Home Sectors Financial Services Recent Trend: Prudential Financial (NYSE: PRU)

Recent Trend: Prudential Financial (NYSE: PRU)


Prudential Financial is in the financial services sector and trades as part of the life insurance industry. The company CEO is Charles Lowrey. Prudential Financial Inc offers annuities, life insurance, retirement plan services, and asset management products to individual and institutional customers in the United States, Asia, Europe and Latin America.

Previous Intraday Trading Performance:

The PRU stock showed a previous change of 0.56% with an open at 91.59 and a close of 91.50. It reached an intraday high of 91.77 and a low of 90.61.

SeekingAlpha:  PGIM Real Estate originates $18.1B in financing in 2018


The stock has a market cap of $37.8b with 413.0m shares outstanding, of which the float is 411.2m shares. Trading volume reached 1,755,489 shares compared to its average volume of 2,256,198 shares. Based on the current average volume and close price, the trading liquidity is good.

Historical Trading Performance:

Over the last five trading days, Prudential Financial shares returned -1.60% and in the past 30 trading days it returned 13.27%. Over three months, it changed -1.34%. In one year it has changed -12.04% and within that year its 52-week high was 113.03 and its 52-week low was 75.61. PRU stock is 21.02% above its 52 Week Low.

Our calculations show a 200 day moving average of 94.65 and a 50 day moving average of 87.64. Currently PRU stock is trading -3.33% below its 200 day moving average and may be a good opportunity to buy, but should check other indicators to confirm a buy signal.

Business Wire:  PGIM Real Estate Finance provides $18.1 billion in financing in 2018


The last annual fiscal EPS for the company was reported at 17.87 that ended on 31st of December 2018, which according to the previous close, that is a PE of 5.12. Based on 18 analyst estimates, the consensus EPS for the next quarter is 2.88. The TTM EPS is 11.68, which comes to a TTM PE of 7.83.

The following are the last four quarter reported earnings per share:
12-31-2018:  2.44
09-30-2018:  3.15
06-30-2018:  3.01
03-31-2018:  3.08

The dividend per share is currently 4.00, which is a dividend yield of 4.37%. Also, the payout ratio is 34.25%, therefore the dividend is safe according to our calculations. PRU stock has a high dividend yield, but because the company has sufficient earnings to cover future dividends, it may be a good investment opportunity for an income portfolio.

Base on our calculations, the intrinsic value per share is 136.65, which means it is possibly undervalued and has a margin of safety of 33.04%

Indicators to Watch:

Based on the latest filings, there is 0.40% of insider ownership and 94.90% of institutional ownership. Short-interest is 4,170,451, which is 1.01% of shares outstanding. The short-interest ratio or days-to-cover ratio is 1.64. This stock has some short interest, but it may be normal and no cause for concern if long the position.

The current calculated beta is 1.44

SeekingAlpha:  Prudential Financial: Analysis Of Dividend Safety And Fair Value Estimate

Fundamental Indicators:

Based on last reported financials, the company’s return on equity is 7.93%, return on assets is 0.49%, profit margin is 6.59%, price-to-sales is 0.61 and price-to-book is 0.77.

Company Scores:

All scores are out of six:
 5  :Valuation Score
 1  :Past Performance Score
 4  :Financial Strength Score
 2  :Future Growth Score
 6  :Dividend Score
 3  :Overall Score

John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.