PRUDENTIAL FINANCIAL INC (PRU) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:PRU • US7443201022
105.26 USD
+1.93 (+1.87%)
At close: Feb 11, 2026
105.26 USD
0 (0%)
After Hours: 2/11/2026, 8:04:00 PM
We assign a fundamental rating of 2 out of 10 to PRU. PRU was compared to 149 industry peers in the Insurance industry. PRU has a bad profitability rating. Also its financial health evaluation is rather negative. PRU has a valuation in line with the averages, but it does not seem to be growing. Finally PRU also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year PRU was profitable.
- In the past year PRU had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: PRU reported negative net income in multiple years.
- Of the past 5 years PRU 4 years had a positive operating cash flow.
1.2 Ratios
- PRU has a worse Return On Assets (0.33%) than 81.21% of its industry peers.
- PRU has a worse Return On Equity (8.05%) than 63.76% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 0.27%, PRU is doing worse than 71.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 8.05% | ||
| ROIC | 0.27% |
ROA(3y)0.15%
ROA(5y)0.27%
ROE(3y)4.35%
ROE(5y)5.32%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 4.89%, PRU is doing worse than 67.11% of the companies in the same industry.
- In the last couple of years the Profit Margin of PRU has declined.
- With a Operating Margin value of 4.84%, PRU is not doing good in the industry: 78.52% of the companies in the same industry are doing better.
- In the last couple of years the Operating Margin of PRU has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.84% | ||
| PM (TTM) | 4.89% | ||
| GM | N/A |
OM growth 3Y-40.52%
OM growth 5Y-15.72%
PM growth 3Y-32.17%
PM growth 5Y-9.58%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- PRU has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, PRU has less shares outstanding
- PRU has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, PRU has a worse debt to assets ratio.
2.2 Solvency
- PRU has a debt to FCF ratio of 4.18. This is a neutral value as PRU would need 4.18 years to pay back of all of its debts.
- PRU has a worse Debt to FCF ratio (4.18) than 61.07% of its industry peers.
- A Debt/Equity ratio of 0.67 indicates that PRU is somewhat dependend on debt financing.
- PRU's Debt to Equity ratio of 0.67 is on the low side compared to the rest of the industry. PRU is outperformed by 81.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 4.18 | ||
| Altman-Z | N/A |
ROIC/WACC0.03
WACC8.4%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- PRU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.43%, which is quite good.
- Measured over the past 5 years, PRU shows a small growth in Earnings Per Share. The EPS has been growing by 6.96% on average per year.
EPS 1Y (TTM)11.43%
EPS 3Y15.11%
EPS 5Y6.96%
EPS Q2Q%11.49%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%11.62%
3.2 Future
- Based on estimates for the next years, PRU will show a small growth in Earnings Per Share. The EPS will grow by 5.50% on average per year.
- PRU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.06% yearly.
EPS Next Y4.46%
EPS Next 2Y5.1%
EPS Next 3Y5.44%
EPS Next 5Y5.5%
Revenue Next Year1.08%
Revenue Next 2Y2.43%
Revenue Next 3Y6.07%
Revenue Next 5Y3.06%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 7.29, the valuation of PRU can be described as very cheap.
- 78.52% of the companies in the same industry are more expensive than PRU, based on the Price/Earnings ratio.
- PRU is valuated cheaply when we compare the Price/Earnings ratio to 28.23, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 6.98 indicates a rather cheap valuation of PRU.
- Based on the Price/Forward Earnings ratio, PRU is valued a bit cheaper than the industry average as 74.50% of the companies are valued more expensively.
- PRU is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.01, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.29 | ||
| Fwd PE | 6.98 |
4.2 Price Multiples
- PRU's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, PRU is valued a bit cheaper than the industry average as 60.40% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.94 | ||
| EV/EBITDA | 14.24 |
4.3 Compensation for Growth
- PRU's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.64
PEG (5Y)1.05
EPS Next 2Y5.1%
EPS Next 3Y5.44%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 5.48%, PRU is a good candidate for dividend investing.
- PRU's Dividend Yield is rather good when compared to the industry average which is at 2.28. PRU pays more dividend than 85.91% of the companies in the same industry.
- PRU's Dividend Yield is rather good when compared to the S&P500 average which is at 1.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.48% |
5.2 History
- The dividend of PRU has a limited annual growth rate of 5.50%.
- PRU has paid a dividend for at least 10 years, which is a reliable track record.
- PRU has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.5%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
- 74.23% of the earnings are spent on dividend by PRU. This is not a sustainable payout ratio.
