for trailing twelve months and the total asset turnover is 0.26.
Conclusion
In conclusion, Franklin Resources, Inc (BEN) has seen bad performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
