Navigating 5 Analyst Ratings For Prudential Financial

Across the recent three months, 5 analysts have shared their insights on Prudential Financial PRU, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $114.4, with a high estimate of $132.00 and a low estimate of $105.00. This current average has increased by 4.19% from the previous average price target of $109.80.

Deciphering Analyst Ratings: An In-Depth Analysis

The standing of Prudential Financial among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Prudential Financial. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Prudential Financial compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Prudential Financial's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Prudential Financial's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Prudential Financial analyst ratings.

Discovering Prudential Financial: A Closer Look

Prudential Financial is a large, diversified insurance company offering annuities, life insurance, retirement plan services, and asset management products. While it operates in a number of countries, the vast majority of revenue is generated in the United States and Japan. The company's investment management business, PGIM, contributes approximately 15% of its earnings and has over $1.5 trillion in assets under management. The U.S. businesses are responsible for about 45% of earnings and can be classified into Institutional Retirement Strategies, Individual Retirement Strategies, Group Insurance, Individual Life Insurance, and Assurance IQ. Finally, the international business segment of the company contributes approximately 40% of earnings with a strong market position in Japan.

Prudential Financial's Economic Impact: An Analysis

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Revenue Growth: Prudential Financial's revenue growth over a period of 3 months has faced challenges. As of 30 September, 2023, the company experienced a revenue decline of approximately -58.79%. This indicates a decrease in the company's top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Prudential Financial's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -9.71%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Prudential Financial's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -2.98%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Prudential Financial's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -0.12%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Prudential Financial's debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.79, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Core of Analyst Ratings: What Every Investor Should Know

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.