NYSE: BEN · Asset Management & Custody Banks
Franklin Templeton, Inc.
Franklin Templeton — the company renamed itself from Franklin Resources on August 17, 2026 — is a global asset manager with $1.66 trillion of assets under management (AUM) at September 30, 2025, run through specialist managers including Franklin, Templeton, Putnam, ClearBridge, Western Asset, Brandywine, Clarion Partners, Benefit Street Partners and Lexington Partners. It earns fees as a percentage of the assets it manages. Fiscal 2025 revenue rose 3% to $8.77 billion, but net income was only $525 million and AUM slipped 1% as Western Asset lost $141.9 billion in long-term net outflows after its former co-CIO was charged. That matter is now resolved: the DOJ dropped Western Asset as a subject, and Western Asset settled with the SEC for a $100 million penalty in June 2026. Flows have turned positive, and AUM reached a record $1.8 trillion in June 2026.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:06 (SEC EDGAR) · Source 10-K filed: November 10, 2025
Built on10-K FY2025 · filed 2025-11-1010-Q (quarter ended 2026-06-30) · filed 2026-07-31
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
At a glanceFrom SEC data
Eight headline measures, each placed among the companies covered on this site.
- Revenue growthCAGRSmooths out year-to-year swings into "grew X% a year on average." Makes growth pace comparable across companies of very different sizes.
- 9.5%
- Net marginOperating marginHow many cents of operating profit are left per dollar of revenue. Reflects pricing power and cost structure.
- 6.0%
- Return on equityROIC − WACC spreadThe difference between ROIC and WACC. Consistently positive implies value creation; consistently negative implies value destruction.
- 4.3%
- Equity ratioEBITDAOperating income with D&A added back. A rough proxy for cash-generating power that’s less distorted by capital intensity, depreciation method, or financing/tax differences than net income.
- 37.3%
- Cash conversionOperating CF ÷ net income (cash conversion)How much of reported profit shows up as actual cash. 1x or higher means profit is backed by cash.
- 2.03x
- Dividend raisesDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year).
- 5 of 5
- P/E todayP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing.
- 21.0x
- Betaβ (beta)How much a stock moves, on average, for a 1% move in the overall market. Above 1 means more volatile than the market, which raises the return shareholders require. This site computes it from about 2.5 years (roughly 130 weeks) of weekly returns, built from Yahoo Finance daily prices, regressed against an S&P 500 ETF (SPY) as the market proxy, then applies the well-known long-run mean-reversion adjustment (0.67 × β + 0.33) as the WACC default.
- 0.99
Higher than 52% of 44 financial companies
Average yearly growth over the years shown
Higher than 9% of 45 financial companies
Latest fiscal year (FY2025)
Higher than 4% of 45 financial companies
Latest fiscal year (FY2025)
Higher than 91% of 45 financial companies
Equity ÷ total assets
Higher than 75% of 44 financial companies
Operating cash flow ÷ net income
Years the dividend per share rose, of the last 5
Latest close 2026-11-04; trailing 12 months to 2026-06-30
Above 1 = moves more than the market
Each marker shows where this company sits among the financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.
02
Valuation todayFrom SEC data
Price-based measures at the latest close, next to the same measures at the last fiscal year-end.
Share price$32.75close on 2026-11-04
Market cap$17.06B
- P/EP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing. today
- 21.0x
- P/BP/BShare price ÷ book value per share. Below 1x means the market values the company below its accounting net worth. This site uses the closing price nearest the fiscal year-end and highlights sub-1x readings. today
- 1.4x
- EV/EBITDAEV/EBITDAEnterprise value (≈ market cap + interest-bearing debt − cash) as a multiple of EBITDA — roughly, "how many years of EBITDA to buy the whole company." Lower is generally viewed as cheaper, and it’s more comparable than P/E across companies with different debt loads or depreciation policies. This site excludes noncontrolling interests from the EV calculation. today
- —
- FCF yieldFree cash flow (FCF)Operating CF minus capital expenditures — cash generated by the business after funding its own investment, available for dividends, buybacks, acquisitions, or debt paydown. Acquisitions and securities purchases (also in investing CF) are not subtracted, so FCF can be positive in a year when total investing CF exceeds operating CF. today
- —
- Dividend yieldDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year). today
- 3.9%
At FY2025 year-end: 25.4x
Earnings: trailing 12 months to 2026-06-30
At FY2025 year-end: 1.0x
Book value at FY2025 year-end
At FY2025 year-end: 14.9x
EBITDA for FY2025
At FY2025 year-end: 7.6%
Free cash flow for FY2025
Dividends per share for FY2025
“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.
