Principal Financial Valuation
| PFG Stock | USD 95.76 3.61 3.92% |
At this time, the company appears to be undervalued. Principal Financial holds a recent Real Value of $97.8 per share. The prevailing price of the company is $95.76. Our model determines the value of Principal Financial from analyzing the company fundamentals such as Operating Margin of 0.14 %, shares outstanding of 217.4 M, and Return On Equity of 0.11 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Principal Financial's valuation include:
Undervalued
Today
Please note that Principal Financial's price fluctuation is very steady at this time. Calculation of the real value of Principal Financial is based on 3 months time horizon. Increasing Principal Financial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Principal stock is determined by what a typical buyer is willing to pay for full or partial control of Principal Financial Group. Since Principal Financial is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Principal Stock. However, Principal Financial's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 95.76 | Real 97.8 | Target 94.0 | Hype 92.55 | Naive 90.98 |
The real value of Principal Stock, also known as its intrinsic value, is the underlying worth of Principal Financial Company, which is reflected in its stock price. It is based on Principal Financial's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Principal Financial's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Principal Financial Group helps investors to forecast how Principal stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Principal Financial more accurately as focusing exclusively on Principal Financial's fundamentals will not take into account other important factors: When choosing an evaluation method for Principal Financial, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.
Principal Financial Cash |
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Principal Revenue by Product
Principal Financial Total Value Analysis
Principal Financial Group is at this time forecasted to have company total value of 19.06 B with market capitalization of 21.04 B, debt of 4.2 B, and cash on hands of 3.68 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Principal Financial fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
19.06 B | 21.04 B | 4.2 B | 3.68 B |
Principal Financial Investor Information
About 76.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.64. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Principal Financial has Price/Earnings To Growth (PEG) ratio of 1.5. The entity recorded earning per share (EPS) of 6.82. The firm last dividend was issued on the 11th of March 2026. Principal Financial Group may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 3.8 B | 4.5 B |
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| Operating Income | 1.4 B | 1.4 B |
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Principal Financial Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The current return on assets of Principal implies not a very effective usage of assets in February.Principal Financial Profitability Analysis
Taking into consideration Principal Financial's profitability measurements, Principal Financial Group may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in March. Profitability indicators assess Principal Financial's ability to earn profits and add value for shareholders.Net Income | First Reported 2000-03-31 | Previous Quarter 213.8 M | Current Value 517 M | Quarterly Volatility 374.6 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.34 | 0.4519 |
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| Net Profit Margin | 0.0751 | 0.0758 |
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| Pretax Profit Margin | 0.088 | 0.0906 |
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| Return On Assets | 0.0045 | 0.0035 |
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| Return On Equity | 0.096 | 0.0997 |
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For Principal Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Principal Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Principal Financial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Principal Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Principal Financial over time as well as its relative position and ranking within its peers.
Principal Financial Earnings per Share Projection vs Actual
The next projected EPS of Principal Financial is estimated to be 2.3149 with future projections ranging from a low of 2.0868 to a high of 2.48. Principal Financial's most recent 12-month trailing earnings per share (EPS TTM) is at 6.82. Please be aware that the consensus of earnings estimates for Principal Financial Group is based on EPS before non-recurring items and includes expenses related to employee stock options.Principal Financial Earnings Estimation Breakdown
The calculation of Principal Financial's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Principal Financial is estimated to be 2.3149 with the future projection ranging from a low of 2.0868 to a high of 2.48. Please be aware that this consensus of annual earnings estimates for Principal Financial Group is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
2.09 Lowest | Expected EPS | 2.48 Highest |
Principal Financial Earnings Projection Consensus
Suppose the current estimates of Principal Financial's value are higher than the current market price of the Principal Financial stock. In this case, investors may conclude that Principal Financial is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Principal Financial's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 30th of June 2026 | Current EPS (TTM) | |
| 11 | 90.0% | 0.0 | 2.3149 | 6.82 |
Principal Financial Ownership Allocation
Principal Financial owns a total of 217.4 Million outstanding shares. The majority of Principal Financial Group outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Principal Financial to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Principal Financial. Please pay attention to any change in the institutional holdings of Principal Financial as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Principal Financial Profitability Analysis
The company reported the last year's revenue of 15.63 B. Total Income to common stockholders was 1.19 B with profit before taxes, overhead, and interest of 6.91 B.Principal Financial Past Distributions to stockholders
| 19th of December 2025 | ||
| 26th of September 2025 | ||
| 27th of June 2025 | ||
| 28th of March 2025 | ||
| 18th of December 2024 | ||
| 27th of September 2024 | ||
| 27th of June 2024 | ||
| 28th of March 2024 | ||
| 12th of March 2024 |
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Principal Financial's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Principal Financial and how it compares across the competition.
About Principal Financial Valuation
The stock valuation mechanism determines Principal Financial's current worth on a weekly basis. Our valuation model uses a comparative analysis of Principal Financial. We calculate exposure to Principal Financial's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Principal Financial's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 7.1 B | 5.7 B | |
| Pretax Profit Margin | 0.09 | 0.09 | |
| Operating Profit Margin | 0.09 | 0.08 | |
| Net Profit Margin | 0.08 | 0.08 | |
| Gross Profit Margin | 0.45 | 0.34 |
A single share of Principal Financial represents a small ownership stake in the entity. As a stockholder of Principal, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Principal Financial Dividends Analysis For Valuation
The Principal Financial's current Dividend Paid And Capex Coverage Ratio is estimated to increase to 8.03, while Dividends Paid is forecasted to increase to (649.8 M). . At this time, Principal Financial's Earnings Yield is most likely to increase slightly in the upcoming years. The Principal Financial's current Price Earnings Ratio is estimated to increase to 17.75, while Price Earnings To Growth Ratio is forecasted to increase to (0.75).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -684 M | -649.8 M | |
| Dividend Yield | 0.03 | 0.02 | |
| Dividend Payout Ratio | 0.58 | 0.51 | |
| Dividend Paid And Capex Coverage Ratio | 5.80 | 8.03 |
There are various types of dividends Principal Financial can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Principal shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Principal Financial Group directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Principal pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Principal Financial by the value of the dividends paid out.
Principal Financial Growth Indicators
Investing in growth stocks can be very risky. If the company such as Principal Financial does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 225.7 M | |
| Quarterly Earnings Growth Y O Y | -0.409 | |
| Forward Price Earnings | 9.1158 |
Principal Financial Current Valuation Indicators
Valuation refers to the process of determining the present value of Principal Financial Group and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Principal we look at many different elements of the entity such as Principal's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Principal Financial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Principal Financial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Principal Financial's worth.Complementary Tools for Principal Stock analysis
When running Principal Financial's price analysis, check to measure Principal Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Principal Financial is operating at the current time. Most of Principal Financial's value examination focuses on studying past and present price action to predict the probability of Principal Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Principal Financial's price. Additionally, you may evaluate how the addition of Principal Financial to your portfolios can decrease your overall portfolio volatility.
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