Franklin Resources Shares Surge: Analyst Ratings in Focus
In recent trading, shares of Franklin Resources Inc (Symbol: BEN) have crossed above the average analyst 12-month target price of $20.38, changing hands for $20.78/share. When a stock reaches the target an analyst has set, the analyst has two ways to react: either downgrade on valuation or adjust their target price to a higher level. Their decision may hinge on the company’s recent performance and whether it justifies a price increase.
Diverse Analyst Targets Highlight Market Sentiment
Within the Zacks coverage universe, there are 14 different analyst targets contributing to the average for Franklin Resources Inc. While the average stands at $20.38, individual analyst targets range widely. One analyst projects a price of $19.00, while another sets a much higher target of $22.00. The standard deviation among these targets is $1.163, indicating some disagreement on future performance.
The Crowd’s Wisdom: What the Average Price Tells Investors
The rationale behind evaluating the average BEN price target revolves around capturing a “wisdom of crowds” perspective. This approach takes into account multiple expert opinions rather than relying on a single forecast. Now that BEN is trading above the average target price of $20.38/share, it signals an opportunity for investors to reassess the company. They must consider whether $20.38 is merely a stopping point or if the stock has become overvalued, warranting profit-taking. Below is a table outlining the current analyst ratings for Franklin Resources Inc:
| Recent BEN Analyst Ratings Breakdown | ||||
|---|---|---|---|---|
| » | Current | 1 Month Ago | 2 Months Ago | 3 Months Ago |
| Strong buy ratings: | 0 | 0 | 0 | 0 |
| Buy ratings: | 0 | 0 | 0 | 0 |
| Hold ratings: | 7 | 7 | 6 | 6 |
| Sell ratings: | 2 | 2 | 2 | 2 |
| Strong sell ratings: | 5 | 5 | 4 | 3 |
| Average rating: | 3.81 | 3.81 | 3.78 | 3.66 |
The average rating in the table above ranges from 1 to 5, where 1 is Strong Buy and 5 is Strong Sell. This article utilized data from Zacks Investment Research via Quandl.com. Readers can access the latest Zacks research report on BEN — FREE.
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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