03
What changed since last earningsFrom SEC data
The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.
Quarter ended Jun 30, 2026.
These figures are behind: a newer quarter was reported on Nov 6, 2026, but SEC's structured data doesn't include it yet. Read the release ↗
- Revenue$2.06B → $2.36B (vs. a year earlier)↑ +14.3%$2.06B → $2.36B (vs. a year earlier)
- Operating margin7.5% → 9.2% (vs. a year earlier)↑ +1.7 pts7.5% → 9.2% (vs. a year earlier)
- Net income$92M → $172M (vs. a year earlier)↑ +85.8%$92M → $172M (vs. a year earlier)
- Diluted EPS$0.15 → $0.31 (vs. a year earlier)↑ +106.7%$0.15 → $0.31 (vs. a year earlier)
- Cash$3.57B → $3.76B (vs. previous quarter-end)↑ +5.4%$3.57B → $3.76B (vs. previous quarter-end)
- Long-term debt$2.25B → $2.4B (vs. previous quarter-end)↑ +6.6%$2.25B → $2.4B (vs. previous quarter-end)
Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.
From the earnings release of Jul 31, 2026.
Key changes
Net income $171.5M, or $0.31 per share. Source sentence
San Mateo, CA, July 31, 2026 – Franklin Resources, Inc. (the “Company”) [NYSE: BEN] today announced net income 1 of $171.5 million or $0.31 per diluted share for the quarter ended June 30, 2026, as compared to $268.2 million or $0.49 per diluted share for the previous quarter, and $92.3 million or $0.15 per diluted share for the quarter ended June 30, 2025.
Assets under management a record $1.8T. Source sentence
Assets under management grew to a record $1.8 trillion.
Returned $521.5M to shareholders. Source sentence
This quarter, we returned $521.5 million to shareholders, including $348.1 million in share repurchases.
Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗
04
Company profileFrom SEC dataShow
- Legal name
- FRANKLIN TEMPLETON INC
- Headquarters
- SAN MATEO, CA
- Incorporated in
- Delaware
- Fiscal year end
- 09/30
- Exchange & ticker
- NYSE: BEN
- Industry
- Asset Management & Custody Banks
- CIK
- 38777
Workforce (as of FY2025 year-end)
Employees
9,800
Source: Form 10-K (FY2025) cover page and business description
05
Earnings calendarFrom SEC dataShow
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q1 FY2027
Quarter end: December 2026. In past years, Q1 results were released 29–31 days after quarter end (Jan 30, 2026; Jan 31, 2025; Jan 29, 2024). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around September 30.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 26–38 days after quarter end over the last 13 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q4 FY2026 | — | Nov 6, 2026 | Not yet filed |
| Q3 FY2026 | Jun 30, 2026 | Jul 31, 2026 (+31 days) | Jul 31, 2026 10-Q (+31 days) |
| Q2 FY2026 | Mar 31, 2026 | Apr 28, 2026 (+28 days) | Apr 28, 2026 10-Q (+28 days) |
| Q1 FY2026 | Dec 31, 2025 | Jan 30, 2026 (+30 days) | Jan 30, 2026 10-Q (+30 days) |
| Q4 FY2025 | Sep 30, 2025 | Nov 7, 2025 (+38 days) | Nov 10, 2025 10-K (+41 days) |
| Q3 FY2025 | Jun 30, 2025 | Aug 1, 2025 (+32 days) | Aug 1, 2025 10-Q (+32 days) |
| Q2 FY2025 | Mar 31, 2025 | May 2, 2025 (+32 days) | May 2, 2025 10-Q (+32 days) |
| Q1 FY2025 | Dec 31, 2024 | Jan 31, 2025 (+31 days) | Jan 31, 2025 10-Q (+31 days) |
| Q4 FY2024 | Sep 30, 2024 | Nov 4, 2024 (+35 days) | Nov 12, 2024 10-K (+43 days) |
| Q3 FY2024 | Jun 30, 2024 | Jul 26, 2024 (+26 days) | Jul 26, 2024 10-Q (+26 days) |
| Q2 FY2024 | Mar 31, 2024 | Apr 29, 2024 (+29 days) | Apr 29, 2024 10-Q (+29 days) |
| Q1 FY2024 | Dec 31, 2023 | Jan 29, 2024 (+29 days) | Jan 29, 2024 10-Q (+29 days) |
| Q4 FY2023 | Sep 30, 2023 | Oct 31, 2023 (+31 days) | Nov 14, 2023 10-K (+45 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.
