Franklin Resources (BEN) stock plummeted 5.08% in intraday trading, despite the company reporting better-than-expected fourth-quarter earnings. The asset management firm's shares took a hit even as it surpassed analyst predictions for both earnings per share and revenue.

Franklin Resources announced adjusted earnings of $0.67 per share for the quarter ended September 30, beating the analyst consensus estimate of $0.58 by 16.12%. This represents a 13.56% increase from $0.59 per share in the same period last year. The company's quarterly revenue came in at $2.344 billion, significantly surpassing the analyst estimate of $1.712 billion by 36.87% and showing a 6% year-over-year increase from $2.211 billion.

Despite the positive earnings report, investors seemed to focus on other factors, leading to the sharp decline in stock price. The company's operating margin for the quarter was reported at 3.6%, which may have raised concerns about profitability. Additionally, while Franklin Resources' adjusted net income of $357.5 million beat estimates, the reported operating income of $85.4 million and GAAP earnings per share of $0.21 might have disappointed some investors, potentially explaining the stock's negative performance.