Contrasting Highest Performances (NASDAQ:HPH) and Franklin Resources (NYSE:BEN)

Highest Performances (NASDAQ:HPH) and Franklin Resources (NYSE:BEN) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, valuation, dividends, institutional ownership, profitability, earnings and risk.

Institutional and Insider Ownership

47.6% of Franklin Resources shares are owned by institutional investors. 87.6% of Highest Performances shares are owned by insiders. Comparatively, 24.1% of Franklin Resources shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Highest Performances and Franklin Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Highest Performances	N/A	N/A	N/A
Franklin Resources	11.09%	10.82%	4.51%

Volatility and Risk

Highest Performances has a beta of 0.31, suggesting that its share price is 69% less volatile than the S&P 500. Comparatively, Franklin Resources has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Highest Performances and Franklin Resources, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Highest Performances	0	0	0	0	N/A
Franklin Resources	3	5	0	0	1.63

Franklin Resources has a consensus price target of $26.00, suggesting a potential upside of 11.44%. Given Franklin Resources’ higher probable upside, analysts plainly believe Franklin Resources is more favorable than Highest Performances.

Valuation & Earnings

This table compares Highest Performances and Franklin Resources’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Highest Performances	$15.78 million	145.59	-$6.01 million	N/A	N/A
Franklin Resources	$7.85 billion	1.56	$882.80 million	$1.75	13.33

Franklin Resources has higher revenue and earnings than Highest Performances.

Summary

Franklin Resources beats Highest Performances on 8 of the 10 factors compared between the two stocks.

About Highest Performances

Highest Performances Holdings Inc. engages in the provision of financial technology services in China. The company distributes publicly raised fund and privately raised securities investment fund products through online and offline. It also offers insurance consulting, trust consulting, asset management, wealth management, and other ancillary services. The company was formerly known as Puyi Inc. and changed its name to Highest Performances Holdings Inc. in March 2024. Highest Performances Holdings Inc. was founded in 2010 and is headquartered in Guangzhou, China.

About Franklin Resources

Franklin Resources, Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm provides its services to individuals, institutions, pension plans, trusts, and partnerships. It launches equity, fixed income, balanced, and multi-asset mutual funds through its subsidiaries. The firm invests in the public equity, fixed income, and alternative markets. Franklin Resources, Inc. was founded in 1947 and is based in San Mateo, California with an additional office in Calgary, Canada; Dubai, United Arab Emirates; Edinburgh, United Kingdom; Fort Lauderdale, United States; Hyderabad, India; London, United Kingdom; Rancho Cordova, United states; Shanghai, China; Singapore; Stamford, United States; and Vienna, Austria.