Principal Financial Group, Inc. (NYSE:PFG) Given Consensus Rating of “Reduce” by Analysts

Shares of Principal Financial Group, Inc. (NYSE:PFG) have been given an average rating of “Reduce” by the eleven brokerages that are covering the company, MarketBeat reports. Two equities research analysts have rated the stock with a sell recommendation and nine have assigned a hold recommendation to the company. The average twelve-month target price among brokers that have issued a report on the stock in the last year is $80.64.

Several brokerages recently weighed in on PFG. Piper Sandler upped their price objective on Principal Financial Group from $85.00 to $90.00 and gave the stock a “neutral” rating in a research report on Friday, April 5th. Wells Fargo & Company upped their price objective on Principal Financial Group from $86.00 to $91.00 and gave the stock an “equal weight” rating in a research report on Thursday, April 11th. Keefe, Bruyette & Woods lifted their price target on Principal Financial Group from $85.00 to $89.00 and gave the company a “market perform” rating in a research note on Wednesday, April 10th. Evercore ISI lifted their price target on Principal Financial Group from $84.00 to $86.00 and gave the company an “in-line” rating in a research note on Thursday, April 11th. Finally, Royal Bank of Canada lifted their price target on Principal Financial Group from $75.00 to $83.00 and gave the company a “sector perform” rating in a research note on Wednesday, February 14th.

Principal Financial Group Stock Performance

NYSE:PFG opened at $81.35 on Thursday. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.30 and a current ratio of 0.30. Principal Financial Group has a fifty-two week low of $65.17 and a fifty-two week high of $86.79. The company has a market cap of $19.13 billion, a price-to-earnings ratio of 33.20, a PEG ratio of 0.85 and a beta of 1.25. The stock has a fifty day moving average price of $81.68 and a 200-day moving average price of $77.25.

Principal Financial Group (NYSE:PFG) last announced its quarterly earnings data on Monday, February 12th. The company reported $1.83 earnings per share for the quarter, topping the consensus estimate of $1.70 by $0.13. Principal Financial Group had a return on equity of 15.14% and a net margin of 4.56%. The business had revenue of $2.69 billion during the quarter, compared to the consensus estimate of $3.53 billion. During the same period in the prior year, the company earned $1.70 EPS. As a group, equities analysts anticipate that Principal Financial Group will post 7.6 EPS for the current fiscal year.

Principal Financial Group Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Tuesday, March 12th were paid a $0.69 dividend. This is a positive change from Principal Financial Group’s previous quarterly dividend of $0.67. This represents a $2.76 dividend on an annualized basis and a dividend yield of 3.39%. The ex-dividend date of this dividend was Monday, March 11th. Principal Financial Group’s payout ratio is currently 112.65%.

Principal Financial Group declared that its board has approved a share buyback program on Monday, February 12th that authorizes the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization authorizes the company to purchase up to 7.9% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Hedge Funds Weigh In On Principal Financial Group

A number of hedge funds and other institutional investors have recently made changes to their positions in PFG. Norges Bank acquired a new position in shares of Principal Financial Group in the fourth quarter worth approximately $253,990,000. RIA Advisory Group LLC lifted its stake in shares of Principal Financial Group by 35,473.1% in the fourth quarter. RIA Advisory Group LLC now owns 1,080,000 shares of the company’s stock worth $84,964,000 after acquiring an additional 1,076,964 shares during the period. Wellington Management Group LLP increased its holdings in Principal Financial Group by 15.0% in the third quarter. Wellington Management Group LLP now owns 4,423,975 shares of the company’s stock worth $318,836,000 after purchasing an additional 575,646 shares in the last quarter. Pinebridge Investments L.P. increased its holdings in Principal Financial Group by 2,594.0% in the fourth quarter. Pinebridge Investments L.P. now owns 575,986 shares of the company’s stock worth $45,313,000 after purchasing an additional 554,606 shares in the last quarter. Finally, Hsbc Holdings PLC increased its holdings in Principal Financial Group by 60.5% in the third quarter. Hsbc Holdings PLC now owns 1,210,985 shares of the company’s stock worth $87,305,000 after purchasing an additional 456,455 shares in the last quarter. 75.08% of the stock is owned by institutional investors and hedge funds.

About Principal Financial Group

Principal Financial Group, Inc provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. The company operates through Retirement and Income Solutions, Principal Asset Management, and Benefits and Protection segments. The Retirement and Income Solutions segment provides retirement, and related financial products and services.