- PRU's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP74.23%
EPS Next 2Y5.1%
EPS Next 3Y5.44%
105.26
+1.93 (+1.87%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)02-03 2026-02-03/amc
Earnings (Next)04-28 2026-04-28/amc
Inst Owners61.95%
Inst Owner Change-1.39%
Ins Owners0.1%
Ins Owner Change-1%
Market Cap36.62B
Revenue(TTM)N/A
Net Income(TTM)2.58B
Analysts66.36
Price Target123.2 (17.04%)
Short Float %1.97%
Short Ratio4.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.48% |
Yearly Dividend5.3
Dividend Growth(5Y)5.5%
DP74.23%
Div Incr Years16
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.29%
Min EPS beat(2)10.45%
Max EPS beat(2)14.14%
EPS beat(4)3
Avg EPS beat(4)4.31%
Min EPS beat(4)-9.72%
Max EPS beat(4)14.14%
EPS beat(8)3
Avg EPS beat(8)1.28%
EPS beat(12)4
Avg EPS beat(12)0.08%
EPS beat(16)7
Avg EPS beat(16)1.84%
Revenue beat(2)1
Avg Revenue beat(2)6.36%
Min Revenue beat(2)-1.02%
Max Revenue beat(2)13.74%
Revenue beat(4)1
Avg Revenue beat(4)-1.67%
Min Revenue beat(4)-12.43%
Max Revenue beat(4)13.74%
Revenue beat(8)4
Avg Revenue beat(8)8.94%
Revenue beat(12)5
Avg Revenue beat(12)4.48%
Revenue beat(16)7
Avg Revenue beat(16)3.31%
PT rev (1m)2.3%
PT rev (3m)3.44%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-0.4%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)2.01%
Revenue NQ rev (1m)-0.83%
Revenue NQ rev (3m)-2.53%
Revenue NY rev (1m)0.37%
Revenue NY rev (3m)1.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.29 | ||
| Fwd PE | 6.98 | ||
| P/S | 0.69 | ||
| P/FCF | 6.94 | ||
| P/OCF | 6.94 | ||
| P/B | 1.14 | ||
| P/tB | 1.14 | ||
| EV/EBITDA | 14.24 |
EPS(TTM)14.43
EY13.71%
EPS(NY)15.07
Fwd EY14.32%
FCF(TTM)15.16
FCFY14.4%
OCF(TTM)15.16
OCFY14.4%
SpS151.77
BVpS92.25
TBVpS92.25
PEG (NY)1.64
PEG (5Y)1.05
Graham Number173.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 8.05% | ||
| ROCE | 0.33% | ||
| ROIC | 0.27% | ||
| ROICexc | 0.28% | ||
| ROICexgc | 0.42% | ||
| OM | 4.84% | ||
| PM (TTM) | 4.89% | ||
| GM | N/A | ||
| FCFM | 9.99% |
ROA(3y)0.15%
ROA(5y)0.27%
ROE(3y)4.35%
ROE(5y)5.32%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-34%
ROICexgc growth 5Y-12.49%
ROICexc growth 3Y-35.91%
ROICexc growth 5Y-11.25%
OM growth 3Y-40.52%
OM growth 5Y-15.72%
PM growth 3Y-32.17%
PM growth 5Y-9.58%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 4.18 | ||
| Debt/EBITDA | 7.73 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 189.37% | ||
| Profit Quality | 204.1% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC8.4%
ROIC/WACC0.03
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.43%
EPS 3Y15.11%
EPS 5Y6.96%
EPS Q2Q%11.49%
EPS Next Y4.46%
EPS Next 2Y5.1%
EPS Next 3Y5.44%
EPS Next 5Y5.5%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%11.62%
Revenue Next Year1.08%
Revenue Next 2Y2.43%
Revenue Next 3Y6.07%
Revenue Next 5Y3.06%
EBIT growth 1Y-49.18%
EBIT growth 3Y-40.75%
EBIT growth 5Y-14.45%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y94.33%
FCF growth 3Y-4.66%
FCF growth 5Y-15.41%
OCF growth 1Y94.33%
OCF growth 3Y-4.66%
OCF growth 5Y-15.41%
PRUDENTIAL FINANCIAL INC / PRU FAQ
What is the fundamental rating for PRU stock?
ChartMill assigns a fundamental rating of 2 / 10 to PRU.
What is the valuation status of PRUDENTIAL FINANCIAL INC (PRU) stock?
ChartMill assigns a valuation rating of 6 / 10 to PRUDENTIAL FINANCIAL INC (PRU). This can be considered as Fairly Valued.
Can you provide the profitability details for PRUDENTIAL FINANCIAL INC?
PRUDENTIAL FINANCIAL INC (PRU) has a profitability rating of 1 / 10.
What is the valuation of PRUDENTIAL FINANCIAL INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PRUDENTIAL FINANCIAL INC (PRU) is 7.29 and the Price/Book (PB) ratio is 1.14.
How sustainable is the dividend of PRUDENTIAL FINANCIAL INC (PRU) stock?
The dividend rating of PRUDENTIAL FINANCIAL INC (PRU) is 8 / 10 and the dividend payout ratio is 74.23%.