Prudential Financial (NYSE:PRU) Stock Price Down 5.1% After Earnings Miss

Shares of Prudential Financial, Inc. (NYSE:PRU) fell 5.1% during mid-day trading on Wednesday following a dissappointing earnings announcement. The stock traded as low as $112.02 and last traded at $111.90. 1,600,346 shares changed hands during trading, a decline of 3% from the average session volume of 1,649,349 shares. The stock had previously closed at $117.95.

The financial services provider reported $2.96 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.36 by ($0.40). Prudential Financial had a net margin of 6.03% and a return on equity of 15.30%.

Prudential Financial Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, March 13th. Investors of record on Tuesday, February 18th will be issued a $1.35 dividend. This represents a $5.40 annualized dividend and a yield of 4.76%. The ex-dividend date of this dividend is Tuesday, February 18th. This is an increase from Prudential Financial’s previous quarterly dividend of $1.30. Prudential Financial’s dividend payout ratio is 46.22%.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the stock. Piper Sandler cut their price target on shares of Prudential Financial from $127.00 to $124.00 and set a “neutral” rating on the stock in a report on Thursday, January 16th. Evercore ISI upgraded shares of Prudential Financial from an “underperform” rating to an “inline” rating and increased their price target for the stock from $117.00 to $140.00 in a report on Thursday, November 14th. BMO Capital Markets assumed coverage on shares of Prudential Financial in a report on Thursday, January 23rd. They issued an “underperform” rating and a $101.00 price target on the stock. Wells Fargo & Company cut their price target on shares of Prudential Financial from $117.00 to $115.00 and set an “equal weight” rating on the stock in a report on Tuesday, January 14th. Finally, TD Cowen raised their price objective on shares of Prudential Financial from $130.00 to $133.00 and gave the stock a “hold” rating in a research note on Wednesday, November 27th. One analyst has rated the stock with a sell rating, eleven have given a hold rating, one has given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $125.77.

Insider Activity at Prudential Financial

In other Prudential Financial news, major shareholder Insurance Co Of Ame Prudential bought 537,249 shares of the stock in a transaction on Monday, November 25th. The shares were bought at an average price of $27.92 per share, with a total value of $14,999,992.08. Following the purchase, the insider now directly owns 4,780,293 shares in the company, valued at $133,465,780.56. This trade represents a 12.66 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 0.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Prudential Financial

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. AMF Tjanstepension AB raised its holdings in shares of Prudential Financial by 12.5% during the 3rd quarter. AMF Tjanstepension AB now owns 203,197 shares of the financial services provider’s stock worth $24,642,000 after acquiring an additional 22,588 shares during the period. Czech National Bank raised its holdings in shares of Prudential Financial by 6.3% during the 3rd quarter. Czech National Bank now owns 72,724 shares of the financial services provider’s stock worth $8,807,000 after acquiring an additional 4,313 shares during the period. Diversified Trust Co purchased a new stake in Prudential Financial in the 3rd quarter valued at about $807,000. Brookstone Capital Management raised its holdings in Prudential Financial by 2.4% in the 3rd quarter. Brookstone Capital Management now owns 86,222 shares of the financial services provider’s stock valued at $10,442,000 after buying an additional 2,005 shares during the period. Finally, Future Financial Wealth Managment LLC purchased a new stake in Prudential Financial in the 3rd quarter valued at about $61,000. Institutional investors and hedge funds own 56.83% of the company’s stock.

Prudential Financial Stock Performance

The stock has a market capitalization of $40.36 billion, a PE ratio of 10.08, a price-to-earnings-growth ratio of 1.12 and a beta of 1.31. The firm’s fifty day moving average is $120.07 and its 200-day moving average is $120.42. The company has a current ratio of 0.14, a quick ratio of 0.14 and a debt-to-equity ratio of 0.60.

Prudential Financial Company Profile

Prudential Financial, Inc, together with its subsidiaries, provides insurance, investment management, and other financial products and services in the United States and internationally. It operates through PGIM, Retirement Strategies, Group Insurance, Individual Life, and International Businesses segments.