PFG Stock Analysis: Principal Financial | NASDAQ
Asset Management | NASDAQ, USA | Market Cap: 24.243m USD | 12M Return: 44.6% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 149M
EPS Trend: 96.5%
Qual. Beats: 0
Rev. Trend: 70.6%
Qual. Beats: -1
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Principal Financial Group, Inc. (NASDAQ: PFG) is a large-cap U.S. financial services company headquartered in Des Moines, Iowa, with operations dating back to its founding in 1879. The company serves businesses, individuals, and institutional clients worldwide through three core business segments.
The firm operates across retirement, asset management, and insurance verticals. Its Retirement and Income Solutions segment offers defined contribution plans such as 401(k) and 403(b), defined benefit plans, pension risk transfer services, individual retirement accounts, and annuities. Principal Asset Management provides equity, fixed income, real estate, and alternative investment offerings, while the Benefits and Protection segment delivers group dental, vision, life, and disability insurance, along with individual life insurance products tailored primarily to small and medium-sized businesses and their employees.
As a member of the Financials sector, PFG operates within a regulated industry that depends heavily on investment performance, interest rate trends, and actuarial assumptions. The company generates revenue through a diversified mix of insurance premiums, asset management fees, and retirement plan administration, a multi-channel structure that helps stabilize earnings across varying market cycles. Its inclusion in the Life & Health Insurance sub-industry reflects the material role of insurance products in its overall business mix.
- Rising rates boost retirement segment spread and fee income
- Asset management AUM and fees track equity market performance
- Specialty benefits pricing discipline offsets group disability claims
| Net Income: 1.55b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -0.48 > 1.0 |
| NWC/Revenue: -87.09% < 20% (prev -91.14%; Δ 4.05% < -1%) |
| CFO/TA 0.01 > 3% & CFO 3.75b > Net Income 1.55b |
| Net Debt (-27.7b) to EBITDA (2.16b): -12.82 < 3 |
| Current Ratio: 0.23 > 1.5 & < 3 |
| Outstanding Shares: last quarter (220.3m) vs 12m ago -2.08% < -2% |
| Gross Margin: 48.68% > 18% (prev 43.07%; Δ 5.60% > 0.5%) |
| Asset Turnover: 4.79% > 50% (prev 5.04%; Δ -0.25% > 0%) |
| Interest Coverage Ratio: 868.2 > 6 (EBIT TTM 1.91b / Interest Expense TTM 2.20m) |
| A: -0.04 (Total Current Assets 4.05b - Total Current Liabilities 17.5b) / Total Assets 333b |
| B: 0.06 (Retained Earnings 18.3b / Total Assets 333b) |
| C: 0.01 (EBIT TTM 1.91b / Avg Total Assets 323b) |
| D: 0.04 (Book Value of Equity 11.8b / Total Liabilities 320b) |
| Altman-Z'' = -0.01 = B |
| DSRI: 0.16 (Receivables 3.64b/23.1b, Revenue 15.5b/15.8b) |
| GMI: 0.88 (GM 43.07% / 48.68%) |
| AQI: 1.00 (AQ_t 0.99 / AQ_t-1 0.99) |
| SGI: 0.98 (Revenue 15.5b / 15.8b) |
| TATA: -0.01 (NI 1.55b - CFO 3.75b) / TA 333b) |
| Beneish M = -3.84 (Cap -4..+1) = AAA |
As of July 15, 2026, the stock is trading at USD 112.92 with a total of 1,140,825 shares traded. Over the past week, the price has changed by +0.04%, over one month by +2.11%, over three months by +20.91% and over the past year by +44.62%.
Current recommended Stop Loss: 109.70 (which is 2.9% or 1.4 ATR below the current price).
Principal Financial has received a consensus analysts rating of 2.92. Therefore, it is recommended to hold PFG.
