Will BEN's Q2 2025 earnings beat forecasts?
4/5/2025 02:24pm
**Franklin Resources Inc. (BEN) is unlikely to beat Q2 2025 earnings forecasts**. Here's why:
1. **Expected EPS and Revenue**: The estimated EPS for BEN in Q2 2025 is $0.5, which is the same as the previous quarter's EPS. This suggests a lack of significant improvement expected from the company's earnings. The estimated revenue for the same period is $2.01 billion, which is slightly higher than the previous quarter's revenue. However, this increase is minimal and may not be indicative of a strong performance.
2. **Historical Performance**: BEN has experienced a decline of 6.2% over the past three months and 31.1% over the past 52 weeks compared to the Dow Jones Industrials Average. This underperformance could reflect broader market challenges or company-specific issues that have not yet led to a recovery in earnings.
3. **Market Conditions**: The company's assets under management (AUM) have decreased from $1.57 trillion at the end of February 2025 to $1.53 trillion by March 2025. This decline, attributed to negative market impacts and net outflows, suggests a challenging investment environment that may have affected earnings.
4. **Recent News**: BEN's stock has seen a 32.3% decrease from its 52-week high and has been trading below its 50-day and 200-day moving averages since last year. These indicators suggest bearish sentiment among investors, which could persist unless there is a positive earnings surprise.
In conclusion, while BEN's Q2 2025 earnings are not expected to fall short of forecasts, the company's performance is likely to be in line with or slightly below expectations, given the current market conditions and recent trends. A earnings beat is not currently anticipated.