Principal Financial Group
Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. The last earnings update was 65 days ago. More info.
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0KO5 Share Price and Events
7 Day Returns
1 Year Returns
0KO5 Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Principal Financial Group (0KO5) | 0% | 2.2% | 10% | -13% | - | - |
| GB Insurance | 3.8% | 3.5% | 10.1% | -4.5% | 14.3% | 23.7% |
| GB Market | 1.9% | 3% | 7.9% | 2.5% | 15.6% | 6.8% |
1 Year Return vs Industry and Market
- 0KO5 underperformed the Insurance industry which returned -4.5% over the past year.
- 0KO5 underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 2.5% over the past year.
0KO5 Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Principal Financial Group
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Principal Financial Group.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | Excess Returns Model | |
| Stable EPS |
Weighted future Return on Equity estimates from 7 analysts.
= Stable Book Value * Return on Equity = $47.45 * 12.9% |
$6.11 |
| Book Value of Equity per Share | Weighted future Book Value estimates from 5 analysts. | $47.45 |
| Discount Rate (Cost of Equity) | See below | 6.6% |
| Perpetual Growth Rate | 10-Year GB Government Bond Rate | 1.2% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year GB Govt Bond Rate | 1.2% |
| Equity Risk Premium | S&P Global | 6% |
| Insurance Unlevered Beta | Simply Wall St/ S&P Global | 0.72 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.725 (1 + (1- 21%) (21.62%)) |
0.899 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.9 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.899 * 5.96%) |
6.58% |
Discounted Cash Flow Calculation for LSE:0KO5 using Excess Returns Model Model
The calculations below outline how an intrinsic value for Principal Financial Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.
In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.
The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.
Note the calculations below are per share.
See our documentation to learn about this calculation.
| Calculation | Result | |
|---|---|---|
| Excess Returns |
= (Stable Return on equity – Cost of equity) (Book Value of
Equity per share)
= (12.9% – 6.58%) * $47.45) |
$2.99 |
| Terminal Value of Excess Returns |
= Excess Returns / (Cost of Equity -
Expected Growth Rate)
= $2.99 / (6.58% - 1.23%) |
$55.77 |
| Value of Equity |
= Book Value per share + Terminal Value of
Excess Returns
= $47.45 + $55.77 |
$103.22 |
| Calculation | Result | |
|---|---|---|
| Non-primary Listing Adjustment Factor |
1 share in LSE:0KO5
represents 0.96088x
of
NasdaqGS:PFG
(This could be a different class, a depositary receipt, a different currency, or all of these things.) |
0.96088x |
| Value per Share (Listing Adjusted, USD) |
= Value per Share (USD) x Listing Adjustment Factor
= $ 103.22 x 0.96088 |
$99.18 |
| Value per share (USD) | From above. | $99.18 |
| Current discount | Discount to share price of
$53.06
= -1 x ($53.06 - $99.18) / $99.18 |
46.5% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Principal Financial Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Principal Financial Group's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Principal Financial Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Principal Financial Group's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $5.41 |
| NasdaqGS:PFG Share Price ** | NasdaqGS (2019-04-11) in USD | $55.22 |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PE Ratio | Median Figure of 19 Publicly-Listed Insurance Companies | 16.26x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 796 Publicly-Listed Companies | 16.29x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Principal Financial Group.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NasdaqGS:PFG Share Price ÷ EPS (both in USD) = 55.22 ÷ 5.41 |
10.2x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Principal Financial Group is good value based on earnings compared to the GB Insurance industry average.
- Principal Financial Group is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does
Principal Financial Group's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 10.2x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts |
4.6%per year |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PEG Ratio | Median Figure of 16 Publicly-Listed Insurance Companies | 1.54x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 563 Publicly-Listed Companies | 1.47x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 10.2x ÷ 4.6% |
2.24x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Principal Financial Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Principal Financial Group's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $40.75 |
| NasdaqGS:PFG Share Price * | NasdaqGS (2019-04-11) in USD | $55.22 |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry PB Ratio | Median Figure of 24 Publicly-Listed Insurance Companies | 2.12x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,365 Publicly-Listed Companies | 1.51x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NasdaqGS:PFG Share Price ÷ Book Value per Share (both in USD) = 55.22 ÷ 40.75 |
1.36x |
* Primary Listing of Principal Financial Group.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Principal Financial Group is good value based on assets compared to the GB Insurance industry average.