06
Flagship products & servicesSite analysis
Equity
Equity funds and accounts
Examples: Franklin, Templeton, ClearBridge, Putnam, Royce
$686.2B AUM (41%) at September 30, 2025.
Fixed income
Fixed income
Examples: Western Asset, Brandywine, Franklin
$438.7B (26%); long-term net outflows of $122.7B in fiscal 2025.
Alternatives
Private markets and alternatives
Examples: Lexington (secondaries), Benefit Street Partners and Alcentra (credit), Clarion (real estate), K2 (hedge funds)
$263.9B (16%); $294.2B by June 2026.
Multi-asset
Multi-asset solutions
Examples: Allocation funds and model portfolios
$193.9B (12%).
Cash
Cash management
Examples: Money market funds
$78.5B (5%).
AUM from the FY2025 Form 10-K; June 2026 figure from the Q3 FY2026 earnings release.
U.S. and worldwide share of flagship products/services
The filings reviewed give no market share figure for the company's products or services.
Reviewed: Form 10-K (FY2025) · Form 10-Q (quarter ended 2026-06-30)
07
Recent strategic focusSite analysis
Fiscal 2025 from the 10-K, and fiscal 2026 events from the Q3 earnings release and 8-Ks.
Q3 fiscal 2026 results
Net income $171.5M ($0.31 per share); long-term net inflows $18.4B; AUM a record $1.8T.
Source: Q3 FY2026 earnings release (8-K filed 2026-07-31)
Western Asset resolved
The DOJ took no further action, and Western Asset settled with the SEC on June 4, 2026, paying a $100M penalty without admitting wrongdoing.
Source: 8-Ks filed 2025-12-15 and 2026-06-05
Name change
Franklin Resources, Inc. became Franklin Templeton, Inc. effective August 17, 2026.
Source: 8-K filed 2026-07-31
Financing
Credit facility amended and extended to 2031 (July 2026); $750M of 5.500% notes due 2036 issued in August 2026.
Source: 8-Ks filed 2026-07-30 and 2026-08-10
Capex ÷ D&A (FY2025)
1.23x
Roughly matches depreciation — mostly maintenance/replacement
formulacapital expenditures ÷ depreciation & amortization
e.g.$155M ÷ $125M = 1.23x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
M&A spend (6-year total)
$5.51B
Latest year: $0
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $104M in FY2020 to $155M in FY2025
- Capex
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-10
08
Key figures at a glanceFrom SEC data
FY2020–FY2025, 6 years.
Total revenue (FY2025)
$8.77B
As reported in the 10-K
Revenue CAGR (5 years)
+9.5%▲favorable
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($8,771M ÷ $5,567M) ^ (1÷5) − 1 = 9.5%
termsCAGR · ^ (exponent) · Revenue (net sales)
ROE (FY2025)
4.3%▼caution
6-year average: 8.7%
As reported in the 10-K
- ▲
Revenue grew +9.5% a year over 5 years (strong growth)
From $5.57B in FY2020 to $8.77B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▲
Free cash flow was positive in 6 of 6 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 8.7% over 6 years (latest: 4.3%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
09
Business modelSite analysis
Business Model Canvas
The whole company in nine blocks. Left side: how it delivers (partners, activities, resources, costs). Right side: who it serves and how it earns. Every entry comes from the company’s filings shown on this page.
08 · who helps
Key partners
No partners or suppliers named in the filings.
07 · what it does
Key activities
- Managing client assets
- Fund distribution and servicing
- Raising alternative funds
06 · what it draws on
Key resources
- About 9,800 employees in over 30 countries
- Specialist investment managers
- Distribution through advisers, brokers and banks
02 · why customers buy
Value propositions
- A broad mix of equity, fixed income, alternative and multi-asset products with a global presence.
