This Dividend Stock Yields 4.6%, and It's Rock Solid
The S&P 500 Index has been in a downdraft, which materially increases uncertainty for long-term investors. However, weak markets can be a good time to start looking for dividend stocks, given that yield moves in the opposite direction to price. And one name that is particularly interesting today, given its tie to the broader markets, is Franklin Resources (NYSE: BEN), which is offering a fat 4.6% yield.
Franklin Resources is an asset manager, with roughly $1.5 trillion in assets under management (AUM). It makes money by charging fees on that sum, bringing in around $1.65 billion in revenue from asset management fees in the first quarter of 2022 alone. Sales, distribution, and servicing fees rounded the top line out to roughly $2.1 billion. The company earned $0.68 per share in the quarter and paid a dividend of $0.29 per share, leading to a payout ratio of roughly 43%.
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Source Fool.com
