Yahoo Finance Prudential (PRU) Stock Sinks As Market Gains: What You Should Know
Prudential (PRU) closed the most recent trading day at $84.55, moving -0.34% from the previous trading session. This change lagged the S&P 500's 0.12% gain on the day. Meanwhile, the Dow gained 0.13%, and the Nasdaq, a tech-heavy index, lost 4.09%.
Prior to today's trading, shares of the financial services company had gained 5.38% over the past month. This has outpaced the Finance sector's gain of 3.37% and the S&P 500's gain of 3.98% in that time.
Prudential will be looking to display strength as it nears its next earnings release. In that report, analysts expect Prudential to post earnings of $3.15 per share. This would mark year-over-year growth of 81.03%. Meanwhile, our latest consensus estimate is calling for revenue of $12.51 billion, down 9.18% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $11.94 per share and revenue of $54.19 billion, which would represent changes of +26.22% and -12.16%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Prudential. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.46% lower. Prudential is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Prudential has a Forward P/E ratio of 7.1 right now. This valuation marks a discount compared to its industry's average Forward P/E of 8.77.
Investors should also note that PRU has a PEG ratio of 0.72 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Multi line was holding an average PEG ratio of 1.12 at yesterday's closing price.
The Insurance - Multi line industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PRU in the coming trading sessions, be sure to utilize Zacks.com.
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Prudential Financial, Inc. (PRU) : Free Stock Analysis Report
