Prudential Financial (NYSE:PRU) Trading Down 5.1% on Disappointing Earnings

Prudential Financial, Inc. (NYSE:PRU) fell 5.1% during trading on Wednesday following a weaker than expected 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 EPS for the quarter, missing the consensus estimate of $3.36 by ($0.40). Prudential Financial had a return on equity of 15.30% and a net margin of 6.03%.

Wall Street Analyst Weigh In

PRU has been the topic of several research reports. Wells Fargo & Company lowered their target price on Prudential Financial from $117.00 to $115.00 and set an “equal weight” rating on the stock in a report on Tuesday, January 14th. BMO Capital Markets started coverage on Prudential Financial in a research report on Thursday, January 23rd. They set an “underperform” rating and a $101.00 price objective for the company. Piper Sandler dropped their target price 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. Jefferies Financial Group upped their price target on shares of Prudential Financial from $149.00 to $152.00 and gave the stock a “buy” rating in a research note on Tuesday, December 10th. Finally, Barclays lifted their price target on shares of Prudential Financial from $128.00 to $134.00 and gave the stock an “equal weight” rating in a research note on Wednesday. One investment analyst has rated the stock with a sell rating, eleven have assigned a hold rating, one has issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, Prudential Financial has a consensus rating of “Hold” and a consensus price target of $125.77.

Insider Buying and Selling

In other news, major shareholder Insurance Co Of Ame Prudential acquired 537,249 shares of the stock in a transaction dated Monday, November 25th. The stock was bought at an average price of $27.92 per share, with a total value of $14,999,992.08. Following the completion of the purchase, the insider now directly owns 4,780,293 shares of the company’s stock, valued at $133,465,780.56. This represents a 12.66 % increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. 0.34% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of PRU. Grove Bank & Trust increased its position in shares of Prudential Financial by 65.9% during the fourth quarter. Grove Bank & Trust now owns 219 shares of the financial services provider’s stock valued at $26,000 after acquiring an additional 87 shares during the last quarter. Centricity Wealth Management LLC purchased a new position in Prudential Financial during the fourth quarter worth about $29,000. Ashton Thomas Securities LLC purchased a new position in Prudential Financial in the third quarter worth $31,000. CGC Financial Services LLC lifted its stake in Prudential Financial by 82.1% during the fourth quarter. CGC Financial Services LLC now owns 275 shares of the financial services provider’s stock worth $33,000 after purchasing an additional 124 shares during the last quarter. Finally, Wingate Wealth Advisors Inc. bought a new position in Prudential Financial during the fourth quarter valued at approximately $33,000. Institutional investors and hedge funds own 56.83% of the company’s stock.

Prudential Financial Price Performance

The firm’s 50 day simple moving average is $120.38 and its two-hundred day simple moving average is $120.46. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.14 and a quick ratio of 0.14. The firm has a market capitalization of $39.88 billion, a P/E ratio of 9.95, a P/E/G ratio of 1.12 and a beta of 1.31.

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.