Stock fact sheet · data as of
Franklin Financial Services Corporation (FRAF): fair value, margin of safety and Wheel Score
Financial Services · Banks - Regional · United States · Defensive
Is FRAF undervalued?
Franklin Financial Services Corporation (FRAF) closed at 62.81 on 16 Oct 2026. The GLS average fair value - the simple average of the 9 valuation models that produced a positive number - is 121.17, which puts the price 48% below it. 7 of the 9 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
There is a wide gap between DDM (19.72) and Payback Time (263.38). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files FRAF under Defensive: a low beta, a dividend and positive earnings.
Nine valuation models for FRAF
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 75.85 | +21% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 70.98 | +13% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 193.04 | +207% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 75.42 | +20% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 120.33 | +92% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 210.93 | +236% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 263.38 | +319% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 19.72 | -69% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 60.88 | -3% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -407.59 | -749% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 0.0000 | -100% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Franklin Financial Services Corporation scores 8 of 9 on the Piotroski F-score, the nine yes/no tests of profitability, leverage and efficiency on the latest annual accounts - a strong reading that passes the Sunday Scan's "6 or more" rule with room to spare. A GLS Moat score of 4.8/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are moderate - ROIC 5.4%, ROE 12.1%, ROA 0.9% - with debt at 1.23 times equity and a free-cash-flow yield of 14.5%.
The dividend yield is 2.13% at a payout ratio of 24%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Asset Management Fees 95%, Estate Management Services Fees 3%, Commision 2% (quarter Q2 FY2026).
Institutional ownership scores 5/10, insider activity 8/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 8 / 9 | ROIC | 5.4% |
|---|---|---|---|
| GLS Moat | 4.8 / 10 | ROE | 12.1% |
| Debt / equity | 1.23 | ROA | 0.9% |
| Free-cash-flow yield | 14.5% | Payout ratio | 24% |
| Institutions | 5 / 10 | Insiders · Congress | 8 · 5 / 10 |
Wheel Score 39: No options
No options are listed on Franklin Financial Services Corporation in our nightly snapshot. The Wheel Score is therefore capped at 39 (it reads 39) and the stock is left out of every options screen; the fair value and health figures above are still useful for a plain stock position.
Volume runs at 33k shares a day on a market cap of $283M, with a beta of -0.02 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 6 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 48% margin of safety | |
| Health | 18 / 20 | Piotroski 8/9 | |
| Moat | 7 / 15 | moat 4.8/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 6 / 20 | 33k shares/day, $283M cap, beta -0.02 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Franklin Financial Services Corporation reports earnings on 27 Oct 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Banks - Regional
The 12 companies below are the closest to Franklin Financial Services Corporation by market cap within the Banks - Regional industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| OVLY Oak Valley Bancorp | 33.55 | 42.90 | +22% | 39No options | $282M |
| FUNC First United Corporation | 43.92 | 55.55 | +21% | 39No options | $283M |
| ATLO Ames National Corporation | 32.15 | 44.93 | +28% | 76Good | $285M |
| ISBA Isabella Bank Corporation | 36.71 | 54.14 | +32% | 39No options | $280M |
| MYFW First Western Financial, Inc. | 29.46 | 31.19 | +6% | 65Good | $288M |
| NKSH National Bankshares, Inc. | 43.32 | 49.10 | +12% | 37No options | $276M |
| TRUX Truxton Corporation | 25.13 | 40.32 | +38% | 39No options | $290M |
| VABK Virginia National Bankshares Corporation | 50.69 | 49.93 | -2% | 39No options | $275M |
| FNRN First Northern Community Bancorp | 16.67 | 19.28 | +14% | 39No options | $273M |
| BPRN Princeton Bancorp Inc. | 43.38 | 44.83 | +3% | 39No options | $296M |
| WNEB Western New England Bancorp, Inc. | 13.45 | 14.35 | +6% | 66Good | $270M |
| LCNB LCNB Corp. | 18.79 | 24.40 | +23% | 65Good | $268M |
⚖ Compare FRAF with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about FRAF
Is FRAF undervalued right now?
By the GLS models, yes: at 62.81 the stock is 48% below the average fair value of 121.17 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of FRAF and what does it mean?
FRAF has no listed options in our nightly snapshot, so it cannot be wheeled; its Wheel Score is capped at 39 and shown as "No options".
What is the GLS fair value for FRAF?
121.17 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Franklin Financial Services Corporation report earnings next?
The next earnings report is due on 27 Oct 2026 (before the open), 11 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does FRAF have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on FRAF, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.