Franklin Universal Trust
FTFinancial Services · Stock · monthly payer
Forward Yield
7.12%
Annual Dividend
$0.51
Payout Ratio
39%
5-Yr Growth
6.1%
Ex-Date
Sep 23, 2026
Frequency
Monthly
Summary
As of September 2026, Franklin Universal Trust (FT) yields 7.12% ($0.51 per share annually), with a blended fair-value estimate of $14.46 — +96% upside, so it screens as undervalued. Dividend safety grade: A (81/100).
Is FT a good dividend stock?
YesFranklin Universal Trust (FT) pays a monthly dividend yielding 7.12% ($0.51/yr), with 0 years of growth and a dividend-safety grade of A. It scores well across payout coverage, growth history and safety — a dependable income holding.
Advantages
- Comfortable payout ratio (39%)
- Strong 6.1% 5-yr dividend growth
- Top-tier dividend safety score
Risks
- Cut its dividend in 2017
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 7.12%
- Payout Ratio
- 39%
- Annual Dividend
- $0.51
- 5-Yr Avg Growth
- 6.1%
- Ex-Dividend Date
- Sep 23, 2026
- Years of Growth
- 0
- Frequency
- monthly
- Beta
- 0.64
- Market Cap
- $177.3M
- P/E Ratio
- 5.4
- 5-Yr Total Return
- -11%
- 52-Week Range
- $7.30 – $8.35
- Dividend Safety
- A · 81/100
- Ever Cut?
- Yes (2017)
Frequently Asked Questions
FT Price — Last 12 Months
Daily close
Price Return
1 Year
-8%
3 Years
+20%
5 Years
-11%
52-Week Range
$7.30 – $8.35
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is FT worth?
Undervaluedlow confidenceOur blended fair-value estimate for Franklin Universal Trust is $14.46 per share, versus a market price of $7.36. That implies 96% of upside — a margin of safety of about 49%.
Fair Value
$14.46
Current Price
$7.36
Upside
+96%
Margin of Safety
49%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about 0.2% annual free-cash-flow growth. We model 6.1% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.5% discount rate (CAPM), 6.1% stage-1 growth, 2.5% terminal growth, $1.30 EPS, $0.51 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
FT Dividend Safety Score
Very Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
Full FT dividend history →| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Sep 23, 2026 | — | $0.0430 | regular |
| Aug 24, 2026 | — | $0.0430 | regular |
| Jul 24, 2026 | — | $0.0430 | regular |
| Jun 23, 2026 | — | $0.0430 | regular |
| May 21, 2026 | — | $0.0430 | regular |
| Apr 23, 2026 | — | $0.0430 | regular |
| Mar 24, 2026 | — | $0.0430 | regular |
| Feb 20, 2026 | — | $0.0430 | regular |
| Jan 23, 2026 | — | $0.0430 | regular |
| Dec 15, 2025 | — | $0.0430 | regular |
| Nov 17, 2025 | — | $0.0430 | regular |
| Oct 17, 2025 | — | $0.0430 | regular |
| Sep 18, 2025 | — | $0.0430 | regular |
| Aug 18, 2025 | — | $0.0430 | regular |
Income Calculator
At $0.51 / yr per share
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