Why Franklin Resources (BEN) is a Top Dividend Stock for Your Portfolio

Company Overview - Franklin Resources (BEN) is headquartered in San Mateo and has experienced a price change of 17.59% this year [3] - The company currently pays a dividend of $0.32 per share, resulting in a dividend yield of 5.53%, which is significantly higher than the Financial - Investment Management industry's yield of 2.66% and the S&P 500's yield of 1.4% [3] Dividend Performance - The current annualized dividend of Franklin Resources is $1.32, reflecting a 3.1% increase from the previous year [4] - Over the past 5 years, the company has increased its dividend 5 times, achieving an average annual increase of 3.38% [4] - The current payout ratio is 58%, indicating that the company pays out 58% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Franklin Resources' earnings in 2025 is $2.50 per share, with an expected increase of 12.61% from the previous year [5] - The company is viewed as a strong dividend play, particularly appealing to income investors due to its solid earnings growth prospects [6] Investment Considerations - Established firms with secure profits are typically seen as the best dividend options, while high-growth businesses rarely offer dividends [6] - Franklin Resources is considered a compelling investment opportunity, currently holding a Zacks Rank of 3 (Hold) [6]