Nomura Securities Maintains a 'Buy' on Franklin Resources (BEN); Review of 2Q Results

Nomura Securities maintains a 'Buy' on Franklin Resources (NYSE: BEN), raises PT from $138 to $142.

Nomura analyst, Glenn Schorr, said, "The solid EPS beat was largely a function of well-controlled expenses and higher investment income (plus a lower tax rate), as revenues were mostly in line with expectations. Overall, we think the 5% organic growth rate was pretty good, considering the international disruptions in the quarter and the ongoing muni concerns, which continue to be a drag. We are raising estimates and our price target based on the beat in the quarter, better-than-expected expense control and higher ending AUM. Increase FY11/12 EPS estimates to $8.90/$9.57 from $8.39/$9.21. Raise px tgt to $142, based on a target multiple of about 14.5x our revised calendar 2012E EPS of $9.80."

For more ratings news on Franklin Resources click here and for the rating history of Franklin Resources click here.

Shares of Franklin Resources closed at $127.33 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Nomura/Instinet Upgrades Genting Singapore (GENS:SP) (GIGNY) to Neutral
• Fiserv (FISV) PT Lowered to $60 at Freedom Broker
• SoundThinking (SSTI) PT Lowered to $8 at Cantor Fitzgerald