Franklin Resources, Inc. research snapshot
BEN AI stock analysis reads Franklin Resources, Inc. as a global active asset manager in a clear inflection: the July 31, 2026 fiscal third quarter brought record AUM of about $1.79 trillion, $18.4 billion of long-term net inflows, positive flows across every asset class and geography, and adjusted operating margin of 28.0%. The analysis is not a certain price prediction. At the August 2, 2026 data cutoff, BEN closed at $33.86 on July 31, 2026 with a market capitalization of about $17.20 billion. The AI view is constructive on the flow recovery, private markets fundraising, ETF and SMA growth, and margin expansion, while staying cautious on Western Asset stabilization, fee rate pressure, and the stock sensitivity to equity and bond markets. This is informational research and not investment advice.
Current price
$33.86
Market cap
$17.20 billion
AI score
71 / 100
Rating
Improving flows, record AUM, and margin expansion offset by market and flow cyclicality
Trend status
Constructive uptrend near 52-week highs with positive flow momentum
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Franklin Resources earns fees by managing public and private market assets for retail, advisor, institutional, and wealth clients across global channels. Q3 FY2026 operating revenue rose 14% to $2.3584 billion. | High |
| Moat | The moat comes from brand history, distribution reach, product breadth, specialist investment teams, client relationships, and scale, but switching costs are moderate and fee rates face secular pressure. | Medium |
| Management | Jenny Johnson is steering the firm toward alternatives, ETFs, retail SMAs, Canvas, wealth technology, and global distribution while defending legacy active fixed income and equity franchises. | Medium-high |
| Financial trend | Q3 FY2026 operating revenue was $2.3584 billion, adjusted EPS was $0.72, adjusted operating margin was 28.0%, and ending AUM reached a record $1.7916 trillion at June 30, 2026. | High |
| Valuation | At $33.86, BEN traded near 23.0x TTM EPS, 12.0x FY2026 adjusted EPS forecast, 1.46x book value, about 74x TTM free cash flow per share, and a 3.90% dividend yield. | Medium-high |
| Technical trend | Daily technical signals were constructive, with price above the 50-day and 200-day moving averages near $32.57 and $27.09 and RSI near 58, just below the overbought threshold. | Medium |
| Risk level | Main risks are sustained market drawdowns, fee compression, Western Asset outflows, weak active performance, dividend payout pressure, and the concentration of returns in flow and market cycles. | Medium-high |
| AI confidence | High for descriptive research and audited calculations. Lower for exact price outcomes because market levels and fund flows can reprice asset managers quickly. | High data confidence |
| Investment certainty | Medium certainty. BEN has brand, scale, dividend history, and now real flow momentum, but the case still needs evidence that durable net inflows and fee mix can outpace fee and cost pressure. | Medium |
BEN AI stock forecast
The BEN AI stock forecast uses scenario ranges around the $33.86 cutoff price. It does not claim that AI can predict a specific future price. The audited three-year framework points to a bearish area near $20 to $24, a base area near $40 to $44, and a bullish area near $60 to $66, before dividends. The base and bullish cases depend on adjusted EPS growth toward the $2.82 FY2026 forecast, while the bearish case depends on market declines and renewed outflows.
$60 to $66
More likely if AUM stays near or above $1.79 trillion, long-term net inflows continue at a $60 billion plus annualized pace, alternatives and ETFs improve fee mix, Western Asset stabilizes, and the market values BEN near 15x adjusted earnings.
$40 to $44
More likely if FY2026 adjusted EPS near $2.82 compounds at a mid-single-digit rate, the dividend remains covered by cash flow, and investors keep the stock near a 12x adjusted earnings multiple.
$20 to $24
More likely if markets fall, fixed income or active equity outflows return, fee rates compress, Western Asset weakness persists, or payout pressure forces the multiple toward 8x adjusted earnings.
BEN AI technical analysis
BEN AI technical analysis starts from the $33.86 July 31, 2026 close used for this August 2 static page. Public technical sources showed the stock above its 50-day and 200-day moving averages near $32.57 and $27.09, with RSI near 58 and a 52-week range of $21.11 to $34.92. Because this page does not fetch request-time market data, traders should confirm levels on a live chart before acting.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $33.86 | Latest verified close as of the August 2, 2026 data cutoff, up about 2% on July 31 after Q3 FY2026 results. |
| Near support | $32.57 | The 50-day moving average is the first trend support reference after the recent advance. |
| Secondary support | $27.09 | The 200-day moving average is the longer-term trend reference if the breakout fails. |
| Near resistance | $34.64 to $34.92 | The July 31 intraday high of $34.64 and the $34.92 52-week high form the first resistance band. |
| 50-day moving average | $32.57 | Price was above this level at the cutoff, supporting a constructive intermediate trend. |
| 200-day moving average | $27.09 | Price was well above the long-term average, confirming positive trend status but also showing gap risk if momentum fades. |
| Momentum | RSI 57.91 | Relative strength was positive and below the usual 70 overbought threshold at the cutoff. |
| Volume | 20-day average about 4.45 million shares | Liquid large-cap trading volume at the August 2, 2026 statistics check, with a single-day spike of about 12 million shares on the earnings date. |
| Volatility | Beta 1.57 | BEN has above-market price volatility because earnings and fee revenue are linked to market levels and fund flows. |
| Invalidation | Close below $32.57, then $27.09 | A decisive break below the 50-day average would weaken the near-term setup. A break below the 200-day average would challenge the broader recovery trend. |
BEN AI trading strategy
The BEN AI trading strategy is a rules-based research framework for an asset manager with dividend support and flow-cycle exposure. It is not personal advice and should be paired with live quotes, AUM releases, earnings updates, position sizing, and portfolio-level risk limits.
