Franklin Resources, Inc.

LSE:0RT6 Stock Report

Market Cap: US$10.6b

Franklin Resources Valuation

Is 0RT6 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0RT6 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0RT6 ($20.38) is trading below our estimate of fair value ($50.14)

Significantly Below Fair Value: 0RT6 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0RT6?

Key metric: As 0RT6 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0RT6. This is calculated by dividing 0RT6's market cap by their current earnings.
What is 0RT6's PE Ratio?
PE Ratio24.4x
EarningsUS$432.20m
Market CapUS$10.63b

Price to Earnings Ratio vs Peers

How does 0RT6's PE Ratio compare to its peers?

The above table shows the PE ratio for 0RT6 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14x
ICG Intermediate Capital Group
15.1x11.8%UK£6.0b
SDR Schroders
13.5x13.2%UK£5.1b
HL. Hargreaves Lansdown
17.8x1.8%UK£5.2b
PHLL Petershill Partners
9.7x34.7%UK£2.7b
0RT6 Franklin Resources
24.4x17.9%US$10.6b

Price-To-Earnings vs Peers: 0RT6 is expensive based on its Price-To-Earnings Ratio (24.4x) compared to the peer average (14x).

Price to Earnings Ratio vs Industry

How does 0RT6's PE Ratio compare vs other companies in the GB Capital Markets Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PNIX Phoenix Digital Assets
1.3xn/aUS$35.45m
IX. i(x) Net Zero
0.1xn/aUS$8.94m
APQ APQ Global
0.5xn/aUS$6.95m
MAFL Mineral & Financial Investments
2.5xn/aUS$6.08m
No more companies available in this PE range
0RT6 24.4xIndustry Avg. 11.6xNo. of Companies15PE01020304050+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0RT6 is expensive based on its Price-To-Earnings Ratio (24.4x) compared to the UK Capital Markets industry average (11.6x).

Price to Earnings Ratio vs Fair Ratio

What is 0RT6's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0RT6 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.4x
Fair PE Ratio22.4x

Price-To-Earnings vs Fair Ratio: 0RT6 is expensive based on its Price-To-Earnings Ratio (24.4x) compared to the estimated Fair Price-To-Earnings Ratio (22.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0RT6 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$20.12
US$20.39
+1.4%
6.0%US$22.50US$19.00n/a14
Dec ’25US$22.76
US$19.86
-12.8%
6.3%US$22.00US$18.00n/a14
Nov ’25US$20.91
US$20.59
-1.5%
7.1%US$24.00US$19.00n/a14
Oct ’25US$19.89
US$22.38
+12.5%
9.7%US$27.00US$20.00n/a14
Sep ’25US$20.03
US$23.19
+15.8%
8.6%US$27.00US$20.00n/a13
Aug ’25US$22.45
US$23.85
+6.3%
7.0%US$27.00US$21.00n/a12
Jul ’25US$22.22
US$25.35
+14.1%
6.6%US$28.00US$23.00n/a12
Jun ’25US$23.26
US$25.35
+9.0%
6.6%US$28.00US$23.00n/a12
May ’25US$22.85
US$25.94
+13.5%
7.5%US$29.00US$23.00n/a12
Apr ’25US$28.04
US$27.88
-0.6%
6.4%US$30.00US$24.00n/a13
Mar ’25US$27.48
US$27.79
+1.1%
6.6%US$30.00US$24.00n/a13
Feb ’25US$26.88
US$27.63
+2.8%
6.8%US$30.00US$24.00n/a13
Jan ’25US$29.83
US$25.19
-15.6%
9.9%US$30.00US$21.00US$20.2512
Dec ’24US$25.44
US$23.63
-7.1%
5.8%US$26.00US$21.00US$22.7612
Nov ’24US$22.36
US$23.71
+6.0%
7.5%US$28.00US$21.00US$20.9112
Oct ’24US$24.57
US$26.67
+8.6%
7.1%US$30.00US$24.00US$19.8912
Sep ’24US$26.86
US$26.65
-0.8%
6.5%US$30.00US$24.00US$20.0312
Aug ’24US$28.88
US$26.54
-8.1%
7.1%US$30.00US$23.00US$22.4512
Jul ’24US$26.63
US$24.92
-6.4%
9.9%US$28.00US$20.00US$22.2212
Jun ’24US$24.34
US$24.88
+2.2%
10.1%US$28.00US$20.00US$23.2612
May ’24US$26.94
US$24.77
-8.1%
11.4%US$28.00US$19.00US$22.8513
Apr ’24US$26.72
US$26.69
-0.1%
12.4%US$34.00US$20.00US$28.0413
Mar ’24US$29.04
US$27.00
-7.0%
10.5%US$34.00US$23.00US$27.4813
Feb ’24US$31.61
US$26.54
-16.0%
7.5%US$29.00US$23.00US$26.8813
Jan ’24US$26.20
US$23.00
-12.2%
9.2%US$27.00US$19.00US$29.8313

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 07:27
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/30
Annual Earnings2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Franklin Resources, Inc. is covered by 34 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Benjamin BudishBarclays
Roger FreemanBarclays
Etienne RicardBMO Capital Markets Equity Research