Prudential Financial, Inc. (NYSE:PRU) Given Average Rating of "Reduce" by Analysts

Key Points

• Analysts collectively rate Prudential Financial “Reduce.” Of 16 analysts, five recommend selling, 10 advise holding and one recommends buying; the average 12-month price target is $109.31, below the current $118.56 price.
• Prudential reported quarterly earnings of $4.08 per share, exceeding the $3.52 consensus estimate, while revenue of $14.15 billion fell short of expectations. The company forecasts full-year EPS of $14.57.
• The company pays a quarterly dividend of $1.40 per share, or $5.60 annually, representing a 4.7% yield and a 50.72% payout ratio; institutional investors own 56.83% of the stock.

Shares of Prudential Financial, Inc. (NYSE:PRU - Get Free Report) have received an average recommendation of "Reduce" from the sixteen ratings firms that are presently covering the company, Marketbeat reports. Five analysts have rated the stock with a sell rating, ten have assigned a hold rating and one has assigned a buy rating to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $109.3077.

Several research analysts have commented on the stock. Wells Fargo & Company lifted their price target on shares of Prudential Financial from $103.00 to $110.00 and gave the stock an "underweight" rating in a research note on Wednesday, August 19th. Keefe, Bruyette & Woods increased their target price on shares of Prudential Financial from $113.00 to $123.00 and gave the company a "market perform" rating in a report on Tuesday, August 11th. Piper Sandler boosted their price target on shares of Prudential Financial from $110.00 to $128.00 and gave the stock a "neutral" rating in a research note on Tuesday, August 11th. Jefferies Financial Group upped their price target on shares of Prudential Financial from $105.00 to $110.00 and gave the company a "hold" rating in a research report on Friday, July 10th. Finally, JPMorgan Chase & Co. raised their price objective on Prudential Financial from $129.00 to $131.00 and gave the company a "neutral" rating in a research note on Monday, August 17th.

Insider Buying and Selling

In other Prudential Financial news, EVP Ann Kappler sold 7,652 shares of the business's stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $125.01, for a total value of $956,576.52. Following the completion of the sale, the executive vice president owned 14,407 shares in the company, valued at approximately $1,801,019.07. The trade was a 34.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, major shareholder Insurance Co Of Ame Prudential sold 214,746 shares of the firm's stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $24.75, for a total transaction of $5,314,963.50. Following the completion of the transaction, the insider owned 7,973,657 shares in the company, valued at $197,348,010.75. This represents a 2.62% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.05% of the stock is owned by insiders.

Institutional Trading of Prudential Financial

Several large investors have recently modified their holdings of PRU. Security National Bank of SO Dak raised its position in Prudential Financial by 0.6% during the 2nd quarter. Security National Bank of SO Dak now owns 14,676 shares of the financial services provider's stock valued at $1,584,000 after purchasing an additional 90 shares during the last quarter. Security National Bank of Sioux City Iowa IA increased its stake in shares of Prudential Financial by 38.2% during the second quarter. Security National Bank of Sioux City Iowa IA now owns 17,781 shares of the financial services provider's stock valued at $1,919,000 after buying an additional 4,915 shares during the period. Sequoia Financial Advisors LLC raised its holdings in shares of Prudential Financial by 5.0% during the second quarter. Sequoia Financial Advisors LLC now owns 25,053 shares of the financial services provider's stock valued at $2,704,000 after acquiring an additional 1,182 shares in the last quarter. Tidal Investments LLC lifted its stake in Prudential Financial by 25.7% in the second quarter. Tidal Investments LLC now owns 75,277 shares of the financial services provider's stock worth $8,125,000 after acquiring an additional 15,378 shares during the period. Finally, National Pension Service boosted its holdings in Prudential Financial by 4.4% in the second quarter. National Pension Service now owns 840,126 shares of the financial services provider's stock valued at $90,675,000 after acquiring an additional 35,677 shares in the last quarter. 56.83% of the stock is owned by institutional investors.

Prudential Financial Trading Up 0.1%

Shares of PRU stock opened at $118.56 on Tuesday. The business has a 50-day moving average price of $120.47 and a two-hundred day moving average price of $108.20. Prudential Financial has a 12-month low of $91.89 and a 12-month high of $127.72. The company has a quick ratio of 0.16, a current ratio of 0.16 and a debt-to-equity ratio of 0.62. The firm has a market cap of $40.90 billion, a P/E ratio of 10.74, a price-to-earnings-growth ratio of 1.77 and a beta of 0.83.

Prudential Financial (NYSE:PRU - Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The financial services provider reported $4.08 earnings per share for the quarter, beating analysts' consensus estimates of $3.52 by $0.56. The company had revenue of $14.15 billion for the quarter, compared to analysts' expectations of $14.36 billion. Prudential Financial had a return on equity of 16.68% and a net margin of 6.51%.During the same period last year, the firm posted $3.58 EPS. Equities analysts anticipate that Prudential Financial will post 14.57 EPS for the current fiscal year.

Prudential Financial Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Investors 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 4.7%. The ex-dividend date was Tuesday, August 25th. Prudential Financial's dividend payout ratio (DPR) is presently 50.72%.

About Prudential Financial

Prudential Financial, Inc is a global financial services company headquartered in Newark, New Jersey. Founded in 1875 as The Widows and Orphans Friendly Society, the company has grown from a life insurance provider into a diversified business offering insurance, retirement, investment management and related financial services.

Through its U.S. businesses, Prudential provides individual life insurance and annuities, workplace retirement plans, pension risk transfer solutions, group life and disability insurance, and other benefits and financial wellness products.

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