04 · how it keeps them
Customer relationships
- Ongoing management of client assets through funds, separate accounts and sub-advised products.
03 · how it reaches them
Channels
- Primarily through third-party broker-dealers, banks, investment advisers and other financial intermediaries.
- Institutional and high-net-worth separate accounts.
01 · who it serves
Customer segments
- Retail investors through intermediaries
- Institutions
- High-net-worth clients
09 · where money goes
Cost structure
FY2025, share of revenue ($8.77B)
- Selling, general & administrative8.8%
- Other operating costs (incl. cost of goods sold)84.3%
Operating profit left: 6.9% of revenue. Depreciation & amortization (inside the costs above): $125M. Capital spending: $155M.
Source: Form 10-K income statement and cash-flow statement (SEC XBRL).
05 · how money comes in
Revenue streams
- Investment management fees (% of AUM)
- Sales and distribution fees
- Shareholder servicing fees
- Performance fees and carried interest
Value propositions, channels and customer relationships: Form 10-K (FY2025)
Mutual funds, ETFs, separately managed accounts, institutional mandates and alternative funds (private credit, secondary private equity, real estate, hedge funds, venture capital) across equity, fixed income, multi-asset and cash.
01 what it draws on
Inputs & resources
- About 9,800 employees in over 30 countries
- Specialist investment managers
- Distribution through advisers, brokers and banks
02 what it does
Activities
- Managing client assets
- Fund distribution and servicing
- Raising alternative funds
03 who it serves
Customers
- Retail investors through intermediaries
- Institutions
- High-net-worth clients
04 how money comes in
How it earns
- Investment management fees (% of AUM)
- Sales and distribution fees
- Shareholder servicing fees
- Performance fees and carried interest
How the business makes money
- Fiscal 2025 investment management fees $6.98B (80% of revenue).
- AUM mix: equity 41%, fixed income 26%, alternatives 16%, multi-asset 12%, cash 5%.
- 71% of AUM was sold in the United States.
Government & regulation around the business
Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.
Franklin Templeton’s distribution is shaped by FINRA and state rules; it follows OFAC sanctions.
Approvals & licenses
Distribution compensation rules
Compensation to intermediaries must comply with federal and state laws and FINRA rules.
Constrains the businessTouches: CustomersSource: Form 10-K (FY2025)
Trade & export rules
Sanctions and AML rules
Subject to OFAC sanctions programs.
Constrains the businessTouches: ActivitiesSource: Form 10-K (FY2025)
Revenue by segment (FY2025 (ended Sep 30, 2025))
Unit: $M — bar length = revenue, (%) = share of total company revenue
Investment management fees
6,982 (80%)Sales and distribution fees
1,475 (17%)Shareholder servicing fees
265 (3%)Other
50 (1%)
Source: Form 10-K (FY2025) — MD&A, operating revenues Franklin has one operating segment; these are its revenue types.
10
Where it earnsSite analysis
Many U.S.-listed companies earn most of their revenue outside the U.S. — this breaks down revenue by country/region so it's clear where the business actually makes its money.
Largest market (FY2025)
United States — 75% of revenue
Revenue by country / region (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue
United States
6,614 (75%)Luxembourg
1,296 (15%)Asia-Pacific
328 (4%)EMEA excluding Luxembourg
279 (3%)Americas excluding United States
254 (3%)
11
Contract structureSite analysisShow
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
Investment management fees are set by contract as a percentage of AUM, so revenue moves with markets and client flows. Fees vary by asset class and are benchmarked against industry standards.
Investment management fees
$6.98B (80% of fiscal 2025 revenue)
Typical term: Percentage of AUM under advisory and sub-advisory contracts
Includes performance fees on some products.
Sales and distribution fees
$1.47B (17%)
Typical term: Fees on fund sales and distribution
12
Customers & suppliersSite analysis
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Retail, institutional and high-net-worth investors worldwide, mostly through financial intermediaries.
Named by the company
None named in the 10-K or the company’s press releases.
What the filings disclose
- $1,171.5B of AUM (71%) was sold in the United States at September 30, 2025. (Form 10-K (FY2025), MD&A)
Suppliers
Financial advisers, broker-dealers and other intermediaries that distribute its products.
