Ferguson Wellman Capital Management Reduces Stake in Franklin Resources

Ferguson Wellman Capital Management Inc. has reduced its investment in Franklin Resources, Inc. (NYSE:BEN) by 43.4% during the fourth quarter, as reported in its latest Form 13F filing with the Securities and Exchange Commission (SEC). Following the sale of 15,715 shares, the fund now holds 20,500 shares of the investment firm's stock, which is valued at approximately $416,000 according to the recent SEC filing.

Other Institutional Investments

Several other hedge funds have also adjusted their positions in Franklin Resources recently. For instance, Creative Planning increased its holdings by 6.0% in the second quarter, now owning 19,841 shares worth $443,000 after adding 1,131 shares. UMB Bank n.a. significantly boosted its stake by 387.7% in the third quarter to own 2,926 shares, valued at $59,000 after acquiring 2,326 additional shares. Exchange Traded Concepts LLC raised its holdings by 301.4%, leading to ownership of 5,074 shares worth $102,000 after buying 3,810 more shares during the same quarter. New positions were established by ORG Wealth Partners LLC, which invested approximately $127,000, and Swedbank AB, which lifted its holdings by 78.3%, owning now 62,076 shares valued at $1,251,000 after acquiring 27,259 shares. Overall, institutional investors hold about 47.56% of Franklin Resources' stock.

Analysts' Perspectives on Franklin Resources

Numerous research analysts have provided their insights regarding Franklin Resources. UBS Group recently lifted their target price from $19.00 to $23.00 and rated the stock as "neutral" on February 3rd. Morgan Stanley adjusted their target price from $18.00 to $19.00, assigning it an "underweight" rating on December 20th. Similarly, BMO Capital Markets raised its price objective to $23.00, maintaining a "market perform" rating on the same day. However, JPMorgan Chase & Co. lowered their price target from $21.00 to $19.00, rating it as "neutral" on January 16th. Deutsche Bank also pulled back their price target from $20.00 to $19.00 with a "hold" rating noted on November 5th. The overall consensus from analysts shows four sell ratings and eight hold ratings, resulting in a general rating of "Hold" with an average price target of $20.86.

Stock Performance Overview

As of Tuesday, Franklin Resources shares opened at $20.28. The stock has a 50-day moving average of $20.66 and a 200-day moving average of $20.87. The company’s market capitalization stands at $10.65 billion, with a price-to-earnings (PE) ratio of 31.19 and a price-to-earnings-growth (PEG) ratio of 2.14. Over the past year, shares hit a low of $18.83 and a high of $28.61. The current assets ratio is 1.66 and the quick ratio is 1.63, while the debt-to-equity ratio sits at 0.89.

Most Recent Earnings Report

Franklin Resources publicly announced its earnings on January 31st. For the last quarter, the company reported earnings per share (EPS) of $0.59, exceeding expectations of $0.56 by $0.03. The firm recorded a return on equity of 9.45% and a net margin of 4.32%. Comparatively, in the same quarter the previous year, the EPS was $0.65. Analysts predict that Franklin Resources, Inc. will achieve an EPS of 2.16 for the current fiscal year.

Dividend Announcement

The company has declared a quarterly dividend of $0.32 per share, set to be paid on April 11th. Shareholders recorded on March 31st will receive this dividend. This annualizes to $1.28, giving a yield of 6.31%. The ex-dividend date for this payout is also March 31st, and the company’s current dividend payout ratio is quite high at 196.93%.

Insight into Franklin Resources

Franklin Resources, Inc. operates as a publicly owned asset management holding company, providing investment management services to individuals and institutions through its subsidiaries. It manages various types of funds including equity, fixed income, balanced, and multi-asset mutual funds.

Ferguson, Franklin, Investment