Prudential Financial (NYSE:PRU) Sets New 12-Month High – Still a Buy?

Prudential Financial, Inc. (NYSE:PRU) hit a new 52-week high during mid-day trading on Wednesday . The company traded as high as $124.57 and last traded at $123.9150, with a volume of 2036494 shares traded. The stock had previously closed at $121.89.

Wall Street Analyst Weigh In

PRU has been the subject of several recent research reports. Weiss Ratings raised Prudential Financial from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, July 16th. Wall Street Zen upgraded Prudential Financial from a “hold” rating to a “buy” rating in a research report on Saturday, July 18th. UBS Group dropped their target price on Prudential Financial from $105.00 to $98.00 and set a “neutral” rating on the stock in a research report on Thursday, April 9th. Argus cut Prudential Financial from a “buy” rating to a “hold” rating in a research note on Tuesday, June 9th. Finally, Jefferies Financial Group boosted their price target on shares of Prudential Financial from $105.00 to $110.00 and gave the company a “hold” rating in a report on Friday, July 10th. One analyst has rated the stock with a Buy rating, eleven have issued a Hold rating and five have given a Sell rating to the company’s stock. According to data from MarketBeat.com, Prudential Financial has an average rating of “Reduce” and a consensus price target of $105.46.

Prudential Financial Stock Performance

The company has a quick ratio of 0.16, a current ratio of 0.16 and a debt-to-equity ratio of 0.58. The company has a 50-day moving average price of $110.50 and a 200-day moving average price of $104.41. The firm has a market capitalization of $42.63 billion, a price-to-earnings ratio of 12.64, a P/E/G ratio of 2.44 and a beta of 0.85.

Prudential Financial (NYSE:PRU) last posted its earnings results on Tuesday, May 5th. The financial services provider reported $3.61 EPS for the quarter, beating the consensus estimate of $3.09 by $0.52. The firm had revenue of $15.23 billion for the quarter, compared to analysts’ expectations of $14.10 billion. Prudential Financial had a return on equity of 16.33% and a net margin of 5.83%.During the same period last year, the firm earned $3.29 EPS. As a group, equities research analysts forecast that Prudential Financial, Inc. will post 13.83 earnings per share for the current year.

Prudential Financial Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 11th. Stockholders of record on Tuesday, May 26th were issued a dividend of $1.40 per share. This represents a $5.60 dividend on an annualized basis and a dividend yield of 4.6%. The ex-dividend date of this dividend was Tuesday, May 26th. Prudential Financial’s dividend payout ratio (DPR) is 57.61%.

Insider Buying and Selling at Prudential Financial

In related news, major shareholder Insurance Co Of Ame Prudential sold 214,746 shares of Prudential Financial stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $24.75, for a total transaction of $5,314,963.50. Following the sale, the insider directly owned 7,973,657 shares in the company, valued at $197,348,010.75. The trade was a 2.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.05% of the stock is currently owned by corporate insiders.

Institutional Trading of Prudential Financial

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Jessup Wealth Management Inc acquired a new stake in shares of Prudential Financial in the 4th quarter worth approximately $25,000. Garton & Associates Financial Advisors LLC acquired a new position in shares of Prudential Financial during the fourth quarter valued at approximately $26,000. Salomon & Ludwin LLC increased its stake in shares of Prudential Financial by 98.3% during the fourth quarter. Salomon & Ludwin LLC now owns 230 shares of the financial services provider’s stock valued at $27,000 after acquiring an additional 114 shares during the period. Lodestone Wealth Management LLC bought a new stake in Prudential Financial during the fourth quarter worth approximately $28,000. Finally, Basepoint Wealth LLC acquired a new stake in Prudential Financial in the fourth quarter worth approximately $30,000. 56.83% of the stock is currently owned by institutional investors.

About Prudential Financial

Prudential Financial, Inc, headquartered in Newark, New Jersey, is a diversified financial services company with roots dating to 1875. The firm provides a range of insurance, retirement and investment products aimed at helping individual and institutional clients manage risk, accumulate and protect wealth, and plan for retirement. Prudential’s long history in life insurance and related financial services has positioned it as a major participant in the U.S. insurance market and a provider of services to a broad client base.

Prudential’s core business activities include individual life insurance, annuities, retirement solutions and group insurance products for employers.