Prudential Financial, Inc., through its subsidiaries, provides insurance, investment management, and other financial products and services.
No risks detected for PRU from our risk checks.
Very undervalued 6 star dividend payer.
Share Price & News
How has Prudential Financial's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PRU has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: PRU underperformed the US Insurance industry which returned 17.1% over the past year.
Return vs Market: PRU underperformed the US Market which returned 19.3% over the past year.
Price Volatility Vs. Market
How volatile is Prudential Financial's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StPrudential Financial, Inc. Just Beat EPS By 11%: Here's What Analysts Think Will Happen Next
3 weeks ago | Simply Wall StIs There Now An Opportunity In Prudential Financial, Inc. (NYSE:PRU)?
1 month ago | Simply Wall StIs It Worth Buying Prudential Financial, Inc. (NYSE:PRU) For Its 4.3% Dividend Yield?
Is Prudential Financial undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PRU ($93.78) is trading below our estimate of fair value ($269.72)
Significantly Below Fair Value: PRU is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PRU is good value based on its PE Ratio (9.2x) compared to the Insurance industry average (13.7x).
PE vs Market: PRU is good value based on its PE Ratio (9.2x) compared to the US market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: PRU is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: PRU is good value based on its PB Ratio (0.6x) compared to the US Insurance industry average (1.1x).
How is Prudential Financial forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PRU's forecast earnings growth (11.7% per year) is above the savings rate (1.7%).
Earnings vs Market: PRU's earnings (11.7% per year) are forecast to grow slower than the US market (14.2% per year).
High Growth Earnings: PRU's earnings are forecast to grow, but not significantly.
Revenue vs Market: PRU's revenue is expected to decline over the next 3 years (-1.3% per year).
High Growth Revenue: PRU's revenue is forecast to decline over the next 3 years (-1.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PRU's Return on Equity is forecast to be low in 3 years time (10.6%).
How has Prudential Financial performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PRU has high quality earnings.
Growing Profit Margin: PRU's current net profit margins (6.4%) are higher than last year (6.4%).
Past Earnings Growth Analysis
Earnings Trend: PRU's earnings have grown by 9.9% per year over the past 5 years.
Accelerating Growth: PRU's earnings growth over the past year (2.8%) is below its 5-year average (9.9% per year).
Earnings vs Industry: PRU earnings growth over the past year (2.8%) underperformed the Insurance industry 28.7%.
Return on Equity
High ROE: PRU's Return on Equity (6.7%) is considered low.
Return on Assets
Return on Capital Employed
How is Prudential Financial's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: PRU has a low level of unsold assets or inventory.
Debt Coverage by Assets: PRU's debt is covered by short term assets (assets are 1x debt).
Financial Institutions Analysis
Asset Level: PRU's level of assets compared to its equity is moderate.
Allowance for Bad Loans: Insufficient data to determine if PRU has a sufficient allowance for bad loans.
Low Risk Liabilities: PRU reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if PRU has an acceptable proportion of non-loan assets held.
Low Risk Deposits: PRU has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if PRU has an appropriate level of bad loans.
What is Prudential Financial's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: PRU's dividend (4.69%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: PRU's dividend (4.69%) is in the top 25% of dividend payers in the US market (3.71%)
Stability and Growth of Payments
Stable Dividend: PRU's dividends per share have been stable in the past 10 years.
Growing Dividend: PRU's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (39.1%), PRU's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PRU's dividends in 3 years are forecast to be well covered by earnings (35.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Charlie Lowrey (61yo)
Mr. Charles Frederick Lowrey, Jr., also known as Charlie, has been Chief Executive Officer, President and Director of Prudential Financial, Inc. since December 01, 2018 and Chairman of the Board since Apri ...
CEO Compensation Analysis
Compensation vs Market: Charlie's total compensation ($USD10.36M) is about average for companies of similar size in the US market ($USD10.79M).
Compensation vs Earnings: Charlie's compensation has been consistent with company performance over the past year.
|Executive VP & CFO||1.2yrs||US$2.30m||0.0056% $2.1m|
|Executive VP & Head of International Businesses||0yrs||US$5.22m||0.015% $5.5m|
|Senior VP & Chief Investment Officer||1.2yrs||no data||0.0057% $2.1m|
|Senior VP||5.9yrs||no data||0.0016% $595.7k|
|Chief Information Officer & Executive VP||0.6yrs||no data||no data|
|Senior VP and Head of Investor Relations||0yrs||no data||no data|
|Chief Ethics & Compliance Officer||0yrs||no data||no data|
|Executive VP & General Counsel||4.3yrs||no data||0.011% $3.9m|
Experienced Management: PRU's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.
|Independent Director||16.1yrs||US$335.00k||0.0097% $3.6m|
|Independent Director||13.4yrs||US$322.50k||0.0029% $1.1m|
|Independent Director||6.3yrs||US$335.00k||0.0030% $1.1m|
|Independent Director||19.1yrs||US$328.75k||0.00013% $48.4k|
|Vice Chairman||1.1yrs||US$8.11m||0.020% $7.3m|
|Independent Director||9.3yrs||US$300.00k||0.000030% $11.2k|
|Independent Director||4.6yrs||US$308.75k||0.00011% $41.0k|
|Lead Independent Director||2.8yrs||US$405.00k||0.00013% $48.4k|
|Independent Director||3.9yrs||US$310.00k||0.000020% $7.4k|
Experienced Board: PRU's board of directors are considered experienced (5.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PRU insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Prudential Financial, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Prudential Financial, Inc.
- Ticker: PRU
- Exchange: NYSE
- Founded: 1875
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: US$37.231b
- Shares outstanding: 397.00m
- Website: https://www.prudential.com
Number of Employees
- Prudential Financial, Inc.
- 751 Broad Street
- New Jersey
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|PRU||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Dec 2001|
|PRU *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Dec 2001|
|PLL||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Dec 2001|
|0KRX||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Dec 2001|
|PLL||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Dec 2001|
|P1DT34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH 2 REPR 1 SHS UNSPON||BR||BRL||Jan 2020|
Prudential Financial, Inc., through its subsidiaries, provides insurance, investment management, and other financial products and services. It operates through eight segments: PGIM, Retirement, Group Insurance, Individual Annuities, Individual Life, Assurance IQ, International Businesses, and Closed Block. The company offers asset management public and private fixed income, public equity and real estate, commercial mortgage origination and servicing, and mutual funds and other retail services to institutional, private, and sub-advisory clients, as well as to insurance company separate accounts, government sponsored entities, and the general account. It provides a range of retirement investment, and income products and services to retirement plan sponsors in the public, private, and not-for-profit sectors; and group life, long-term and short-term group disability, and group corporate-, bank-, and trust-owned life insurance in the United States, primarily to institutional clients for use in connection with employee plans and affinity groups. The company develops and distributes individual variable and fixed annuity products, principally to the mass affluent and affluent markets; and individual variable, term, and universal life insurance products to the mass middle, mass affluent, and affluent markets in the United States. It also offers individual life insurance, retirement, and related products to the mass affluent and affluent markets in Japan, Korea, and other foreign countries, as well as middle income and mass affluent markets. In addition, the company provides third-party life, health, Medicare, and property and casualty products to retail shoppers through its digital and independent agent channels. It offers its products and services to individual and institutional customers through its proprietary and third-party distribution networks. The company was founded in 1875 and is headquartered in Newark, New Jersey.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/22 00:32|
|End of Day Share Price||2020/02/21 00:00|
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.