It is my goal every month to buy at least one lot of $500 from my undervalued dividend growth watch list, however, this month I get to by more since I sold my position in CVX.ย  That liquidiation provided me with $1,045 of capital in addition to my normal $500 – $1,545.ย  Instead of buying 3 positions of $500 I am going to just buy 2 lots of approximately $750 a piece.

Initiating a Stock Position in Franklin Resources – BEN

According to Google Finance

Franklin Resources, Inc. (Franklin), is a holding company. Franklin together with its various subsidiaries (collectively, the Company), is referred to as Franklin Templeton Investments, is a global investment management organization offering investment management and related services under the Franklin, Templeton, Mutual Series, Bissett, Fiduciary and Darby brand names. It provides services to investment funds in jurisdictions globally, which include the United States- and non- United States-registered open-end and closed-end funds, unregistered funds, and institutional, high net-worth and separately-managed accounts. The Companyโ€™s investment management and related services include fund administration, shareholder services, transfer agency, underwriting, distribution, custodial, trustee and other fiduciary services. Its sponsored investment products include a range of equity, hybrid, fixed-income and cash management funds and accounts, including alternative investment products.

BEN has taken a real hit recently bringing its metrics low enough to show up on my screens:

  • P/E of 117 vs 19.2 (Industry)
  • Operating Margin of 37% vs 22.7% (Industry)
  • P/B of 1.6
  • Yield of 2.14%
  • Payout Ratio of a safe 23.80%

Look at this 1year Chart and you can see why it is just showing up now

Ben 1yr Chart

The main risk coming from BEN is a changing environment in the investment world with people running into passive, index investments and away from BEN’s core world of managed products.ย  Notwithstanding this risk, I believe the company is poised to make whatever moves it needs to stay relevant with their $850,000,000,000 assets under management!

Increase Stock Position in Target – TGT

I have been a target shareholder for years and already purchased additional shares last month but with the metrics below why not add some more!

  • P/E of 13.3 vs 17.9 (Industry)
  • Operating Margin of 7% vs 5% (Industry)
  • P/B of 3.3
  • Yield of 3.21%
  • Payout Ratio of 41.80%

What did you buy this month?

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