(PRU) Prudential Financial - Overview
Sector: Financial Services | Industry: Insurance - Life | Exchange: NYSE (USA) | Market Cap: 36.163m USD | Total Return: 3.6% in 12m
Avg Turnover: 199M
EPS Trend: 22.6%
Qual. Beats: 0
Rev. Trend: 31.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Prudential Financial, Inc. (PRU) is a global financial services provider operating across investment management, retirement strategies, and insurance sectors. The company manages a diverse portfolio through its PGIM segment, covering public and private asset classes, while offering life, disability, and health insurance products to both individual and institutional clients in the United States and international markets, primarily Japan.
As a major player in the Life & Health Insurance sub-industry, Prudential utilizes a spread-based business model, generating revenue from the difference between investment income earned on premiums and the interest credited to policyholders. The company operates within a highly regulated capital-intensive sector where solvency ratios and interest rate fluctuations significantly impact long-term liability management.
For a deeper look into the companys valuation metrics, consider exploring the data available on ValueRay. Founded in 1875, the Newark-based firm distributes its products through a mix of proprietary networks, third-party professionals, and strategic partnerships.
- Rising interest rates enhance investment yields and spread margins on insurance products
- Japanese market performance and Yen volatility impact international business segment revenue
- Asset management fee growth at PGIM depends on global equity market stability
- Pension risk transfer demand drives institutional retirement strategies revenue growth
- Regulatory shifts in capital requirements influence dividend capacity and share buybacks
| Net Income: 3.47b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 0.26 > 1.0 |
| NWC/Revenue: -350.6% < 20% (prev -150.0%; Δ -200.6% < -1%) |
| CFO/TA 0.01 > 3% & CFO 9.79b > Net Income 3.47b |
| Net Debt (38.0m) to EBITDA (4.90b): 0.01 < 3 |
| Current Ratio: 0.11 > 1.5 & < 3 |
| Outstanding Shares: last quarter (349.4m) vs 12m ago -1.88% < -2% |
| Gross Margin: 32.90% > 18% (prev 0.27%; Δ 3.26k% > 0.5%) |
| Asset Turnover: 8.37% > 50% (prev 8.20%; Δ 0.16% > 0%) |
| Interest Coverage Ratio: 2.79 > 6 (EBITDA TTM 4.90b / Interest Expense TTM 1.60b) |
| A: -0.29 (Total Current Assets 26.5b - Total Current Liabilities 247b) / Total Assets 765b |
| B: 0.05 (Retained Earnings 34.9b / Total Assets 765b) |
| C: 0.01 (EBIT TTM 4.47b / Avg Total Assets 752b) |
| D: 0.04 (Book Value of Equity 31.5b / Total Liabilities 730b) |
| Altman-Z'' = -1.66 = D |
| DSRI: 0.07 (Receivables 3.63b/47.7b, Revenue 63.0b/60.6b) |
| GMI: 0.82 (GM 32.90% / 27.05%) |
| AQI: 1.17 (AQ_t 0.96 / AQ_t-1 0.82) |
| SGI: 1.04 (Revenue 63.0b / 60.6b) |
| TATA: -0.01 (NI 3.47b - CFO 9.79b) / TA 765b) |
| Beneish M = -3.83 (Cap -4..+1) = AAA |
As of May 25, 2026, the stock is trading at USD 104.24 with a total of 1,043,071 shares traded.
Over the past week, the price has changed by +2.15%,
over one month by +10.52%,
over three months by +3.72% and
over the past year by +3.59%.
Prudential Financial has received a consensus analysts rating of 2.72. Therefore, it is recommended to hold PRU.
