90.88 USD
-0.92 (-1%)
90.88 USD
0 (0%)
PFG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 148 industry peers in the Insurance industry. PFG has a medium profitability rating, but doesn't score so well on its financial health evaluation. PFG has a correct valuation and a medium growth rate. Finally PFG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year PFG was profitable.
In the past year PFG had a positive cash flow from operations.
In the past 5 years PFG has always been profitable.
PFG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PFG has a Return On Assets of 0.47%. This is in the lower half of the industry: PFG underperforms 72.97% of its industry peers.
The Return On Equity of PFG (13.49%) is better than 60.14% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.42%, PFG is doing worse than 68.92% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PFG is significantly below the industry average of 14.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 13.49% | ||
| ROIC | 0.42% |
ROA(3y)0.78%
ROA(5y)0.67%
ROE(3y)22.52%
ROE(5y)17.16%
ROIC(3y)0.56%
ROIC(5y)0.55%
1.3 Margins
The Profit Margin of PFG (10.18%) is better than 62.84% of its industry peers.
PFG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 10.34%, PFG is doing worse than 60.14% of the companies in the same industry.
PFG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.34% | ||
| PM (TTM) | 10.18% | ||
| GM | N/A |
OM growth 3Y-12.61%
OM growth 5Y-2.51%
PM growth 3Y-3.3%
PM growth 5Y3.17%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PFG is destroying value.
Compared to 1 year ago, PFG has less shares outstanding
PFG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PFG has remained at the same level compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of PFG is 0.94, which is an excellent value as it means it would take PFG, only 0.94 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 0.94, PFG is doing good in the industry, outperforming 70.27% of the companies in the same industry.
A Debt/Equity ratio of 0.34 indicates that PFG is not too dependend on debt financing.
The Debt to Equity ratio of PFG (0.34) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | N/A |
ROIC/WACC0.05
WACC7.93%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.59% over the past year.
PFG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.54% yearly.
The Revenue has decreased by -2.71% in the past year.
Measured over the past years, PFG shows a decrease in Revenue. The Revenue has been decreasing by -0.73% on average per year.
EPS 1Y (TTM)16.59%
EPS 3Y1.02%
EPS 5Y4.54%
EPS Q2Q%19.32%
Revenue 1Y (TTM)-2.71%
Revenue growth 3Y3.21%
Revenue growth 5Y-0.73%
Sales Q2Q%5.6%
3.2 Future
The Earnings Per Share is expected to grow by 12.83% on average over the next years. This is quite good.
Based on estimates for the next years, PFG will show a small growth in Revenue. The Revenue will grow by 5.53% on average per year.
EPS Next Y20.22%
EPS Next 2Y16.53%
EPS Next 3Y14.26%
EPS Next 5Y12.83%
Revenue Next Year1.07%
Revenue Next 2Y4.86%
Revenue Next 3Y4.92%
Revenue Next 5Y5.53%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.35, which indicates a very decent valuation of PFG.
PFG's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of PFG to the average of the S&P500 Index (26.92), we can say PFG is valued rather cheaply.
PFG is valuated reasonably with a Price/Forward Earnings ratio of 9.59.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PFG indicates a somewhat cheap valuation: PFG is cheaper than 62.16% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.57. PFG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.35 | ||
| Fwd PE | 9.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PFG indicates a somewhat cheap valuation: PFG is cheaper than 60.14% of the companies listed in the same industry.
PFG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. PFG is cheaper than 73.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.79 | ||
| EV/EBITDA | 8.21 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PFG's earnings are expected to grow with 14.26% in the coming years.
PEG (NY)0.56
PEG (5Y)2.5
EPS Next 2Y16.53%
EPS Next 3Y14.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.58%, PFG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.48, PFG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, PFG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
5.2 History
The dividend of PFG has a limited annual growth rate of 5.52%.
PFG has been paying a dividend for at least 10 years, so it has a reliable track record.
PFG has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.52%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
43.04% of the earnings are spent on dividend by PFG. This is a bit on the high side, but may be sustainable.
