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Franklin TempletonFRA:FRK -0.24%79 Return-on-Tangible-Equity is 43.51% as of Jun. 2026, which is 62% above its 10-year median of 26.90. GuruFocus rates FRA:FRK with a GF Score™ of 79/100 and a GF Value™ of €18.90 (Modestly Overvalued). The stock has 9 warning signs investors should review. Among 1,589 Asset Management companies, Franklin Templeton ranks better than 93.2% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Franklin Templeton's annualized net income for the quarter that ended in Jun. 2026 was €595 Mil. Franklin Templeton's average shareholder tangible equity for the quarter that ended in Jun. 2026 was €1,369 Mil. Therefore, Franklin Templeton's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 43.51%.
The historical rank and industry rank for Franklin Templeton's Return-on-Tangible-Equity or its related term are showing as below:
FRA:FRK'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 8.51 Med: 26.9 Max: 132.94
Current: 50.14
During the past 13 years, Franklin Templeton's highest Return-on-Tangible-Equity was 132.94%. The lowest was 8.51%. And the median was 26.90%.
FRA:FRK's Return-on-Tangible-Equity is ranked better than 93.2% of 1589
companies
in the Asset Management industry
Industry Median: 7.5
vs FRA:FRK: 50.14
Franklin Templeton (FRA:FRK) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Franklin Templeton Return-on-Tangible-Equity Related Terms
Franklin Templeton Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Franklin Templeton's Return-on-Tangible-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Franklin Templeton Return-on-Tangible-Equity Chart
FRA:FRK vs CG, CRBG, PS: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, Franklin Templeton's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Franklin Templeton Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Franklin Templeton's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Franklin Templeton's Return-on-Tangible-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 43.51% mean?
Franklin Templeton (FRA:FRK) has a Return-on-Tangible-Equity of 43.51% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Franklin Templeton and its competitors. This is 62% above median its historical median of 26.90. Over the past decade, Franklin Templeton's Return-on-Tangible-Equity has ranged from 8.51 to 132.94. According to the industry distribution chart, Franklin Templeton ranks #108 out of 1589 companies in the Asset Management industry, placing it in the top 6.8%.
Is Franklin Templeton's Return-on-Tangible-Equity too high?
Franklin Templeton's current Return-on-Tangible-Equity of 43.51% is 62% above median its 10-year median of 26.90. Over the past 10 years, this metric has ranged from a low of 8.51 to a high of 132.94. The Asset Management industry median Return-on-Tangible-Equity is 7.50. Franklin Templeton's value of 43.51% is 480.1% above this industry median. Based on the distribution chart, Franklin Templeton ranks #108 out of 1589 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Franklin Templeton has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Franklin Templeton's Return-on-Tangible-Equity compare to CG and CRBG?
According to the Asset Management industry distribution chart, Franklin Templeton ranks #108 out of 1589 companies for Return-on-Tangible-Equity. This places Franklin Templeton in the top 7% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.50. Franklin Templeton's value of 43.51% is 480.1% above this benchmark. Historically, Franklin Templeton's own Return-on-Tangible-Equity has ranged from 8.51 to 132.94 over the past decade. While the company's 10-year median is 26.90 vs. the industry median of 7.50, Franklin Templeton has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.50, based on 1,589 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Franklin Templeton's current Return-on-Tangible-Equity of 43.51% is 480.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Franklin Templeton and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Franklin Templeton's current Return-on-Tangible-Equity is 43.51%, which is 62% above median its own 10-year median of 26.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Franklin Templeton stock overvalued right now?
Based on GuruFocus' analysis, Franklin Templeton (FRA:FRK) is currently considered Modestly Overvalued. The stock's GF Value™ is €18.90, compared to a current price of €28.92 — trading 53% above its estimated fair value. The current Return-on-Tangible-Equity is 43.51%, which is 62% above median its 10-year median of 26.90 and 480.1% above the Asset Management industry median of 7.50. Franklin Templeton's overall GF Score™ is 79/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Franklin Templeton (FRA:FRK), the current Return-on-Tangible-Equity is 43.51% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Franklin Templeton (FRA:FRK) Overvalued in 2026?
Based on GuruFocus' analysis, Franklin Templeton stock appears to be overvalued.
The current stock price of €28.92 is trading 53% above its estimated GF Value™ of €18.90.
GuruFocus considers Franklin Templeton to be Modestly Overvalued.
Key valuation signals for FRA:FRK:
Return-on-Tangible-Equity: 43.51% (62% above median its 10-year median of 26.90)
GF Value™: €18.90 vs. price of €28.92 (53% above fair value)
Industry Position: 480.1% above the Asset Management median (#108 of 1589)
No single metric tells the full story. See the FRA:FRK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Franklin Resources provides investment services for individual and institutional investors. At the end of May 2026, Franklin had $1.780 trillion in managed assets, composed primarily of equity (40%), fixed-income (26%), multi-asset/balanced (12%) funds, alternatives (17%), and money market funds (5%). Distribution tends to be weighted between retail investors (57% of assets under management) and institutional accounts (40%), with high-net-worth clients accounting for the remainder. Franklin is one of the more global of the US-based asset managers we cover, with 30% of its AUM invested in global/international strategies and 29% sourced from clients domiciled outside the United States.
79GF Score
Get the complete analysis for FRA:FRK
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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