Named by the company
None named in the 10-K or the company’s press releases.
13
Competitors & peersSite analysis
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
Franklin's 10-K says it faces strong competition from numerous investment managers, brokerages, investment banks, insurers, banks and hedge funds, competing on reputation, performance, products, service, distribution and fees. It names no companies.
Competitors named in the 10-K
Franklin's 10-K describes competitors by type but doesn't name them.
Peer group the company chose
Fiscal 2025 compensation peer group, from the proxy statement. Peers are companies the board considers comparable — for example when setting executive pay — not necessarily direct competitors.
14 public financial services companies of similar size, sub-industry, business model and complexity.
- Affiliated Managers Groupsite ↗
- AllianceBernsteinsite ↗
- Ameriprise Financialsite ↗
- BlackRocksite ↗
- BNY (Bank of New York Mellon)site ↗
- The Carlyle Groupsite ↗
- Invescosite ↗
- Janus Hendersonsite ↗
- KKRsite ↗
- Lazardsite ↗
- Northern Trustsite ↗
- Raymond James Financialsite ↗
- State Streetsite ↗
- T. Rowe Pricesite ↗
Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
14
M&A historySite analysisShow
Companies acquired over the last five years, plus older large acquisitions that still anchor a current business — what each was bought to do, and what happened afterward. From the 10-K, 8-Ks, and the company's press releases.
Franklin has grown through a long series of acquisitions of investment managers.
Cash spent on acquisitions, FY2020–FY2025: $5.51B
Apr 2022
Lexington Partners
Not shown here
A global secondary private equity and co-investment firm.
- Stated purpose (company)
- Not stated in the 10-K summary.
Source: Form 10-K (FY2025) — Item 1
Jan 2024
Putnam
Not shown here
A global investment firm.
- Stated purpose (company)
- Not stated in the 10-K summary.
Source: Form 10-K (FY2025) — Item 1
Oct 2025
Apera
Not shown here
An asset management firm.
- Stated purpose (company)
- Not stated in the 10-K summary.
Source: Form 10-K (FY2025) — Item 1
The 10-K lists earlier acquisitions as well, including Legg Mason (2020), Alcentra (2022) and others.
15
Six years of financialsFrom SEC data
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Total revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-10
Profit over time (operating → net)
Unit: $M
- Operating income
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-10
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-10
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
- Dividend per share
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-11-10
| Line item | FY202010-K on EDGAR ↗ | FY202110-K on EDGAR ↗ | FY202210-K on EDGAR ↗ | FY202310-K on EDGAR ↗ | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|---|---|---|
| Income statement ($M) | ||||||
| Revenue | 5,567 | 8,426 | 8,275 | 7,849 | 8,478 | 8,771 |
| Operating income | 1,049 | 1,875 | 1,774 | 1,102 | 408 | 604 |
| Pretax income | 1,018 | 2,444 | 1,729 | 1,338 | 823 | 787 |
| Net income (attributable) | 799 | 1,831 | 1,292 | 883 | 465 | 525 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 51.4% | -1.8% | -5.1% | 8.0% | 3.5% |
| Operating margincalcoperating income ÷ revenue × 100 | 18.8% | 22.3% | 21.4% | 14.0% | 4.8% | 6.9% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 14.4% | 21.7% | 15.6% | 11.2% | 5.5% | 6.0% |
| Balance sheet ($M) | ||||||
| Total assets | 21,685 | 24,168 | 28,061 | 30,121 | 32,465 | 32,368 |
| Total equity | 10,869 | 11,811 | 12,299 | 12,548 | 13,243 | 13,007 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | 3,017 | 3,399 | 3,376 | 3,053 | 2,780 | 2,362 |
| Equity ratio | 46.6% | 46.4% | 40.9% | 39.6% | 38.5% | 37.3% |
| ROE | 7.9% | 17.2% | 11.4% | 7.5% | 3.8% | 4.3% |
| Cash flow ($M) | ||||||
