| Stock (Symbol) | Stock Price | |
Franklin Resources (BEN) |
$155 |
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| Data is as of | Expected to Report | Sector |
June 3, 2013 |
Jul 29 – Aug 5 |
Financial |
| Sharek’s Take | ||
 Note: I am buying BEN today, 6/28, with the stock around $137. The data in these charts is as of 6/3 when BEN was $155.Franklin Resources (BEN) will be added to the Growth Portfolio and Aggressive Growth Portfolio. Franklin Resources is a mutual fund company, you are probably familiar with their Franklin Funds and Templeton Funds. I think of their areas of expertise as conservative value funds and international funds. With the stock market doing well, funds are attracting more assets, which leads to better fees. BEN has increased its regular dividend every year since 1981 and loves paying special dividends — when it can. The regular dividend is around $1, and the company has paid special dividends of $2 in 2005, $3 in 2009, $2 in 2011 and $3 in 2012. I bet BEN will pay another big dividend this year. |
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| One-Year Chart | ||
 BEN was $155 when this chart was done, now at $137, the stock is around 20% off its 52-week high. We are also picking up shares for 13 times earnings, which was the median P/E in both 2011 and 2012. BEN has an LTG of 15% and might pay a 3% dividend for 18% total return. 13 times earnings is a nice price for this stock. |
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| Earnings Table | ||
 BEN sports an impressive Earnings Table. I love seeing increasing estimates, that’s the recipe for a successful stock. Profits grew 16% last quarter, sales rose 12%.The company beat by an impressive 19 cents last quarter, and these estimates increased 12 cents a quarter earlier. I love the fact that Annual Profit Estimates are increasing every quarter. Business is good! Quarterly growth should be in the high-teens the rest of the year. These numbers are also growing. |
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| Fair Value | ||
 With positive momentum, BEN could hit 17 times earnings. I think 20% from here is reasonable in the next year. |
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| Ten-Year Chart | ||
 BEN is used to off years when the stock market doesn’t do well. If you can withstand the volitility, this stock has proven it can deliver in the long-term. |
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| Power Ranking | Bottom Line | |
Growth Portfolio
14 of 21 |
Franklin Resources is a solid investment that you can collect and pass to your heirs someday. The stock is timely with the stock market doing well, and we are getting it 20% off its highs. Today I will buy BEN in the Growth Portfolio and it will rank 8th of 21 stocks in the Power Rankings. This stock is timely and has 20% upside so it will also go into the Aggressive Growth Portfolio, where it will rank 7th of 11 stocks. |
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Aggressive Growth Portfolio
7 of 11 |
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