Amundi Reduces Stake in Principal Financial Group, Inc. $PFG

Key Points

• Amundi cut its Principal Financial Group stake by 6.8% in the first quarter, selling 84,568 shares and retaining 1.15 million shares valued at approximately $103.8 million. Institutional investors collectively own 75.08% of the company.
• Principal Financial Group reported quarterly EPS of $2.50, beating estimates of $2.33, although revenue of $3.99 billion fell short of the $4.11 billion consensus forecast.
• The company raised its quarterly dividend from $0.82 to $0.84 per share, equivalent to an annualized dividend of $3.36 and a 3.0% yield. Analysts maintain a consensus “Hold” rating with an average price target of $105.75.

Amundi reduced its holdings in Principal Financial Group, Inc. (NASDAQ:PFG - Free Report) by 6.8% during the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 1,151,817 shares of the company's stock after selling 84,568 shares during the quarter. Amundi owned about 0.53% of Principal Financial Group worth $103,790,000 at the end of the most recent quarter.

Other hedge funds have also recently made changes to their positions in the company. DV Equities LLC purchased a new position in shares of Principal Financial Group during the fourth quarter valued at about $25,000. Hilton Head Capital Partners LLC bought a new stake in Principal Financial Group during the 4th quarter valued at approximately $26,000. Thurston Springer Miller Herd & Titak Inc. bought a new stake in Principal Financial Group during the 4th quarter valued at approximately $26,000. Valley Wealth Managers Inc. purchased a new position in shares of Principal Financial Group during the 1st quarter worth approximately $27,000. Finally, MBM Wealth Consultants LLC purchased a new position in shares of Principal Financial Group during the 1st quarter worth approximately $28,000. 75.08% of the stock is owned by hedge funds and other institutional investors.

Principal Financial Group Stock Performance

Shares of Principal Financial Group stock opened at $113.73 on Friday. Principal Financial Group, Inc. has a 1 year low of $75.00 and a 1 year high of $114.95. The firm's 50-day moving average is $109.18 and its 200 day moving average is $99.15. The stock has a market cap of $24.35 billion, a price-to-earnings ratio of 16.15, a PEG ratio of 1.04 and a beta of 0.88. The company has a debt-to-equity ratio of 0.36, a current ratio of 0.28 and a quick ratio of 0.27.

Principal Financial Group (NASDAQ:PFG - Get Free Report) last released its quarterly earnings data on Monday, July 27th. The company reported $2.50 earnings per share for the quarter, beating analysts' consensus estimates of $2.33 by $0.17. The business had revenue of $3.99 billion during the quarter, compared to analyst estimates of $4.11 billion. Principal Financial Group had a net margin of 9.93% and a return on equity of 16.49%. During the same period last year, the business earned $2.16 EPS. Sell-side analysts anticipate that Principal Financial Group, Inc. will post 9.51 EPS for the current fiscal year.

Principal Financial Group Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Thursday, September 3rd will be issued a $0.84 dividend. This represents a $3.36 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date is Thursday, September 3rd. This is an increase from Principal Financial Group's previous quarterly dividend of $0.82. Principal Financial Group's dividend payout ratio (DPR) is presently 46.59%.

Analyst Ratings Changes

A number of research analysts have recently commented on PFG shares. JPMorgan Chase & Co. raised their target price on Principal Financial Group from $101.00 to $106.00 and gave the company a "neutral" rating in a research note on Tuesday, July 21st. Morgan Stanley upped their price target on Principal Financial Group from $107.00 to $112.00 and gave the stock an "equal weight" rating in a research note on Monday, July 6th. Atlantic Securities set a $94.00 price objective on Principal Financial Group in a research report on Wednesday, July 15th. Barclays boosted their target price on shares of Principal Financial Group from $87.00 to $92.00 and gave the company an "underweight" rating in a report on Tuesday, July 7th. Finally, Keefe, Bruyette & Woods increased their price target on shares of Principal Financial Group from $102.00 to $112.00 and gave the stock a "market perform" rating in a research note on Monday, July 13th. Three investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $105.75.

Insiders Place Their Bets

In other Principal Financial Group news, insider Wee Yee Cheong sold 7,534 shares of the stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $103.16, for a total transaction of $777,207.44. Following the sale, the insider directly owned 66,443 shares in the company, valued at approximately $6,854,259.88. This trade represents a 10.18% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 1.13% of the stock is currently owned by insiders.

Principal Financial Group Profile

Principal Financial Group NASDAQ: PFG is a global financial services company headquartered in Des Moines, Iowa, that provides a range of retirement, investment and insurance solutions to individuals, employers and institutional clients. The firm's business is organized around retirement services, asset management, and insurance products designed to help clients plan, invest for, and protect income over the long term.

Principal's product and service offerings include retirement plan recordkeeping and administration for employer-sponsored plans, individual and group retirement annuities, life and disability insurance, employee benefits solutions, and wealth management services.

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