Watch for BEN to hold above the 50-day moving average near $32.57 and make higher closes while monthly AUM and long-term net flow data remain positive.
A close below the 50-day average or a negative flow surprise after earnings should invalidate the short-term trend setup.
If BEN pulls back toward the low $30s without a new flow, fee, or market shock, compare the selloff with dividend yield, free cash flow, and current AUM evidence.
Do not average down without a defined loss limit because an asset manager can look cheap just before market-driven earnings revisions.
Track monthly AUM, long-term net flows, Western Asset trends, effective fee rate near 37.8%, adjusted operating margin, dividend coverage, buybacks, and private markets fundraising.
Reduce confidence if EPS growth depends mainly on market appreciation or cost actions rather than durable net inflows and fee-bearing AUM growth.
Investment research summary
Franklin Templeton turns investment teams, distribution relationships, product packaging, and client trust into recurring management and advisory fee revenue tied to AUM. Q3 FY2026 ending AUM reached a record $1.7916 trillion.
The moat is strongest in brand recognition, scale, distribution reach, specialist managers, alternatives access, and long client relationships. It narrows when performance lags, fees compress, or clients shift to cheaper passive products.
The thesis fails if market appreciation masks weak organic flows, Western Asset outflows persist, alternatives fundraising slows, active products underperform, or the dividend absorbs too much free cash flow.
Jenny Johnson and the board are ahead of their five-year plan with record AUM, $63.3 billion of fiscal year-to-date long-term net inflows, and adjusted operating margin expansion to 28.0%. The test is whether net flows and fee mix can keep outpacing fee pressure.
Asset management benefits from global wealth creation and retirement savings, but the industry faces passive competition, fee pressure, scale advantages, adviser consolidation, and market-cycle sensitivity.
BEN trades near 12x forward adjusted EPS and offers a meaningful 3.90% dividend yield. Margin of safety depends on whether AUM growth, margin expansion, and fee mix can offset secular pressure in traditional active management.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| BEN price | $33.86 at the July 31, 2026 close | StockAnalysis quote snapshot | August 2, 2026 |
| Market capitalization | $17.20 billion, verified as $33.86 x 508.08 million shares | financial_rigor.py market cap verification | August 2, 2026 |
| Shares outstanding | 508.08 million shares; company reported 507.5 million at June 30, 2026 | StockAnalysis statistics and Franklin Q3 FY2026 release | August 2, 2026 |
| Q3 FY2026 operating revenue and adjusted EPS | $2.3584 billion operating revenue, up 14% year over year; $0.72 adjusted diluted EPS versus $0.49 a year earlier | Franklin Resources Q3 FY2026 earnings release | August 2, 2026 |
| Q3 FY2026 AUM and long-term net flows | Record $1.7916 trillion ending AUM and $18.4 billion long-term net inflows at June 30, 2026; fiscal year-to-date long-term net inflows of $63.3 billion | Franklin Resources Q3 FY2026 earnings release | August 2, 2026 |
| Q3 FY2026 adjusted operating margin | 28.0% versus 23.7% a year earlier; adjusted operating income of $508.9 million, up 35% | Franklin Resources Q3 FY2026 earnings release | August 2, 2026 |
| Alternative AUM and private markets fundraising | Record $294.2 billion alternative AUM; $11.8 billion Q3 fundraising including $10.3 billion in private markets; fiscal year-to-date private markets fundraising of $33.0 billion | Franklin Resources Q3 FY2026 earnings release | August 2, 2026 |
| FY2025 net income attributable to Franklin Resources | $524.9 million | Franklin Resources 2025 Form 10-K and StockAnalysis cross-check | August 2, 2026 |
| FY2025 revenue cross-check | $8.7707 billion company operating revenues versus $8.506 billion StockAnalysis standardized revenue | Franklin Resources 2025 Form 10-K and StockAnalysis | August 2, 2026 |
| Cash and stockholders equity | $5.4 billion cash and cash equivalents plus investments at June 30, 2026; total stockholders equity of $12.9 billion; StockAnalysis cash-only snapshot was $2.67 billion | Franklin Q3 FY2026 release and StockAnalysis statistics | August 2, 2026 |
| Shareholder returns | $521.5 million returned in Q3 FY2026 including $348.1 million of share repurchases of 10.4 million shares | Franklin Resources Q3 FY2026 earnings release | August 2, 2026 |
| Valuation check | 23.03x TTM PE, 1.46x book value, 73.61x TTM P/FCF, 3.90% dividend yield | financial_rigor.py valuation verification | August 2, 2026 |
| FY2026 EPS forecast | $2.82 adjusted EPS average forecast for fiscal 2026, up 26.9% from fiscal 2025 | StockAnalysis forecast page | August 2, 2026 |
| Analyst consensus | Hold rating with an average 12-month price target of $34.82 across 11 analysts, range of $26 to $40 | StockAnalysis forecast page | August 2, 2026 |
| Technical snapshot | 50-day SMA $32.57, 200-day SMA $27.09, RSI 57.91, 20-day average volume about 4.45 million shares, 52-week range $21.11 to $34.92 | StockAnalysis statistics | August 2, 2026 |
This BEN AI stock analysis is an informational research tool, not investment advice, a recommendation, or a promise of future return. Forecast ranges are scenarios based on available filings, quote snapshots, technical data, and third-party sources as of the stated cutoff date. They may be wrong, incomplete, or outdated after new earnings, AUM releases, market moves, flow data, dividend changes, fee pressure, or macro conditions.
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