Principal Financial Group (NASDAQ:PFG) Reaches New 12-Month High – Still a Buy?

Principal Financial Group, Inc. (NASDAQ:PFG)’s share price hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $112.14 and last traded at $112.0110, with a volume of 193673 shares. The stock had previously closed at $109.57.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on PFG. Evercore set a $108.00 price objective on Principal Financial Group in a research report on Monday, April 27th. Piper Sandler reiterated an “overweight” rating on shares of Principal Financial Group in a report on Wednesday. Wells Fargo & Company reduced their price target on shares of Principal Financial Group from $91.00 to $87.00 and set an “equal weight” rating for the company in a research report on Friday, April 10th. Weiss Ratings cut shares of Principal Financial Group from a “buy (b)” rating to a “buy (b-)” rating in a report on Friday, May 1st. Finally, Barclays boosted their price objective on shares of Principal Financial Group from $85.00 to $87.00 and gave the company an “underweight” rating in a research report on Friday, April 24th. Three investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $98.40.

Principal Financial Group Price Performance

The stock has a 50 day moving average of $102.62 and a two-hundred day moving average of $94.97. The company has a debt-to-equity ratio of 0.33, a quick ratio of 0.27 and a current ratio of 0.27. The firm has a market capitalization of $23.18 billion, a P/E ratio of 15.48, a P/E/G ratio of 1.05 and a beta of 0.88.

Principal Financial Group (NASDAQ:PFG) last announced its quarterly earnings results on Wednesday, April 29th. The company reported $2.07 EPS for the quarter, beating the consensus estimate of $2.01 by $0.06. Principal Financial Group had a return on equity of 16.25% and a net margin of 10.10%.The company had revenue of $3.53 billion for the quarter, compared to the consensus estimate of $4.11 billion. During the same quarter last year, the company posted $1.81 earnings per share. Sell-side analysts predict that Principal Financial Group, Inc. will post 9.36 earnings per share for the current fiscal year.

Principal Financial Group Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Monday, June 1st will be given a dividend of $0.82 per share. The ex-dividend date of this dividend is Monday, June 1st. This represents a $3.28 dividend on an annualized basis and a yield of 3.1%. This is a positive change from Principal Financial Group’s previous quarterly dividend of $0.80. Principal Financial Group’s dividend payout ratio (DPR) is presently 46.92%.

Insider Transactions at Principal Financial Group

In related news, insider Wee Yee Cheong sold 7,534 shares of the business’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $103.16, for a total transaction of $777,207.44. Following the completion of the transaction, the insider owned 66,443 shares of the company’s stock, valued at approximately $6,854,259.88. The trade was a 10.18% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, General Counsel George Djurasovic sold 2,571 shares of the stock in a transaction that occurred on Tuesday, April 28th. The shares were sold at an average price of $100.83, for a total value of $259,233.93. Following the sale, the general counsel owned 21,906 shares of the company’s stock, valued at approximately $2,208,781.98. The trade was a 10.50% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 28,317 shares of company stock valued at $2,884,902 over the last 90 days. Corporate insiders own 1.13% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. DV Equities LLC acquired a new stake in shares of Principal Financial Group in the fourth quarter worth $25,000. Thurston Springer Miller Herd & Titak Inc. acquired a new position in Principal Financial Group during the 4th quarter valued at $26,000. Hilton Head Capital Partners LLC bought a new stake in Principal Financial Group in the 4th quarter valued at $26,000. Valley Wealth Managers Inc. bought a new stake in Principal Financial Group in the 1st quarter valued at $27,000. Finally, MBM Wealth Consultants LLC bought a new stake in Principal Financial Group in the 1st quarter valued at $28,000. 75.08% of the stock is owned by institutional investors.

Principal Financial Group Company Profile

Principal Financial Group (NASDAQ: PFG) is a global financial services company headquartered in Des Moines, Iowa, that provides a range of retirement, investment and insurance solutions to individuals, employers and institutional clients. The firm’s business is organized around retirement services, asset management, and insurance products designed to help clients plan, invest for, and protect income over the long term.

Principal’s product and service offerings include retirement plan recordkeeping and administration for employer-sponsored plans, individual and group retirement annuities, life and disability insurance, employee benefits solutions, and wealth management services.