| Operating CF | 1,083 | 1,245 | 1,957 | 1,089 | 971 | 1,066 |
| Investing CF | -4,062 | -2,616 | -3,329 | -3,610 | -2,424 | -2,343 |
| Financing CF | 734 | 2,030 | 1,585 | 2,107 | 1,416 | 452 |
| Free cash flowcalccash flow from operations − capital expenditures | 980 | 1,166 | 1,866 | 940 | 794 | 912 |
| Cash and equivalents | 3,990 | 4,647 | 4,783 | 4,402 | 4,409 | 3,574 |
| Per share & other | ||||||
| EPS ($) | 1.59 | 3.57 | 2.53 | 1.72 | 0.85 | 0.91 |
| BVPS ($) | 20.43 | 22.37 | 22.97 | 24.03 | 23.89 | 23.18 |
| Dividend per share ($) | 1.08 | 1.12 | 1.16 | 1.20 | 1.24 | 1.28 |
| Payout ratiocalcdividend per share ÷ diluted EPS × 100 | 67.9% | 31.4% | 45.8% | 69.8% | 145.9% | 140.7% |
| P/E (x) | 12.8 | 8.3 | 8.5 | 14.3 | 23.7 | 25.4 |
| EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization) | 8.1 | 7.0 | 5.0 | 9.0 | 17.0 | 14.9 |
| P/B (x)calcfiscal year-end closing price ÷ book value per share | 1.00 | 1.33 | 0.94 | 1.02 | 0.84 | 1.00 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Periods below 1x are shown in red. Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
Last 8 quarters
Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.
| Quarter ended | Revenue | Operating income | Net income | Diluted EPS |
|---|---|---|---|---|
| 2026-06-30 | $2.36B+14.3% | $216M+40.0% | $172M+85.8% | $0.31 |
| 2026-03-31 | $2.29B+8.7% | $323M+122.0% | $268M+77.1% | $0.49 |
| 2025-12-31 | $2.33B+3.4% | $281M+28.3% | $256M+56.2% | $0.46 |
| 2025-09-30 † | $2.34B+6.0% | $85M | $118M | — |
| 2025-06-30 | $2.06B | $154M | $92M | $0.15 |
| 2025-03-31 | $2.11B | $146M | $151M | $0.26 |
| 2024-12-31 | $2.25B | $219M | $164M | $0.29 |
| 2024-09-30 † | $2.21B | −$151M | −$85M | — |
† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.
16
Measures that fit this businessFrom SEC data
ROIC and free cash flow don’t suit an asset manager, so these are the usual yardsticks instead.
- Assets under management
- $1,661.2 billion
- Long-term net outflows
- $97.4 billion
September 30, 2025
Fiscal 2025, including $141.9 billion at Western Asset
As stated by the company: Form 10-K (FY2025)
| Measure | FY2020 | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|---|
| Return on equityNet income ÷ stockholders’ equity. | 7.9% | 17.2% | 11.4% | 7.5% | 3.8% | 4.3% |
| Net marginNet income ÷ revenue. | 14.4% | 21.7% | 15.6% | 11.2% | 5.5% | 6.0% |
| Equity ÷ total assetsThe accounting cushion. Regulatory capital ratios are listed separately above when the filing states them. | 46.6% | 46.4% | 40.9% | 39.6% | 38.5% | 37.3% |
Computed from SEC XBRL figures. A dash means the company doesn’t tag that figure or the result fell outside a plausible range. Tagging differs between filers, so check the filing before comparing two companies closely.
17
Is ROIC above WACC?From SEC data
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
Banks, insurers, and similar financial companies aren’t compared this way, since deposits/policies are the business itself and debt can’t be cleanly separated from operating capital.
18
What the price implies (DCF)From SEC data
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Not applied to banks, insurers, and similar financial companies: their operating cash flow includes deposits or premiums held for customers, so it isn’t free cash flow available to investors.
19
Earnings qualityFrom SEC dataShow
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
Financial companies’ operating cash flow behaves differently from an operating company’s, so this analysis doesn’t apply.
20
Who holds the sharesFrom SEC dataShow
How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.
Institutions, insiders and everyone else, 13F holdings as of 2026-06-30
“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.
- Held by 13F filers
- 53.6%
- Directors & officers (shares)
- 23.4%
- Everyone else (est.)
