Prudential Financial Inc. (PRU) Stock

Prudential Financial Inc. trades at a P/E ratio of 16.90, which is near the market average of approximately 20, suggesting the market views it as fairly valued relative to its earnings. Looking ahead, the forward P/E of 8.24 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 0.70 suggests the stock may be undervalued relative to its growth rate.

With a beta of 1.05, Prudential Financial Inc. is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 1.27 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Prudential Financial Inc. achieves a profit margin of 3.80%, meaning it retains $3.80 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 6.83% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 7.91% and ROA at 0.23%, the company achieves moderate returns on invested capital.

Prudential Financial Inc.'s revenue declined by 42.70% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings decreased by 37.20% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against LIFE INSURANCE industry averages for proper context.

Prudential Financial Inc. offers a dividend yield of 5.04%, paying $5.25 per share annually. This high yield exceeds 4%, significantly outperforming the S&P 500 average of 1.5-2% and most investment-grade bonds. For income-focused investors, this represents an attractive cash flow opportunity, though high yields sometimes signal market concerns about sustainability. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/20/2025.

The dividend sustainability can be assessed through the payout ratio - Prudential Financial Inc. pays $5.25 per share in dividends against earnings of $6.34 per share, resulting in a payout ratio of 82.81%. This high payout ratio of 60-90% leaves limited earnings for reinvestment. While currently sustainable, there's less buffer for dividend growth or protection during earnings downturns. The next dividend payment is scheduled for 6/12/2025.

Prudential Financial Inc. has a market capitalization of $37.92B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 354.01M shares outstanding, the company's ownership is relatively concentrated. As a participant in the LIFE INSURANCE industry, it competes with other firms in this sector.

Prudential Financial Inc.'s book value per share is $84.41, while the current stock price is $105.22, resulting in a price-to-book (P/B) ratio of 1.25. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

16 analysts cover PRU with 13% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The bearish sentiment could create opportunity if analysts are wrong. The consensus target of $113.29 implies 7.7% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:02 Buy, 13 Hold, 01 Strong Sell. The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.