Principal Financial Group Inc. (PFG) Upgraded by Zacks Investment Research to “Hold”
Principal Financial Group Inc. (NYSE:PFG) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report released on Thursday.
According to Zacks, “Principal Financial’s focus on fee-based revenue sources has been helping it to earn steadily, and limits exposure to the interest rate environment. Annuity and insurance business also offer sustained earnings growth. The company’s inorganic story remains impressive with buyouts strengthening its international footprint. It also remains focused on effective capital deployment to enhance shareholder value. However, the company’s investment results will likely be hurt by a soft interest rate environment, restricting any major improvement. Escalating expenses pose concerns. The compnay is set to release third quarter results on Oct 27. However, our proven model cannot conclusively state if it will beat earnings because though Zacks Rank #3 increases the predictive power of a beat, combined with Earnings ESP of 0.00% makes prediction difficult. Nonetheless, the Zacks Consensus Estimate is pegged at $1.11, up 4.72% year over year.”
PFG has been the subject of several other research reports. Barclays PLC raised their price target on shares of Principal Financial Group from $41.00 to $47.00 and gave the stock an “equal weight” rating in a research note on Friday, July 29th. Wells Fargo & Co. restated an “outperform” rating on shares of Principal Financial Group in a research note on Friday, September 23rd. Goldman Sachs Group Inc. raised their price target on shares of Principal Financial Group from $40.00 to $45.00 and gave the stock a “sell” rating in a research note on Friday, September 23rd. Bank of America Corp. lowered shares of Principal Financial Group from a “buy” rating to a “neutral” rating in a research note on Wednesday, June 29th. Finally, Credit Suisse Group AG initiated coverage on shares of Principal Financial Group in a research note on Friday, October 7th. They set an “underperform” rating and a $53.00 price target for the company. Four investment analysts have rated the stock with a sell rating, seven have issued a hold rating and seven have issued a buy rating to the stock. Principal Financial Group currently has a consensus rating of “Hold” and an average price target of $48.73.
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Shares of Principal Financial Group (NYSE:PFG) opened at 52.71 on Thursday. Principal Financial Group has a 1-year low of $33.09 and a 1-year high of $53.11. The firm’s 50-day moving average price is $49.91 and its 200 day moving average price is $44.79. The company has a market capitalization of $15.16 billion, a PE ratio of 12.53 and a beta of 1.66.
Principal Financial Group (NYSE:PFG) last issued its quarterly earnings results on Thursday, July 28th. The company reported $1.15 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.06 by $0.09. Principal Financial Group had a net margin of 10.20% and a return on equity of 12.52%. During the same quarter last year, the company posted $1.09 earnings per share. Equities analysts predict that Principal Financial Group will post $4.37 EPS for the current fiscal year.
The business also recently disclosed a quarterly dividend, which was paid on Friday, September 30th. Stockholders of record on Friday, September 2nd were issued a dividend of $0.41 per share. This is an increase from Principal Financial Group’s previous quarterly dividend of $0.39. This represents a $1.64 dividend on an annualized basis and a dividend yield of 3.11%. The ex-dividend date was Wednesday, August 31st. Principal Financial Group’s payout ratio is currently 38.86%.
In other Principal Financial Group news, EVP Timothy Mark Dunbar sold 5,000 shares of the business’s stock in a transaction on Wednesday, October 5th. The shares were sold at an average price of $52.00, for a total value of $260,000.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Insiders own 1.78% of the company’s stock.
Hedge funds have recently bought and sold shares of the company. Pictet Asset Management Ltd. increased its stake in Principal Financial Group by 2.0% in the first quarter. Pictet Asset Management Ltd. now owns 162,533 shares of the company’s stock valued at $6,145,000 after buying an additional 3,200 shares in the last quarter. Geode Capital Management LLC increased its stake in Principal Financial Group by 1.2% in the first quarter. Geode Capital Management LLC now owns 2,225,738 shares of the company’s stock valued at $87,625,000 after buying an additional 25,529 shares in the last quarter. DIAM Co. Ltd. increased its stake in Principal Financial Group by 7.1% in the second quarter. DIAM Co. Ltd. now owns 29,309 shares of the company’s stock valued at $1,184,000 after buying an additional 1,952 shares in the last quarter. Twin Capital Management Inc. acquired a new stake in Principal Financial Group during the second quarter valued at $2,296,000. Finally, AXA acquired a new stake in Principal Financial Group during the first quarter valued at $454,000. 67.13% of the stock is owned by institutional investors and hedge funds.
About Principal Financial Group
Principal Financial Group, Inc is an investment management company. The Company offers a range of financial products and services, including retirement, asset management and insurance services. The Company’s segments include Retirement and Income Solutions; Principal Global Investors, Principal International, and U.S.
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