88.95 USD
-0.39 (-0.44%)
88.95 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. Both the profitability and financial health of PFG have multiple concerns. PFG is valued quite cheap, while showing a decent growth score. This is a good combination! PFG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PFG had positive earnings in the past year.
In the past year PFG had a positive cash flow from operations.
PFG had positive earnings in each of the past 5 years.
Each year in the past 5 years PFG had a positive operating cash flow.
1.2 Ratios
PFG has a Return On Assets of 0.47%. This is in the lower half of the industry: PFG underperforms 73.65% of its industry peers.
With a Return On Equity value of 13.49%, PFG perfoms like the industry average, outperforming 59.46% of the companies in the same industry.
With a Return On Invested Capital value of 0.42%, PFG is not doing good in the industry: 69.59% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for PFG is significantly below the industry average of 14.88%.
| 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
PFG has a Profit Margin of 10.18%. This is in the better half of the industry: PFG outperforms 62.16% of its industry peers.
In the last couple of years the Profit Margin of PFG has grown nicely.
Looking at the Operating Margin, with a value of 10.34%, PFG is doing worse than 60.81% 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.
The number of shares outstanding for PFG has been reduced compared to 1 year ago.
Compared to 5 years ago, PFG has less shares outstanding
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.
PFG has a better Debt to FCF ratio (0.94) than 70.27% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that PFG is not too dependend on debt financing.
PFG has a Debt to Equity ratio of 0.34. This is comparable to the rest of the industry: PFG outperforms 47.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | N/A |
ROIC/WACC0.05
WACC7.9%
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.
Looking at the last year, PFG shows a decrease in Revenue. The Revenue has decreased by -2.71% in the last year.
PFG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.73% yearly.
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.
PFG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.53% yearly.
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
Based on the Price/Earnings ratio of 11.10, the valuation of PFG can be described as reasonable.
60.81% of the companies in the same industry are more expensive than PFG, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.39, PFG is valued rather cheaply.
The Price/Forward Earnings ratio is 9.38, which indicates a very decent valuation of PFG.
Based on the Price/Forward Earnings ratio, PFG is valued a bit cheaper than the industry average as 63.51% of the companies are valued more expensively.
PFG is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.84, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.1 | ||
| Fwd PE | 9.38 |
4.2 Price Multiples
60.81% of the companies in the same industry are more expensive than PFG, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, PFG is valued a bit cheaper than 74.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.68 | ||
| EV/EBITDA | 8.02 |
4.3 Compensation for Growth
PFG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PFG's earnings are expected to grow with 14.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.55
PEG (5Y)2.45
EPS Next 2Y16.53%
EPS Next 3Y14.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.54%, PFG has a reasonable but not impressive dividend return.
PFG's Dividend Yield is rather good when compared to the industry average which is at 2.30. PFG pays more dividend than 80.41% of the companies in the same industry.
PFG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
5.2 History
The dividend of PFG has a limited annual growth rate of 5.52%.
PFG has paid a dividend for at least 10 years, which is a reliable track record.
PFG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
The dividend of PFG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP43.04%
EPS Next 2Y16.53%
EPS Next 3Y14.26%
88.95
-0.39 (-0.44%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners75.43%
Inst Owner Change-1.32%
Ins Owners0.71%
Ins Owner Change0.29%
Market Cap19.54B
Revenue(TTM)15.46B
Net Income(TTM)1.57B
Analysts67.06
Price Target90.87 (2.16%)
Short Float %2.29%
Short Ratio3.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
Yearly Dividend2.85
Dividend Growth(5Y)5.52%
DP43.04%
Div Incr Years16
Div Non Decr Years16
Ex-Date
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)1.62%
PT rev (3m)4.25%
EPS NQ rev (1m)0.22%
EPS NQ rev (3m)1.89%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)-0.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.77%
Revenue NY rev (1m)-1.97%
Revenue NY rev (3m)-1.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.1 | ||
| Fwd PE | 9.38 | ||
| P/S | 1.26 | ||
| P/FCF | 4.68 | ||
| P/OCF | 4.6 | ||
| P/B | 1.68 | ||
| P/tB | 2.22 | ||
| EV/EBITDA | 8.02 |
EPS(TTM)8.01
EY9.01%
EPS(NY)9.48
Fwd EY10.66%
FCF(TTM)18.99
FCFY21.35%
OCF(TTM)19.35
OCFY21.76%
SpS70.38
BVpS53.1
TBVpS40.14
PEG (NY)0.55
PEG (5Y)2.45
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
WACC7.9%
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.
Can you provide the valuation status for PRINCIPAL FINANCIAL GROUP?
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 3 / 10.
Can you provide the expected EPS growth for PFG stock?
The Earnings per Share (EPS) of PRINCIPAL FINANCIAL GROUP (PFG) is expected to grow by 20.22% in the next year.
Can you provide the dividend sustainability for PFG stock?
The dividend rating of PRINCIPAL FINANCIAL GROUP (PFG) is 7 / 10 and the dividend payout ratio is 43.04%.