Lagging Dependable Dividend Stocks #3: Franklin Resources (BEN)
Dividend Yield: 0.9%
YTD Performance: -9%
Franklin Resources (BEN) doesn’t have an especially high dividend yield, but it has a long history of paying out and raising payouts, which qualifies it as one of our dependable dividend stocks.
The political turmoil in Ukraine has largely been a non-event for the major equity indices, but that’s not the case for the investment services firm. BEN stock came under pressure on fears that it had a lot of sovereign debt exposure to the troubled region.
Analysts at UBS came out with a note to clients explaining that Franklin’s exposure to the region was essentially nothing, and that Franklin did not have exposure to the most troubled countries. UBS reiterated its “Buy” rating on BEN stock, and maintained its $62 price target on the shares.
This is a move I think BEN stock shareholders should take note of, especially of the Ukraine situation proves to be largely a non-event for markets.