Principal Financial Group (NASDAQ:PFG) Issues Earnings Results, Beats Expectations By $0.06 EPS

Principal Financial Group (NASDAQ:PFG) posted its earnings results on Wednesday. The company reported $2.07 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.01 by $0.06, Zacks reports. The company had revenue of $3.53 billion for the quarter, compared to analyst estimates of $4.11 billion. Principal Financial Group had a return on equity of 16.25% and a net margin of 10.10%.During the same quarter in the previous year, the firm earned $1.81 earnings per share.

Principal Financial Group Stock Performance

Shares of NASDAQ:PFG traded up $0.36 on Friday, hitting $101.27. 644,670 shares of the company were exchanged, compared to its average volume of 1,634,099. Principal Financial Group has a 1-year low of $74.83 and a 1-year high of $101.90. The stock’s 50 day moving average price is $92.37 and its 200 day moving average price is $89.20. The company has a current ratio of 0.24, a quick ratio of 0.27 and a debt-to-equity ratio of 0.33. The firm has a market capitalization of $21.94 billion, a P/E ratio of 14.50, a price-to-earnings-growth ratio of 0.94 and a beta of 0.87.

Principal Financial Group Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Monday, June 1st will be issued a $0.82 dividend. This is an increase from Principal Financial Group’s previous quarterly dividend of $0.80. This represents a $3.28 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date of this dividend is Monday, June 1st. Principal Financial Group’s dividend payout ratio is 45.78%.

Analysts Set New Price Targets

A number of research firms have recently weighed in on PFG. Bank of America lowered their price target on shares of Principal Financial Group from $96.00 to $92.00 and set a “neutral” rating on the stock in a report on Tuesday, April 14th. Morgan Stanley increased their target price on shares of Principal Financial Group from $93.00 to $95.00 and gave the company an “equal weight” rating in a research report on Tuesday, March 3rd. Keefe, Bruyette & Woods restated a “hold” rating and issued a $92.00 target price on shares of Principal Financial Group in a research note on Thursday, March 26th. JPMorgan Chase & Co. reaffirmed a “neutral” rating and set a $103.00 price target on shares of Principal Financial Group in a research report on Monday, January 5th. Finally, UBS Group increased their price objective on Principal Financial Group from $92.00 to $94.00 and gave the company a “neutral” rating in a report on Thursday, April 9th. Two analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $95.33.

Insiders Place Their Bets

In related news, General Counsel George Djurasovic sold 2,571 shares of the company’s stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $100.83, for a total value of $259,233.93. Following the transaction, the general counsel directly owned 21,906 shares of the company’s stock, valued at $2,208,781.98. This represents a 10.50% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Wee Yee Cheong sold 1,080 shares of the firm’s stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $101.00, for a total value of $109,080.00. Following the completion of the transaction, the insider owned 91,108 shares of the company’s stock, valued at $9,201,908. This trade represents a 1.17% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 3,652 shares of company stock worth $368,414 over the last three months. Corporate insiders own 1.13% of the company’s stock.

Institutional Investors Weigh In On Principal Financial Group

Large investors have recently bought and sold shares of the company. Bank of America Corp DE raised its position in Principal Financial Group by 9.6% during the 2nd quarter. Bank of America Corp DE now owns 12,370,852 shares of the company’s stock worth $982,617,000 after buying an additional 1,083,991 shares during the last quarter. Invesco Ltd. increased its stake in shares of Principal Financial Group by 23.2% in the third quarter. Invesco Ltd. now owns 3,376,797 shares of the company’s stock worth $279,970,000 after acquiring an additional 636,334 shares during the period. Morgan Stanley increased its stake in shares of Principal Financial Group by 1.8% in the fourth quarter. Morgan Stanley now owns 3,079,857 shares of the company’s stock worth $271,674,000 after acquiring an additional 55,669 shares during the period. AQR Capital Management LLC raised its holdings in shares of Principal Financial Group by 112.8% during the fourth quarter. AQR Capital Management LLC now owns 2,348,233 shares of the company’s stock worth $207,138,000 after purchasing an additional 1,244,668 shares during the last quarter. Finally, UBS Group AG lifted its position in Principal Financial Group by 62.3% during the third quarter. UBS Group AG now owns 2,023,880 shares of the company’s stock valued at $167,800,000 after purchasing an additional 776,997 shares during the period. Hedge funds and other institutional investors own 75.08% of the company’s stock.

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.