PFG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP43.04%
EPS Next 2Y16.53%
EPS Next 3Y14.26%
90.88
-0.92 (-1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners75.65%
Inst Owner Change0%
Ins Owners0.71%
Ins Owner Change0.23%
Market Cap19.97B
Revenue(TTM)15.46B
Net Income(TTM)1.57B
Analysts67.06
Price Target91.38 (0.55%)
Short Float %2.35%
Short Ratio3.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
Yearly Dividend2.85
Dividend Growth(5Y)5.52%
DP43.04%
Div Incr Years16
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.51%
Min EPS beat(2)-5.38%
Max EPS beat(2)8.39%
EPS beat(4)1
Avg EPS beat(4)0.1%
Min EPS beat(4)-5.38%
Max EPS beat(4)8.39%
EPS beat(8)2
Avg EPS beat(8)-2.96%
EPS beat(12)4
Avg EPS beat(12)-1.67%
EPS beat(16)8
Avg EPS beat(16)1.74%
Revenue beat(2)0
Avg Revenue beat(2)-6.84%
Min Revenue beat(2)-9.94%
Max Revenue beat(2)-3.75%
Revenue beat(4)0
Avg Revenue beat(4)-4.71%
Min Revenue beat(4)-9.94%
Max Revenue beat(4)-0.49%
Revenue beat(8)3
Avg Revenue beat(8)0.05%
Revenue beat(12)6
Avg Revenue beat(12)1.61%
Revenue beat(16)9
Avg Revenue beat(16)1.45%
PT rev (1m)0.94%
PT rev (3m)4.83%
EPS NQ rev (1m)-0.16%
EPS NQ rev (3m)1.97%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.21%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.77%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.35 | ||
| Fwd PE | 9.59 | ||
| P/S | 1.29 | ||
| P/FCF | 4.79 | ||
| P/OCF | 4.7 | ||
| P/B | 1.71 | ||
| P/tB | 2.26 | ||
| EV/EBITDA | 8.21 |
EPS(TTM)8.01
EY8.81%
EPS(NY)9.48
Fwd EY10.43%
FCF(TTM)18.99
FCFY20.89%
OCF(TTM)19.35
OCFY21.3%
SpS70.38
BVpS53.1
TBVpS40.14
PEG (NY)0.56
PEG (5Y)2.5
Graham Number97.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 13.49% | ||
| ROCE | 0.48% | ||
| ROIC | 0.42% | ||
| ROICexc | 0.43% | ||
| ROICexgc | 1.2% | ||
| OM | 10.34% | ||
| PM (TTM) | 10.18% | ||
| GM | N/A | ||
| FCFM | 26.98% |
ROA(3y)0.78%
ROA(5y)0.67%
ROE(3y)22.52%
ROE(5y)17.16%
ROIC(3y)0.56%
ROIC(5y)0.55%
ROICexc(3y)0.57%
ROICexc(5y)0.56%
ROICexgc(3y)1.58%
ROICexgc(5y)1.52%
ROCE(3y)0.64%
ROCE(5y)0.63%
ROICexgc growth 3Y-8.99%
ROICexgc growth 5Y-5.01%
ROICexc growth 3Y-10.54%
ROICexc growth 5Y-5.59%
OM growth 3Y-12.61%
OM growth 5Y-2.51%
PM growth 3Y-3.3%
PM growth 5Y3.17%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 11.71% | ||
| Cap/Sales | 0.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 186.07% | ||
| Profit Quality | 265.11% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC7.93%
ROIC/WACC0.05
Cap/Depr(3y)13.6%
Cap/Depr(5y)15.82%
Cap/Sales(3y)0.66%
Cap/Sales(5y)0.72%
Profit Quality(3y)315.01%
Profit Quality(5y)280.11%
High Growth Momentum
Growth
EPS 1Y (TTM)16.59%
EPS 3Y1.02%
EPS 5Y4.54%
EPS Q2Q%19.32%
EPS Next Y20.22%
EPS Next 2Y16.53%
EPS Next 3Y14.26%
EPS Next 5Y12.83%
Revenue 1Y (TTM)-2.71%
Revenue growth 3Y3.21%
Revenue growth 5Y-0.73%
Sales Q2Q%5.6%
Revenue Next Year1.07%
Revenue Next 2Y4.86%
Revenue Next 3Y4.92%
Revenue Next 5Y5.53%
EBIT growth 1Y2.76%
EBIT growth 3Y-9.8%
EBIT growth 5Y-3.23%
EBIT Next Year19.48%
EBIT Next 3Y10.3%
EBIT Next 5YN/A
FCF growth 1Y6.76%
FCF growth 3Y13.65%
FCF growth 5Y-3.29%
OCF growth 1Y5.99%
OCF growth 3Y12.66%
OCF growth 5Y-3.47%
PRINCIPAL FINANCIAL GROUP / PFG FAQ
Can you provide the ChartMill fundamental rating for PRINCIPAL FINANCIAL GROUP?
ChartMill assigns a fundamental rating of 4 / 10 to PFG.
What is the valuation status for PFG stock?
ChartMill assigns a valuation rating of 6 / 10 to PRINCIPAL FINANCIAL GROUP (PFG). This can be considered as Fairly Valued.
What is the profitability of PFG stock?
PRINCIPAL FINANCIAL GROUP (PFG) has a profitability rating of 4 / 10.
What are the PE and PB ratios of PRINCIPAL FINANCIAL GROUP (PFG) stock?
The Price/Earnings (PE) ratio for PRINCIPAL FINANCIAL GROUP (PFG) is 11.35 and the Price/Book (PB) ratio is 1.71.
How sustainable is the dividend of PRINCIPAL FINANCIAL GROUP (PFG) stock?
The dividend rating of PRINCIPAL FINANCIAL GROUP (PFG) is 7 / 10 and the dividend payout ratio is 43.04%.