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FTF

BEARISH
$5.88 Live
Franklin Limited Duration Income Trust · AMEX
$5.7 52W Range $6.55

At a glance

Key valuation, profitability, growth, and risk metrics.

Updated Apr 27, 2026
Market cap
$237.58M
P/E
14.0
ROE
6.2%
Profit margin
51.9%
Debt/Equity
0.36
Dividend yield
12.55%

AI Analysis

AI-powered fundamental assessment

Confidence
85%
FTF presents as a classic value trap, characterized by a stable Piotroski F-Score of 6/9 but severely compromised by unsustainable dividend payouts. While the current price of $5.88 sits below the Graham Number ($7.91) and Book Value (P/B 0.89), the growth-based intrinsic value is significantly lower at $2.94. The most critical concern is a payout ratio of 175.71%, indicating the trust is returning capital far in excess of its earnings. Combined with negative revenue and earnings growth, the high yield is likely unsustainable.

Key Strengths

Trading below book value (P/B 0.89)
Strong operating margins (85.91%)
Low debt-to-equity ratio (0.36)
Stable Piotroski F-Score (6/9)
Positive long-term 3Y and 5Y price performance

Key Risks

Unsustainable dividend payout ratio (175.71%)
Significant earnings contraction (-26.40% YoY)
Poor short-term liquidity (Current Ratio 0.42)
Negative revenue growth (-8.90%)
Bearish technical trend (0/100)
AI Fair Value Estimate
Based on comprehensive analysis
$4.42
-24.8% below current price

Performance Snowflake

Multi-dimensional analysis across 5 key categories

Overall
43
Moderate
Value
60
Future
20
Past
65
Health
55
Dividend
15
AI Verdict
Avoid/Underperform
Key drivers: Dividend insolvency risk, Negative earnings growth, Liquidity constraints
Confidence
90%
Value
60/100

P/E of 14.00 is low relative to sector average, but growth is negative.

Positives
  • Price below Graham Number
  • P/B ratio < 1.0
Watchpoints
  • Price significantly above growth-based intrinsic value ($2.94)
Future
20/100

Consistent decline in top and bottom line metrics.

Positives
No standout positives identified.
Watchpoints
  • Revenue growth -8.90%
  • Earnings growth -26.40%
Past
65/100

Historical returns were positive, but current fundamentals are deteriorating.

Positives
  • 3Y Change +33.6%
  • 5Y Change +12.8%
Watchpoints
  • Recent momentum is stalling
Health
55/100

Stable operational health but weak short-term solvency.

Positives
  • Piotroski F-Score 6/9 (Stable)
  • Low Debt/Equity
Watchpoints
  • Current Ratio 0.42 indicates liquidity risk
Dividend
15/100

Dividend is likely being funded by capital erosion rather than earnings.

Positives
  • High nominal yield (12.55%)
Watchpoints
  • Payout ratio 175.71% is fundamentally unsustainable

Stock Price & Analyst Targets

Real-time price movements and analyst price targets

Current Price
$5.88

Multi-Horizon Performance vs Peers

Price momentum across 5Y → 1W horizons for FTF and closest competitors.

Updated 2026-04-24
FTF
Franklin Limited Duration Income Trust
Primary
5Y
+12.8%
3Y
+33.6%
1Y
+6.0%
6M
+1.7%
1M
+1.6%
1W
-1.0%
LCN
LCNB Corp.
Peer
5Y
+22.0%
3Y
+20.8%
1Y
+26.8%
6M
+16.9%
1M
+5.5%
1W
-1.0%
NKS
National Bankshares, Inc.
Peer
5Y
+32.9%
3Y
+33.0%
1Y
+57.3%
6M
+27.1%
1M
-1.9%
1W
+1.0%
OPR
Oportun Financial Corporation
Peer
5Y
-73.3%
3Y
+35.4%
1Y
+31.1%
6M
-2.4%
1M
+24.2%
1W
+10.7%
MRB
Meridian Corporation
Peer
5Y
+99.3%
3Y
+117.9%
1Y
+49.5%
6M
+36.6%
1M
+6.9%
1W
-0.8%

Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.

Historical Performance Trends

Long-term financial metrics and growth patterns

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Historical data shows last 12 quarters (3 years)

Valuation Metrics

Key valuation ratios and pricing indicators

P/E Ratio
14.0
Forward P/E
N/A
PEG Ratio
N/A
P/B Ratio
0.89
P/S Ratio
7.22
EV/Revenue
9.95
EV/EBITDA
N/A
Market Cap
$237.58M

Profitability

Profit margins and return metrics

Profit Margin 51.89%
Operating Margin 85.91%
Gross Margin 100.0%
ROE 6.23%
ROA 4.37%

Growth

Revenue and earnings growth rates

Revenue Growth -8.9%
Earnings Growth -26.4%
Q/Q Revenue Growth N/A
Q/Q Earnings Growth -26.4%

Financial Health

Balance sheet strength and liquidity metrics

Debt/Equity
0.36
Low debt
Current Ratio
0.42
Weak
Quick Ratio
0.42
Poor
Cash/Share
$0.19

Financial Statement Flow

Interactive flow visualization showing how money moves through the company Q4 2025

Total Assets
$0.4B
Liabilities
$0.1B
Equity
$0.3B
Debt/Equity
0.47x

Financial Services Sector Comparison

Comparing FTF against 763 companies in the Financial Services sector (133 bullish, 317 neutral, 313 bearish)
P/E Ratio
14.0
This Stock
vs
38.21
Sector Avg
-63.4% (Discount)
Return on Equity (ROE)
6.23%
This Stock
vs
-1.82%
Sector Avg
-442.3% (Below Avg)
Profit Margin
51.89%
This Stock
vs
75.74%
Sector Avg
-31.5% (Weaker)
Debt to Equity
0.36
This Stock
vs
1.42
Sector Avg
-74.4% (Less Debt)
Revenue Growth
-8.9%
This Stock
vs
37.18%
Sector Avg
-123.9% (Slower)
Current Ratio
0.42
This Stock
vs
3.32
Sector Avg
-87.3% (Weaker)

Similar Companies

Peer comparison within the same industry

SEC Filings

Recent regulatory filings from the SEC EDGAR database

DEF 14A
DEF 14A
2025-08-25

FTF filed a definitive proxy statement on August 25, 2025, providing shareholders with necessary information and voting materials for the company's upcoming annual meeting.

DEF 14A
DEF 14A
2024-08-26

FTF filed a definitive proxy statement (DEF 14A) on August 26, 2024, providing shareholders with necessary information to vote on corporate matters at an upcoming meeting.

Data sourced from SEC EDGAR. AI summaries generated automatically.

Past News Coverage

Recent headlines mentioning FTF from our newsroom.

Newest → oldest
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