- StrongBuy: 1
- Buy: 2
- Hold: 6
- Sell: 1
- StrongSell: 2
| Analysts Target Price | 103.1 | -8.7% |
P/E Trailing = 16.1019
P/E Forward = 9.3897
P/S = 1.5604
P/B = 2.024
P/EG = 1.0624
Revenue TTM = 15.5b USD
EBIT TTM = 1.91b USD
EBITDA TTM = 2.16b USD
Long Term Debt = 3.93b USD (from longTermDebt, last quarter)
Short Term Debt = 18.2m USD (from shortTermDebt, last quarter)
Debt = 3.95b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -27.7b USD (calculated: Debt 3.95b - CCE 31.7b)
Enterprise Value = 24.2b USD (floored to Market Cap, CCE > MCap+Debt)
Interest Coverage Ratio = 868.2 (Ebit TTM 1.91b / Interest Expense TTM 2.20m)
EV/FCF = 6.68x (Enterprise Value 24.2b / FCF TTM 3.63b)
FCF Yield = 14.98% (FCF TTM 3.63b / Enterprise Value 24.2b)
FCF Margin = 23.49% (FCF TTM 3.63b / Revenue TTM 15.5b)
Net Margin = 10.03% (Net Income TTM 1.55b / Revenue TTM 15.5b)
Gross Margin = 48.68% ((Revenue TTM 15.5b - Cost of Revenue TTM 7.93b) / Revenue TTM)
Gross Margin QoQ = 53.91% (prev 46.93%)
Tobins Q-Ratio = 0.07 (Enterprise Value 24.2b / Total Assets 333b)
Interest Expense / Debt = 0.06% (Interest Expense 2.20m / Debt 3.95b)
Taxrate = 14.09% (263.4m / 1.87b)
NOPAT = 1.64b (EBIT 1.91b * (1 - 14.09%))
Current Ratio = 0.23 (Total Current Assets 4.05b / Total Current Liabilities 17.5b)
Debt / Equity = 0.33 (Debt 3.95b / totalStockholderEquity, last quarter 11.8b)
Debt / EBITDA = -12.82 (Net Debt -27.7b / EBITDA 2.16b)
Debt / FCF = -7.63 (Net Debt -27.7b / FCF TTM 3.63b)
Total Stockholder Equity = 11.7b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.48% (Net Income 1.55b / Total Assets 333b)
RoE = 13.25% (Net Income TTM 1.55b / Total Stockholder Equity 11.7b)
RoCE = 12.23% (EBIT 1.91b / Capital Employed (Equity 11.7b + L.T.Debt 3.93b))
RoIC = 0.52% (NOPAT 1.64b / Invested Capital 314b)
WACC = 7.98% (E(24.2b)/V(28.2b) * Re(9.27%) + D(3.95b)/V(28.2b) * Rd(0.06%) * (1-Tc(0.14)))
Discount Rate = 9.27% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.82 | Cagr: -4.67%
[DCF] Terminal Value 73.10% ; FCFF base≈4.15b ; Y1≈3.64b ; Y5≈2.94b
[DCF] Fair Price = 346.8 (EV 47.2b - Net Debt -27.7b = Equity 74.9b / Shares 216.0m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 96.45 | EPS CAGR: 11.40% | SUE: 0.43 | # QB: 0
Revenue Correlation: 70.63 | Revenue CAGR: 4.54% | SUE: -1.26 | # QB: -1
EPS current Quarter (2026-06-30): EPS=2.32 | Chg30d=+0.20% | Revisions=+0% | Analysts=10
EPS next Quarter (2026-09-30): EPS=2.48 | Chg30d=+1.19% | Revisions=+40% | Analysts=10
EPS current Year (2026-12-31): EPS=9.36 | Chg30d=+0.47% | Revisions=+25% | GrowthEPS=+13.2% | GrowthRev=+2.4%
EPS next Year (2027-12-31): EPS=10.24 | Chg30d=+0.29% | Revisions=-25% | GrowthEPS=+9.4% | GrowthRev=+8.9%
[Analyst] Revisions Ratio: +22% (up=4, down=2)