- 23.0%
- Directors & officers (voting power)
- 23.4%
- Institutional-ownership rank
- 411 of 416
- Beta (adjusted)
- 0.99
individuals and other non-13F holders
no separate voting figure; shown as shares
1 = most institutional; 99% of covered companies have more
above 1 = swings more than the market
- 272.3M shares reported by 666 13F filers ÷ 508.1M shares outstanding on 2026-07-22. Option positions are excluded.
- Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table; includes shares they can acquire within 60 days.
- A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.
Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2025-12-22 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-07-22)
21
Strengths & weaknessesSite analysis
Strengths
1. Scale and breadth
$1.66T of AUM across equity, fixed income, alternatives, multi-asset and cash, through many specialist managers.
Evidence: Form 10-K (FY2025), Item 1
2. Growing alternatives
Alternative AUM reached a record $294.2B in June 2026, with $11.8B raised in the quarter.
Evidence: Q3 FY2026 earnings release
3. Flows recovering
Fiscal year-to-date long-term net inflows of $63.3B through June 2026, positive in every asset class and region in the quarter.
Evidence: Q3 FY2026 earnings release
Weaknesses
1. Low GAAP profitability
Operating margin was 6.9% in fiscal 2025 (4.8% in 2024); net income fell from $1.83B (2021) to $525M (2025).
Evidence: Form 10-K (FY2025); SEC EDGAR XBRL
2. Western Asset outflows
Western Asset had $141.9B of long-term net outflows in fiscal 2025.
Evidence: Form 10-K (FY2025), MD&A
22
What draws investors to itSite analysis
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
25.4x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
5.53%
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
141%
Dividends per share ÷ diluted EPS
1. Turnaround in flows
After fiscal 2025 outflows, Franklin reported positive long-term net flows across every asset class and region in Q3 fiscal 2026.
- What has to hold
- Flows stay positive as the Western Asset matter fades.
- The other side
- GAAP margins remain low, and fees are pressured industry-wide.
Evidence: Q3 FY2026 earnings release
2. Dividend
The dividend per share rose each year from $1.12 (fiscal 2021) to $1.28 (fiscal 2025).
- What has to hold
- Earnings recover to cover it comfortably.
- The other side
- Fiscal 2025 EPS ($0.91) was below the dividend.
Evidence: SEC EDGAR XBRL
These summarize facts in Franklin's filings, not a recommendation.
23
ResilienceSite analysisShow
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
For an insurer or bank, debt-coverage ratios like these don’t describe its ability to absorb losses — that depends on its capital, reserves, and investment portfolio, which are covered in part 3 below.
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | -5.1% in FY2023 ($8.28B → $7.85B) | Yes, by FY2024 |
| Net income | -47.3% in FY2024 ($883M → $465M) | Not yet, as of FY2025 |
Covers only the 6 fiscal years on record (FY2020–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Cash
$3.6B of cash at September 30, 2025.
Source: SEC EDGAR XBRL
Credit facility
Revolving credit facility amended and extended to July 2031.
Source: 8-K filed 2026-07-30
24
Legal & regulatory mattersSite analysisShow
Lawsuits, government investigations, enforcement actions and settlements the company discloses — where each stands, what is at stake, and what comes next. From the 10-K's Legal Proceedings and contingencies note, the latest 10-Q, and 8-Ks.
Franklin Resources resolved the SEC, DOJ and CFTC investigations of Western Asset Management in June 2026, with WAM paying a $100 million SEC civil penalty. Investor and 401(k) suits remain, along with a new Putnam fund class action.
3 open matters · 1 settled or closed
WAM fund shareholder securities class action
PendingClass actionAbilene Firemen's Relief and Retirement Fund (lead) v. Franklin, WAM, Leech and executives (C.D. Cal.)
Exchange Act claims tied to Mr. Leech's trade allocations, for shareholders of two WAM-managed funds. An amended complaint of March 16, 2026 extended the class period to November 25, 2024.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Franklin Templeton 401(k) plan ERISA suit
PendingClass actionFormer employees (N.D. Cal.)
Alleges fiduciary breaches in including proprietary funds in the plan. The motion to dismiss was denied April 17, 2026.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Putnam mutual fund class action
PendingClass actionPutnam fund shareholders (Mass. Superior Court, Suffolk County)
Filed June 22, 2026 under the Securities Act, alleging misleading fund disclosures on treating accrued income as fund assets in net asset value calculations.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Western Asset Management trade-allocation investigations
SettledEnforcement / sanctionSEC; U.S. Department of Justice; CFTC
The investigations concerned treasury-derivative trade allocations by former co-CIO Ken Leech. The CFTC closed its probe, and on June 3, 2026 the DOJ said WAM was no longer a subject. On June 5, 2026 the SEC resolved its investigation of WAM, without WAM admitting wrongdoing.