- StrongBuy: 1
- Buy: 0
- Hold: 13
- Sell: 1
- StrongSell: 3
| Analysts Target Price | 100.5 | -3.6% |
P/E Forward = 9.8328
P/S = 0.5714
P/B = 1.1323
P/EG = 1.0921
Revenue TTM = 63.0b USD
EBIT TTM = 4.47b USD
EBITDA TTM = 4.90b USD
Long Term Debt = 21.9b USD (from longTermDebt, last quarter)
Short Term Debt = 946.0m USD (from shortTermDebt, last quarter)
Debt = 22.9b USD (corrected: LT Debt 21.9b + ST Debt 946.0m)
Net Debt = 38.0m USD (calculated: Debt 22.9b - CCE 22.9b)
Enterprise Value = 36.2b USD (36.2b + Debt 22.9b - CCE 22.9b)
Interest Coverage Ratio = 2.79 (Ebit TTM 4.47b / Interest Expense TTM 1.60b)
EV/FCF = 8.34x (Enterprise Value 36.2b / FCF TTM 4.34b)
FCF Yield = 11.99% (FCF TTM 4.34b / Enterprise Value 36.2b)
FCF Margin = 6.89% (FCF TTM 4.34b / Revenue TTM 63.0b)
Net Margin = 5.51% (Net Income TTM 3.47b / Revenue TTM 63.0b)
Gross Margin = 32.90% ((Revenue TTM 63.0b - Cost of Revenue TTM 42.2b) / Revenue TTM)
Gross Margin QoQ = 38.60% (prev 31.46%)
Tobins Q-Ratio = 0.05 (Enterprise Value 36.2b / Total Assets 765b)
Interest Expense / Debt = 7.00% (Interest Expense 1.60b / Debt 22.9b)
Taxrate = 17.55% (129.0m / 735.0m)
NOPAT = 3.68b (EBIT 4.47b * (1 - 17.55%))
Current Ratio = 0.10 (Total Current Assets 26.5b / Total Current Liabilities 266b)
Debt / Equity = 0.72 (Debt 22.9b / totalStockholderEquity, last quarter 32.0b)
Debt / EBITDA = 0.01 (Net Debt 38.0m / EBITDA 4.90b)
Debt / FCF = 0.01 (Net Debt 38.0m / FCF TTM 4.34b)
Total Stockholder Equity = 31.8b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.46% (Net Income 3.47b / Total Assets 765b)
RoE = 10.91% (Net Income TTM 3.47b / Total Stockholder Equity 31.8b)
RoCE = 8.32% (EBIT 4.47b / Capital Employed (Equity 31.8b + L.T.Debt 21.9b))
RoIC = 0.48% (NOPAT 3.68b / Invested Capital 765b)
WACC = 7.93% (E(36.2b)/V(59.1b) * Re(9.29%) + D(22.9b)/V(59.1b) * Rd(7.00%) * (1-Tc(0.18)))
Discount Rate = 9.29% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -98.88 | Cagr: -1.44%
[DCF] Terminal Value 77.97% ; FCFF base≈3.51b ; Y1≈4.02b ; Y5≈5.92b
[DCF] Fair Price = 256.3 (EV 89.1b - Net Debt 38.0m = Equity 89.0b / Shares 347.3m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 22.58 | EPS CAGR: 1.81% | SUE: 0.83 | # QB: 0
Revenue Correlation: 31.41 | Revenue CAGR: 3.79% | SUE: 0.43 | # QB: 0
EPS current Quarter (2026-06-30): EPS=3.33 | Chg30d=-4.25% | Revisions=-57% | Analysts=12
EPS next Quarter (2026-09-30): EPS=3.48 | Chg30d=-5.86% | Revisions=-71% | Analysts=13
EPS current Year (2026-12-31): EPS=13.66 | Chg30d=-1.74% | Revisions=-47% | GrowthEPS=-5.3% | GrowthRev=+0.9%
EPS next Year (2027-12-31): EPS=14.63 | Chg30d=-3.75% | Revisions=-78% | GrowthEPS=+7.1% | GrowthRev=+1.3%
[Analyst] Revisions Ratio: -78%