Value checks
We assess Principal Financial Group's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check) Principal Financial Group has a total score of 5/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
0KO5 Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Principal Financial Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
- Principal Financial Group's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
- Principal Financial Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| LSE:0KO5 Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts | 4.6% |
| LSE:0KO5 Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts | 7.3% |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Earnings Growth Rate | Market Cap Weighted Average | 11.8% |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Revenue Growth Rate | Market Cap Weighted Average | 18.3% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 10.9% |
| United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 7 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 17,902 | 1,773 | 2 | |
| 2020-12-31 | 16,326 | 1,620 | 5 | |
| 2019-12-31 | 15,172 | 1,509 | 5 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 14,237 | 5,157 | 1,547 |
| 2018-09-30 | 13,704 | 4,273 | 2,152 |
| 2018-06-30 | 13,984 | 3,997 | 2,506 |
| 2018-03-31 | 13,927 | 4,412 | 2,359 |
| 2017-12-31 | 14,093 | 4,188 | 2,310 |
| 2017-09-30 | 14,369 | 4,559 | 1,787 |
| 2017-06-30 | 12,560 | 3,561 | 1,285 |
| 2017-03-31 | 12,407 | 3,485 | 1,297 |
| 2016-12-31 | 12,394 | 3,858 | 1,317 |
| 2016-09-30 | 11,687 | 3,981 | 1,252 |
| 2016-06-30 | 12,110 | 4,385 | 1,244 |
| 2016-03-31 | 12,344 | 4,642 | 1,163 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 7 Analyst Estimates (S&P Global) | See Below |
All data from Principal Financial Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 6.27 | 6.27 | 6.27 | 1.00 |
| 2020-12-31 | 5.91 | 6.14 | 5.56 | 5.00 |
| 2019-12-31 | 5.33 | 5.45 | 5.16 | 5.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | 5.41 |
| 2018-09-30 | 7.49 |
| 2018-06-30 | 8.68 |
| 2018-03-31 | 8.16 |
| 2017-12-31 | 8.00 |
| 2017-09-30 | 6.19 |
| 2017-06-30 | 4.46 |
| 2017-03-31 | 4.50 |
| 2016-12-31 | 4.55 |
| 2016-09-30 | 4.31 |
| 2016-06-30 | 4.26 |
| 2016-03-31 | 3.96 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Principal Financial Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks
We assess Principal Financial Group's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Principal Financial Group has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
0KO5 Past Performance
How has Principal Financial Group performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Principal Financial Group's year on year earnings growth rate has been positive over the past 5 years.
- Principal Financial Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Principal Financial Group's 1-year earnings growth is negative, it can't be compared to the GB Insurance industry average.
Earnings and Revenue History
All data from Principal Financial Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 14,237.20 | 1,546.50 | 4,136.70 | |
| 2018-09-30 | 13,704.30 | 2,151.80 | 4,009.50 | |
| 2018-06-30 | 13,984.00 | 2,505.70 | 3,834.90 | |
| 2018-03-31 | 13,927.40 | 2,358.60 | 3,775.00 | |
| 2017-12-31 | 14,093.20 | 2,310.40 | 3,893.80 | |
| 2017-09-30 | 14,369.30 | 1,786.60 | 3,543.50 | |
| 2017-06-30 | 12,559.50 | 1,284.60 | 3,529.40 | |
| 2017-03-31 | 12,406.90 | 1,297.40 | 3,523.70 | |
| 2016-12-31 | 12,394.10 | 1,316.50 | 3,732.60 | |
| 2016-09-30 | 11,687.30 | 1,252.10 | 3,496.20 | |
| 2016-06-30 | 12,110.20 | 1,244.30 | 3,490.60 | |
| 2016-03-31 | 12,343.70 | 1,163.10 | 3,435.60 | |
| 2015-12-31 | 11,964.40 | 1,209.30 | 3,466.00 | |
| 2015-09-30 | 12,065.40 | 1,226.10 | 3,620.30 | |
| 2015-06-30 | 11,308.80 | 1,156.10 | 3,646.80 | |
| 2015-03-31 | 10,656.30 | 1,221.60 | 3,668.50 | |
| 2014-12-31 | 10,477.60 | 1,091.40 | 3,432.90 | |
| 2014-09-30 | 10,242.20 | 1,054.40 | 3,574.80 | |
| 2014-06-30 | 9,997.50 | 1,069.70 | 3,414.80 | |
| 2014-03-31 | 9,601.40 | 985.40 | 3,328.40 | |
| 2013-12-31 | 9,289.50 | 879.70 | 3,294.20 | |
| 2013-09-30 | 8,912.80 | 861.20 | 3,060.00 | |
| 2013-06-30 | 9,377.90 | 802.70 | 3,105.10 | |
| 2013-03-31 | 9,285.90 | 748.00 | 3,037.20 | |
| 2012-12-31 | 9,215.10 | 773.60 | 2,933.90 | |
| 2012-09-30 | 8,978.00 | 707.20 | 2,672.90 | |
| 2012-06-30 | 8,366.90 | 591.90 | 2,628.50 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Principal Financial Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Principal Financial Group used its assets less efficiently than the GB Insurance industry average last year based on Return on Assets.