- Amounts
- $100.0 million civil penalty paid into a Fair Fund for investors.
- Next step
- The SEC's case against Mr. Leech is pending. Criminal trade-allocation charges were dismissed in June 2026 after he pleaded to one obstruction charge.
Source: Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings
Company statement: Franklin says these suits are at early stages and it cannot estimate a reasonably possible loss. The Chennai police inquiry into the India credit fund closures was closed by the court on July 17, 2026 with no action.
Based on Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings, reviewed 2026-10-18. Routine ordinary-course claims are not listed. “Major” is this site’s judgment of which matters could materially affect results.
25
Risks (including geopolitical)Site analysis
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.
- 1Demand & macro
Market levels drive fees
- Company disclosure (summarized from the 10-K)
- Fees are a percentage of AUM, so market declines and client withdrawals reduce revenue.
- Company’s stated mitigation
- Diversification across asset classes, regions and vehicles.
- This site’s assessment
- Impact High / Likelihood Med
- 2Competition & technology shift
Strong competition and fee pressure
- Company disclosure (summarized from the 10-K)
- Competes with many asset managers, brokers, banks, insurers and hedge funds on performance, products, service, distribution and fees.
- Company’s stated mitigation
- Growth in alternatives.
- This site’s assessment
- Impact Med / Likelihood High
- 3Law & regulation
Regulatory matters
- Company disclosure (summarized from the 10-K)
- Western Asset paid a $100M SEC civil penalty in June 2026; the 10-K notes such matters can cause reputational harm and outflows.
- Company’s stated mitigation
- DOJ said Western Asset is no longer a subject; SEC investigation resolved.
- This site’s assessment
- Impact Med / Likelihood Low
- 4Governance & quality
Key investment personnel
- Company disclosure (summarized from the 10-K)
- Retaining portfolio managers and analysts is material to the business; special retention awards were granted to senior executives in July 2026.
- Company’s stated mitigation
- Retention equity awards and carried interest allocations.
- This site’s assessment
- Impact Med / Likelihood Med
26
What changed in the risk factorsFrom SEC data
Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.
New or substantially reworded (2)
Developing regulatory treatment of AI, and failure to adequately address AI-related challenges, creates a risk of reputational harm and an impediment to growth.
Artificial Intelligence (AI) is used in many areas of our business and we plan to further incorporate AI into additional areas. Read more
The use of AI offers efficiencies, but also introduces significant challenges related to data security, privacy, intellectual property, regulatory compliance, accuracy and bias concerns, and reputational harm, among others. For example, AI technologies, including generative AI, may create content that appears correct but is factually inaccurate or flawed. AI technologies evolve at a rapid pace and their usage requires integration with other technology applications, data platforms and business processes. Globally, courts and regulatory agencies are developing approaches to dealing with AI-related issues, which creates uncertainty around the use of the technology. Use of AI technologies requires ongoing operational controls and procedures, and the development and…
No longer in the text (2)
We may not effectively manage risks associated with the replacement of benchmark indices.
The replacement of benchmark indices may impose a number of risks on our business, our clients and the financial services industry more widely. Read more
These include financial risks arising from changes in the valuation of financial instruments linked to benchmark indices, pricing and operational risks, and legal implementation and revised documentation. We may from time to time face operational challenges implementing successor benchmarks.
Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Nov 10, 2025 ↗ with the 10-K filed Nov 12, 2024 ↗.
27
What to watch going forwardSite analysis
- Whether long-term net inflows continue after the Western Asset matter.
- Fundraising and fee rates in alternatives.
- Operating margin recovery.
- Use of the $750M 5.500% notes issued in August 2026.
28
Source documentsShow
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: October 17, 2026 10:06 (SEC EDGAR) · Source 10-K filed: November 10, 2025
Built on10-K FY2025 · filed 2025-11-10
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
This page is this site’s own analysis based on public information, and does not represent Franklin Templeton, Inc.’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.