DOWLING & PARTN Issues Pessimistic Forecast for PRU Earnings

Prudential Financial, Inc. (NYSE:PRU) – Equities researchers at DOWLING & PARTN cut their FY2027 earnings per share estimates for shares of Prudential Financial in a research note issued to investors on Tuesday, October 20th. DOWLING & PARTN analyst J. Hurwitz now expects that the financial services provider will post earnings of $13.80 per share for the year, down from their previous estimate of $14.60. The consensus estimate for Prudential Financial’s current full-year earnings is $14.37 per share. DOWLING & PARTN also issued estimates for Prudential Financial’s FY2028 earnings at $15.30 EPS.

PRU has been the topic of several other reports. Morgan Stanley lowered their price target on shares of Prudential Financial from $105.00 to $100.00 and set an “underweight” rating on the stock in a research note on Monday. Keefe, Bruyette & Woods reduced their price objective on shares of Prudential Financial from $123.00 to $119.00 and set a “market perform” rating for the company in a research note on Friday, October 16th. Weiss Ratings cut Prudential Financial from a “buy (b)” rating to a “buy (b-)” rating in a report on Wednesday, October 14th. Mizuho set a $108.00 target price on Prudential Financial in a research report on Monday, October 12th. Finally, TD Cowen dropped their target price on Prudential Financial from $114.00 to $112.00 and set a “hold” rating on the stock in a report on Wednesday. One analyst has rated the stock with a Buy rating, ten have issued a Hold rating and five have issued a Sell rating to the stock. According to MarketBeat.com, Prudential Financial has an average rating of “Reduce” and a consensus target price of $107.15.

Prudential Financial Stock Performance

Shares of PRU stock opened at $114.80 on Thursday. Prudential Financial has a 12 month low of $91.89 and a 12 month high of $127.72. The company’s fifty day simple moving average is $117.98 and its 200-day simple moving average is $111.25. The firm has a market cap of $39.61 billion, a PE ratio of 10.40, a P/E/G ratio of 1.73 and a beta of 0.85. The company has a quick ratio of 0.16, a current ratio of 0.16 and a debt-to-equity ratio of 0.62.

Prudential Financial (NYSE:PRU) last issued its quarterly earnings results on Tuesday, August 4th. The financial services provider reported $4.08 earnings per share for the quarter, topping the consensus estimate of $3.52 by $0.56. Prudential Financial had a net margin of 6.51% and a return on equity of 16.68%. The company had revenue of $14.15 billion during the quarter, compared to analysts’ expectations of $14.36 billion. During the same period last year, the business earned $3.58 EPS.

Prudential Financial Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Shareholders of record on Tuesday, August 25th were given a dividend of $1.40 per share. This represents a $5.60 annualized dividend and a yield of 4.9%. The ex-dividend date of this dividend was Tuesday, August 25th. Prudential Financial’s dividend payout ratio is 50.72%.

Insiders Place Their Bets

In other news, EVP Ann M. Kappler sold 7,652 shares of the business’s stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $125.01, for a total transaction of $956,576.52. Following the transaction, the executive vice president directly owned 14,407 shares in the company, valued at $1,801,019.07. The trade was a 34.69% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, major shareholder Insurance Co Of Ame Prudential sold 214,746 shares of the company’s stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $24.75, for a total transaction of $5,314,963.50. Following the completion of the sale, the insider directly owned 7,973,657 shares in the company, valued at approximately $197,348,010.75. The trade was a 2.62% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Prudential Financial

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. NBT Bank N.A. acquired a new position in shares of Prudential Financial in the 3rd quarter valued at approximately $2,214,000. SBI Securities Co. Ltd. increased its stake in Prudential Financial by 6.1% in the third quarter. SBI Securities Co. Ltd. now owns 8,624 shares of the financial services provider’s stock valued at $980,000 after acquiring an additional 499 shares during the last quarter. Reyes Financial Architecture Inc. bought a new position in Prudential Financial in the third quarter valued at approximately $41,000. Cantor Fitzgerald Investment Advisors L.P. raised its position in Prudential Financial by 2.2% during the third quarter. Cantor Fitzgerald Investment Advisors L.P. now owns 139,967 shares of the financial services provider’s stock valued at $15,898,000 after purchasing an additional 2,966 shares in the last quarter. Finally, Magnus Financial Group LLC lifted its stake in Prudential Financial by 4.8% during the third quarter. Magnus Financial Group LLC now owns 2,472 shares of the financial services provider’s stock worth $281,000 after purchasing an additional 113 shares during the last quarter. Institutional investors own 56.83% of the company’s stock.

Key Headlines Impacting Prudential Financial

Here are the key news stories impacting Prudential Financial this week:

• Positive Sentiment: Prudential agreed to sell its Brazil and Mexico insurance operations to CNP Assurances for approximately $4.025 billion in cash. The transaction could provide substantial capital, simplify Prudential’s international footprint and sharpen its focus on core businesses. The deal is subject to closing adjustments and customary conditions. Prudential Financial Agrees to Sell Operations in Brazil and Mexico
• Positive Sentiment: Prudential partnered with SoFi to expand access to life insurance. The relationship may broaden Prudential’s digital distribution and customer reach, although the financial contribution was not disclosed. SoFi ties up with Prudential Financial for expanded access to life insurance
• Neutral Sentiment: Prudential Wealth Advisors plans to increase recruiting through a centralized operating model. The initiative could support longer-term growth, but its near-term effect on earnings is uncertain. Prudential Wealth Advisors set to ramp up recruiting
• Neutral Sentiment: Prudential Life Insurance Ghana launched PRUConnect, a customer-facing digital insurance platform. The product supports engagement and service improvements, but appears unlikely to materially affect consolidated results immediately. Prudential Life Insurance Ghana introduces PRUConnect
• Negative Sentiment: Analysts lowered their expectations for PRU. TD Cowen cut its price target from $114 to $112 and maintained a “hold” rating. Barclays and Morgan Stanley also reduced their price targets, reinforcing concerns about limited near-term upside. Barclays lowers expectations for Prudential Financial Morgan Stanley cuts Prudential Financial price target

About Prudential Financial

Prudential Financial, Inc (NYSE: PRU) is a global financial services company that provides insurance, retirement, investment management and related financial products. Founded in Newark, New Jersey, in 1875, the company serves individuals, businesses and institutional investors through a range of businesses and distribution channels.

In the United States, Prudential offers life insurance, annuities, retirement plans and employee benefits, including group life, disability and dental insurance.