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Morgan Stanley Raises Franklin Resources (BEN) Target to $22, Keeps Underweight Rating

Franklin Resources, Inc. (NYSE:BEN) is included among the Dividend Champions, Contenders, and Challengers List: 15 Highest Yielding Stocks.

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On February 3, Morgan Stanley raised its price recommendation on Franklin Resources, Inc. (NYSE:BEN) to $22 from $21. It kept an Underweight rating on the stock and trimmed its calendar Q4 adjusted EPS estimate by 14%, pointing to higher operating costs. At the same time, the firm took a more optimistic view further out, lifting its 2026 adjusted EPS forecast by 6.3% and nudging its 2027 estimate up 0.7%, supported by expectations for stronger fee income and better non-operating investment returns.

On February 4, Franklin reported preliminary month-end assets under management of $1.71 trillion as of January 31, 2026, up from $1.68 trillion at the end of December. The increase reflected favorable market conditions along with about $1.5 billion in long-term net inflows. That total included roughly $1.5 billion of long-term net outflows at Western Asset Management. Excluding Western Asset, long-term net inflows were closer to $3 billion.

Western Asset’s preliminary AUM came in at $216 billion at the end of January, slightly down from $217 billion a month earlier. Market gains helped, but those were partly offset by the long-term outflows recorded during the month.

Franklin Resources, Inc. (NYSE:BEN) operates globally under the Franklin Templeton name, offering investment strategies across equities, fixed income, alternatives, and multi-asset solutions to clients in more than 150 countries.

While we acknowledge the potential of BEN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BEN and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 12 Unstoppable Dividend Stocks to Buy According to Analysts and 13 Best Long Term Low Risk Stocks to Buy Now

Disclosure: None.

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