- Principal Financial Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Principal Financial Group's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Principal Financial Group has a total score of 1/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
0KO5 Health
How is Principal Financial Group's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Principal Financial Group's finances.
The net worth of a company is the difference between its assets and liabilities.
- Principal Financial Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Principal Financial Group's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 2.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Principal Financial Group Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 11,847.20 | 3,321.20 | 3,721.60 |
| 2018-09-30 | 11,917.20 | 3,335.30 | 3,656.20 |
| 2018-06-30 | 11,845.40 | 3,333.40 | 3,136.70 |
| 2018-03-31 | 12,383.60 | 3,324.20 | 3,119.60 |
| 2017-12-31 | 13,023.20 | 3,274.40 | 4,982.60 |
| 2017-09-30 | 12,196.40 | 3,303.70 | 4,896.20 |
| 2017-06-30 | 11,333.10 | 3,245.40 | 4,040.80 |
| 2017-03-31 | 10,780.00 | 3,262.90 | 3,512.30 |
| 2016-12-31 | 10,391.30 | 3,449.00 | 5,275.10 |
| 2016-09-30 | 11,053.70 | 3,923.30 | 5,243.80 |
| 2016-06-30 | 10,904.80 | 3,969.50 | 5,333.70 |
| 2016-03-31 | 10,370.50 | 3,977.40 | 4,958.60 |
| 2015-12-31 | 9,463.10 | 3,834.30 | 4,956.70 |
| 2015-09-30 | 9,763.80 | 3,984.00 | 4,707.00 |
| 2015-06-30 | 9,834.20 | 3,793.90 | 4,145.40 |
| 2015-03-31 | 10,557.10 | 3,089.10 | 3,528.50 |
| 2014-12-31 | 10,290.00 | 3,074.50 | 3,826.20 |
| 2014-09-30 | 10,425.10 | 3,185.20 | 3,113.90 |
| 2014-06-30 | 10,741.70 | 3,265.30 | 3,628.10 |
| 2014-03-31 | 10,338.10 | 3,308.80 | 3,127.40 |
| 2013-12-31 | 10,024.20 | 3,527.00 | 4,104.10 |
| 2013-09-30 | 9,607.90 | 3,556.70 | 3,415.50 |
| 2013-06-30 | 9,462.50 | 3,553.40 | 2,843.60 |
| 2013-03-31 | 9,885.50 | 3,710.30 | 3,633.40 |
| 2012-12-31 | 9,763.80 | 3,646.50 | 5,744.10 |
| 2012-09-30 | 9,906.90 | 3,259.10 | 4,096.80 |
| 2012-06-30 | 9,495.40 | 2,931.50 | 3,416.90 |
- Principal Financial Group's level of debt (28%) compared to net worth is satisfactory (less than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (35.1% vs 28% today).
- Debt is well covered by operating cash flow (155.3%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 11.2x coverage).
Financial health checks
We assess Principal Financial Group's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Principal Financial Group has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
0KO5 Dividends
What is Principal Financial Group's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Principal Financial Group
shares you are expected to receive
$78
in your first year as a dividend.
Dividend Amount
- Principal Financial Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.02%).
