Update shared on 26 Nov 2025
Analysts have recently adjusted Franklin Resources' average price target modestly, reflecting both cautious optimism following Q4 earnings support from performance fees as well as rising EPS estimates tied to positive equity and bond market trends.
Analyst Commentary
Recent research notes reveal a mix of cautious optimism and lingering concerns regarding Franklin Resources as analysts digest the company's latest quarterly results and update market forecasts.
Bullish Takeaways- Bullish analysts point to positive performance fees in the latest quarter as a supportive factor for near-term earnings stability.
- Higher global equity and bond market returns have prompted upward revisions in future EPS estimates, suggesting the company may benefit from improving market conditions.
- Broad-based gains across equity benchmarks and solid bond market returns are viewed as catalysts for better growth prospects among traditional asset managers, including Franklin Resources.
- Bearish analysts see near-term upside as limited, even with positive earnings drivers, and cite an overall Neutral or Underperform view on the stock.
- Modest adjustments to price targets reflect tempered expectations for significant outperformance, given competitive pressures and ongoing industry headwinds.
- Recent foreign exchange movements and persistent market volatility continue to be watchpoints that could hinder sustained execution and valuation improvement for Franklin Resources.
What's in the News
- Franklin Resources launched the Franklin XRP ETF, providing investors access to XRP's price movements and expanding its U.S. digital asset ETP lineup. The ETF is now listed on NYSE Arca. (Product-Related Announcements)
- The Canton Network integrated the Benji Technology Platform, enabling global institutional clients of Franklin Templeton to seamlessly access regulated, tokenized investment products on the Canton Blockchain. (Client Announcements)
- Franklin Resources completed a share repurchase tranche, buying back over 2.6 million shares for $67.09 million. This brings total shares repurchased since 2013 to over 197 million. (Buyback Tranche Update)
- Franklin Templeton Canada announced new, lower pricing for its suite of Core Equity Funds starting January 1, 2026. The firm is also introducing Series A to improve accessibility. (Product-Related Announcements)
- The firm unveiled new actively managed international equity ETFs, including the Putnam International Stock ETF and Templeton International Insights ETF. These funds offer distinct global investment strategies. (Product-Related Announcements)
Valuation Changes
- The discount rate has fallen modestly from 9.01 percent to 8.80 percent, indicating slightly improved perceived risk.
- Revenue growth projections remain essentially unchanged at approximately 0.57 percent.
- Net profit margin has held steady at around 16.38 percent, with no material variation.
- The future P/E ratio has decreased slightly from 11.25x to 11.05x, reflecting modestly lower forward valuation expectations.
- The fair value estimate remains unchanged at $24.73 per share.
Disclaimer
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