Stock Traders Purchase Large Volume of Put Options on Franklin Resources (NYSE:BEN)

Franklin Resources, Inc. (NYSE:BEN) was the target of some unusual options trading on Monday. Stock investors purchased 9,664 put options on the company. This represents an increase of 509% compared to the average volume of 1,586 put options.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on BEN. Wells Fargo & Company raised their price target on Franklin Resources from $20.50 to $24.00 and gave the stock an “equal weight” rating in a research report on Monday, February 3rd. JPMorgan Chase & Co. cut their price objective on Franklin Resources from $21.00 to $19.00 and set a “neutral” rating on the stock in a research report on Thursday, January 16th. The Goldman Sachs Group upgraded shares of Franklin Resources from a “sell” rating to a “neutral” rating and upped their target price for the stock from $21.00 to $22.00 in a research note on Monday, January 6th. UBS Group upped their price target on shares of Franklin Resources from $19.00 to $23.00 and gave the stock a “neutral” rating in a research report on Monday, February 3rd. Finally, Keefe, Bruyette & Woods lifted their price target on Franklin Resources from $19.00 to $21.00 and gave the company an “underperform” rating in a report on Monday, February 3rd. Four equities research analysts have rated the stock with a sell rating and eight have assigned a hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $20.86.

Franklin Resources Price Performance

Shares of NYSE BEN opened at $19.87 on Wednesday. The firm’s 50 day simple moving average is $20.08 and its 200-day simple moving average is $20.56. The stock has a market capitalization of $10.43 billion, a price-to-earnings ratio of 30.56, a PEG ratio of 2.31 and a beta of 1.42. Franklin Resources has a 12 month low of $18.83 and a 12 month high of $28.15. The company has a debt-to-equity ratio of 0.89, a current ratio of 1.66 and a quick ratio of 1.66.

Franklin Resources (NYSE:BEN) last announced its earnings results on Friday, January 31st. The closed-end fund reported $0.59 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.56 by $0.03. Franklin Resources had a return on equity of 9.45% and a net margin of 4.32%. During the same quarter last year, the business posted $0.65 EPS. Analysts expect that Franklin Resources will post 2.16 EPS for the current year.

Franklin Resources Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, April 11th. Stockholders of record on Monday, March 31st will be given a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 6.44%. The ex-dividend date is Monday, March 31st. Franklin Resources’s dividend payout ratio (DPR) is 196.92%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. California State Teachers Retirement System increased its holdings in shares of Franklin Resources by 37.8% during the 4th quarter. California State Teachers Retirement System now owns 729,073 shares of the closed-end fund’s stock worth $14,793,000 after buying an additional 199,997 shares during the last quarter. Wealth Enhancement Advisory Services LLC lifted its stake in Franklin Resources by 47.5% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 48,954 shares of the closed-end fund’s stock worth $993,000 after purchasing an additional 15,758 shares in the last quarter. Siemens Fonds Invest GmbH purchased a new position in Franklin Resources during the 4th quarter valued at about $3,020,000. Universal Beteiligungs und Servicegesellschaft mbH purchased a new stake in Franklin Resources during the 4th quarter worth approximately $2,156,000. Finally, Perennial Advisors LLC acquired a new stake in Franklin Resources in the fourth quarter valued at approximately $295,000. 47.56% of the stock is owned by hedge funds and other institutional investors.

Franklin Resources Company Profile

Franklin Resources, Inc is a publicly owned asset management holding company. Through its subsidiaries, the firm provides its services to individuals, institutions, pension plans, trusts, and partnerships. It launches equity, fixed income, balanced, and multi-asset mutual funds through its subsidiaries.