- Principal Financial Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.19%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 7 Analyst Estimates (S&P Global) | See Below |
| United Kingdom of Great Britain and Northern Ireland Insurance Industry Average Dividend Yield | Market Cap Weighted Average of 21 Stocks | 4.5% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 705 Stocks | 4.2% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 1% |
| United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield | 25th Percentile | 2% |
| United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield | 75th Percentile | 5.2% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | 2.65 | 4.00 |
| 2020-12-31 | 2.38 | 9.00 |
| 2019-12-31 | 2.22 | 10.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-01-29 | 2.160 | 4.220 |
| 2018-10-25 | 2.160 | 4.640 |
| 2018-07-26 | 2.120 | 3.779 |
| 2018-04-26 | 2.080 | 3.700 |
| 2018-01-29 | 2.040 | 3.289 |
| 2017-10-26 | 1.960 | 2.777 |
| 2017-07-27 | 1.880 | 2.905 |
| 2017-04-27 | 1.840 | 2.865 |
| 2017-01-30 | 1.800 | 2.894 |
| 2016-10-27 | 1.720 | 2.979 |
| 2016-04-28 | 1.560 | 3.405 |
| 2016-02-01 | 1.520 | 3.887 |
| 2015-10-28 | 1.520 | 3.369 |
| 2015-10-22 | 1.520 | 3.030 |
| 2015-04-27 | 1.520 | 2.956 |
| 2015-04-23 | 1.520 | 2.953 |
| 2014-10-23 | 1.360 | 2.657 |
| 2014-07-24 | 1.360 | 2.625 |
| 2014-04-24 | 1.280 | 2.635 |
| 2014-02-03 | 1.120 | 2.481 |
| 2013-10-24 | 1.040 | 2.165 |
| 2013-07-26 | 1.040 | 2.410 |
| 2013-07-25 | 1.040 | 2.495 |
| 2013-04-25 | 0.920 | 2.431 |
| 2013-01-31 | 0.920 | 2.798 |
| 2012-10-25 | 0.840 | 2.979 |
| 2012-08-21 | 0.840 | 3.036 |
| 2012-05-22 | 0.720 | 2.839 |
| 2012-02-29 | 0.720 | 2.627 |
| 2011-10-27 | 0.700 | 2.768 |
| 2010-11-01 | 0.550 | 1.902 |
| 2009-10-26 | 0.500 | 1.957 |
| 2009-04-20 | 0.450 | 2.041 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Principal Financial Group's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (2.6x coverage).
- Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
Income/ dividend checks
We assess Principal Financial Group's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Principal Financial Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Principal Financial Group has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
0KO5 Management
CEO
| COMPENSATION | $12,227,017 |
| AGE | 56 |
| TENURE AS CEO | 3.7 years |
CEO Bio
Mr. Daniel Joseph Houston, also known as Dan, has been Chairman of the Board at Greater Des Moines Partnership since January 2018. He has been the Chief Executive Officer of Principal Financial Group, Inc. and Principal Life Insurance Company since August 18, 2015 and has been its President since November 25, 2014. Mr. Houston served as the Chief Operating Officer of Principal Financial Group, Inc. since November 25, 2014. He served as the President of Retirement, Insurance and Financial Services at Principal Financial Group, Inc. from January 1, 2010 to November 26, 2014. He served as an Executive Vice President at Principal Financial Group, Inc. since May 18, 2006. Mr. Houston joined Principal Financial Group, Inc. in 1984 and served as a Group Representative in the Dallas group and pension office. Mr. Houston serves as the Iowa State Business School Dean's Advisory Council. He served as an Executive Vice President of Retirement and Investor Services of Principal Financial Group, Inc. since June 2006 and served as its President of Retirement and Investor Services Division since February 2008 to January 1, 2010 and Senior Vice President of Retirement and Investor Services. He served various management positions with Principal Financial Group, Inc. since 1990, including as an Officer since 1990, Vice President since 1997 and Senior Vice President since 2000. Mr. Houston served several positions with Healthextras Inc. since 1984, including Regional Director of Group and Pension Sales since 1990, Regional Vice President since 1993 and Vice President since 1997. He has been the Chairman and Director of Principal Financial Group, Inc. and Principal Life Insurance Company since May 17, 2016 and November 26, 2014 respectively. He serves as the Chairman of Professional Pensions, Inc. and Principal Trust Services. He has been a Director of Healthextras Inc. since April 29, 2005 and Catholic Health Initiatives - Iowa Corp. since May 2010. He serves as Director for several entities that are affiliates of Principal Financial Group, including Executive Benefit Services, Principal Financial Advisors, Principal Trust Company (Asia) Limited and Principal Bank. Mr. Houston serves on the Boards of Principal International, Inc., Principal Financial Advisors, Principal Trust Company (Asia) Limited and Principal Bank. He serves a Member of Professional Pensions, Inc. , Principal Trust Services, Trustar Retirement Services and BCI Group, Inc. He served as a Director of Catalyst Health Solutions, Inc. since April 29, 2005 until July 2, 2012. Mr. Houston received his Bachelor's Degree from the Iowa State University.
