Citi Maintains Buy on Franklin Resources

Citi is out with its report today on Franklin Resources BEN, maintaining Buy. In a note to clients, Citi writes, "We rate BEN shares Buy/Low Risk (1L). In our opinion, BEN is an inexpensive a global asset manager with a strong balance sheet. Despite putting up best in class AUM growth and asset flows YTD, the stock has struggled on investor concern related to concentration of flows (mostly global fixed income). While this is a valid concern, we believe they are somewhat overblown, creating a solid entry point for a strategically well positioned player, with above average LT margin prospects." Citi maintains a $155 PT on BEN. Shares of BEN closed Monday at $131.76, down 3.88% from Friday's close.