Franklin Resources Inc (BEN) vs TPG Inc. (TPG)

Franklin Resources Inc and TPG Inc. are both Asset Management companies. Franklin Resources Inc and TPG Inc. are of similar size ($16.8B and $16.5B). Franklin Resources Inc trades at the lower P/E: 22.5× against 37.6×. TPG Inc. grew revenue faster over the last twelve months: 30.1% against 7.94%. Franklin Resources Inc has the higher net margin (8.14% vs 4.67%) and the lower return on invested capital (2.27% vs 7.97%). Both pay a dividend; Franklin Resources Inc yields more (4.61% vs 2.87%). Across the 22 metrics below, TPG Inc. leads on 14 and Franklin Resources Inc on 8.

Valuation

Metric BEN TPG Asset Management median
P/E 22.46 37.62 14.62
P/S 1.82 1.45 2.97
P/B 1.32 1.95 0.94
Price to free cash flow 73.45 7.97 8.93
EV/EBITDA 21.51 9.14 10.32
EV/Sales 3.11 1.72 5.72
Earnings yield 4.45% 2.66% 4.53%
Free cash flow yield 1.36% 12.55% 4.65%

Profitability

Metric BEN TPG Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 9.71% 15.54% 33.03%
Net margin 8.14% 4.67% 13.53%
Free cash flow margin 2.48% 18.15% 12.44%
Return on equity 5.84% 6.47% 4.83%
Return on assets 2.21% 1.82% 1.57%
Return on invested capital 2.27% 7.97% 3.04%

Growth

Metric BEN TPG Asset Management median
Revenue growth (TTM) 7.94% 30.07% 6.97%
EPS growth (last fiscal year) 7.06% 207.14% —
Revenue growth, 5-year CAGR 9.52% 17.17% 12.13%
Net income growth, 5-year CAGR (9.65%) (33.68%) 0.00%

Health

Metric BEN TPG Asset Management median
Debt to equity 1.22 0.63 0.42
Current ratio 1.48 0.31 1.28
Net debt to EBITDA 7.18 1.06 1.06

Dividend

Metric BEN TPG Asset Management median
Dividend yield 4.61% 2.87% 6.92%
Payout ratio 0.74 19.29 0.77

Size

Metric BEN TPG Asset Management median
Market cap 16.54b 16.78b 721.34m

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