CEO Compensation
- Dan's compensation has been consistent with company performance over the past year.
- Dan's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure and age of the Principal Financial Group management team in years:
- The tenure for the Principal Financial Group management team is about average.
Management Team
Dan Houston
Chairman
$12M
56
3.7 yrs
Deanna Strable-Soethout
Executive VP & CFO
$3M
49
2.2 yrs
Tim Dunbar
President of Principal Global Asset Management Business
$3M
60
0.6 yrs
Luis Valdés
President & CEO of Principal International
$3M
60
1.3 yrs
Pat Halter
CEO & President of Principal Global Investors
$4M
58
0.6 yrs
Gary Scholten
Executive VP
60
16.4 yrs
John Egan
Vice President of Investor Relations
56
9 yrs
Karen Shaff
Executive VP
63
18 yrs
Amy Hartnett
Director of Business Development
4 yrs
Jon Couture
Senior VP & Chief Human Resources Officer
52
0.8 yrs
Board of Directors Tenure
Average tenure and age of the Principal Financial Group board of directors in years:
- The average tenure for the Principal Financial Group board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors
Dan Houston
Chairman
$12M
56
2.9 yrs
Sandra Helton
Director
$285K
68
17.9 yrs
Betsy Bernard
Independent Director
$282K
63
18.2 yrs
Jocelyn Carter-Miller
Director
$285K
60
18 yrs
Roger Hochschild
Director
$267K
53
4.1 yrs
Scott Mills
Director
$285K
50
2.8 yrs
Liz Tallett
Lead Director
$290K
69
11.9 yrs
Charles Gelatt
Director
$265K
70
18 yrs
Michael Dan
Director
$265K
67
12.9 yrs
Blair Pickerell
Director
$265K
62
3.7 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 06. Nov 18 | Buy | Charles Gelatt | Individual | 05. Nov 18 | 05. Nov 18 | 25,000 | $48.10 | $1,202,500 | ||
Management checks
We assess Principal Financial Group's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Principal Financial Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
0KO5 Company Info
Description
Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. The company operates through Retirement and Income Solutions, Principal Global Investors, Principal International, and U.S. Insurance Solutions segments. The Retirement and Income Solutions segment provides a portfolio of asset accumulation products and services for retirement savings and income. It offers products and services for defined contribution plans, including 401(k) and 403(b) plans, defined benefit pension plans, nonqualified executive benefit plans, employee stock ownership plans, and pension risk transfer services; individual retirement accounts and payroll deduction plans; investment only products; and mutual funds, individual annuities, and bank products. The Principal Global Investors segment provides equity, fixed income, real estate, and other alternative investments, as well as asset allocation, stable value management, and other structured investment strategies. The Principal International segment offers pension accumulation and income annuity products, mutual funds, asset management, and life insurance accumulation products, as well as voluntary savings plans in Brazil, Chile, Mexico, China, Hong Kong Special Administrative Region, India, and Southeast Asia. The U.S. Insurance Solutions segment provides specialty benefits, such as group dental and vision insurance, group life insurance, and group and individual disability insurance, as well as administers group dental, disability, and vision benefits; and individual life insurance products comprising universal, variable universal, indexed universal, and term life insurance products in the United States. It also offers insurance solutions for small and medium-sized businesses and their owners, as well as executives. Principal Financial Group, Inc. was founded in 1879 and is based in Des Moines, Iowa.
Details
| Name: | Principal Financial Group, Inc. |
| 0KO5 | |
| Exchange: | LSE |
| Founded: | 1879 |
| $15,359,825,674 | |
| 278,156,930 | |
| Website: | http://www.principal.com |
| Address: |
Principal Financial Group, Inc. 711 High Street, Des Moines, Iowa, 50392, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NasdaqGS | PFG | Common Stock | Nasdaq Global Select | US | USD | 23. Oct 2001 | |
| DB | PG4 | Common Stock | Deutsche Boerse AG | DE | EUR | 23. Oct 2001 | |
| LSE | 0KO5 | Common Stock | London Stock Exchange | GB | USD | 23. Oct 2001 |
Number of employees
Current staff
Industry
| Life and Health Insurance | |
| Insurance |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/19 22:20 |
| End of day share price update: | 2019/04/11 00:00 |
| Last estimates confirmation: | 2019/04/18 |
| Last earnings filing: | 2019/02/13 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
