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Prudential (PRU) closed at $96.02 in the latest trading session, marking a -0.08% move from the prior day. This change was narrower than the S&P 500's 0.92% loss on the day. At the same time, the Dow lost 0.62%, and the tech-heavy Nasdaq gained 0.05%.
Coming into today, shares of the financial services company had gained 1.96% in the past month. In that same time, the Finance sector lost 2.71%, while the S&P 500 lost 1%.
Investors will be hoping for strength from Prudential as it approaches its next earnings release, which is expected to be August 2, 2022. On that day, Prudential is projected to report earnings of $2.74 per share, which would represent a year-over-year decline of 27.7%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.65 billion, down 3.48% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $11.62 per share and revenue of $52.43 billion. These totals would mark changes of -20.3% and -13.66%, respectively, from last year.
It is also important to note the 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.02% lower. Prudential currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Prudential is holding a Forward P/E ratio of 8.27. Its industry sports an average Forward P/E of 9.52, so we one might conclude that Prudential is trading at a discount comparatively.
Also, we should mention that PRU has a PEG ratio of 0.92. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Insurance - Multi line industry currently had an average PEG ratio of 1.07 as of yesterday's close.
The Insurance - Multi line industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 149, which puts it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Prudential Financial, Inc. (PRU) : Free Stock Analysis Report
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