Prudential Financial Stock Buy Hold or Sell Recommendation
| PRU Stock | USD 112.76 0.71 0.63% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Prudential Financial is 'Strong Buy'. Macroaxis provides Prudential Financial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding PRU positions. The advice algorithm takes into account all of Prudential Financial's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Prudential Financial's buy or sell advice are summarized below:
Real Value 105.25 | Target Price 99.43 | Hype Value 112.62 | Market Value 112.76 | Naive Value 112.42 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Prudential Financial given historical horizon and risk tolerance towards Prudential Financial. When Macroaxis issues a 'buy' or 'sell' recommendation for Prudential Financial, the advice is generated through an automated system that utilizes algorithms and statistical models.
Prudential |
Execute Prudential Financial Buy or Sell Advice
The Prudential recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Prudential Financial. Macroaxis does not own or have any residual interests in Prudential Financial or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Prudential Financial's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Prudential Financial Trading Alerts and Improvement Suggestions
| About 58.0% of the company shares are owned by institutional investors | |
| On 14th of March 2024 Prudential Financial paid $ 1.3 per share dividend to its current shareholders | |
| Latest headline from zacks.com: Prudential Earnings Expected to Grow Should You Buy |
Prudential Financial Returns Distribution Density
The distribution of Prudential Financial's historical returns is an attempt to chart the uncertainty of Prudential Financial's future price movements. The chart of the probability distribution of Prudential Financial daily returns describes the distribution of returns around its average expected value. We use Prudential Financial price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Prudential Financial returns is essential to provide solid investment advice for Prudential Financial.
| Mean Return | 0.15 | Value At Risk | -1.59 | Potential Upside | 1.72 | Standard Deviation | 1.22 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Prudential Financial historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Prudential Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Prudential Financial is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Prudential Financial backward and forwards among themselves. Prudential Financial's institutional investor refers to the entity that pools money to purchase Prudential Financial's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Nippon Life Insurance Co. | 2023-12-31 | 2.6 M | Charles Schwab Investment Management Inc | 2023-12-31 | 2.3 M | Ubs Asset Mgmt Americas Inc | 2023-12-31 | 2.3 M | Bank Of America Corp | 2023-12-31 | 1.7 M | Nuveen Asset Management, Llc | 2023-12-31 | 1.6 M | Jpmorgan Chase & Co | 2023-12-31 | 1.4 M | Fmr Inc | 2023-12-31 | 1.4 M | Deutsche Bank Ag | 2023-12-31 | 1.4 M | Barclays Plc | 2023-12-31 | 1.3 M | Vanguard Group Inc | 2023-12-31 | 42.3 M | Blackrock Inc | 2023-12-31 | 32.5 M |
Prudential Financial Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Net Income | 4.2B | (146M) | 7.8B | (1.5B) | 2.5B | 2.8B | |
| End Period Cash Flow | 16.5B | 13.9B | 12.9B | 17.3B | 19.5B | 14.7B | |
| Change To Netincome | 459M | (3.9B) | (3.0B) | 4.3B | 3.8B | 4.0B | |
| Change In Cash | 979M | (2.6B) | (921M) | 4.4B | 2.2B | 2.3B | |
| Free Cash Flow | 15.8B | 8.3B | 10.5B | 5.2B | 6.5B | 9.9B | |
| Depreciation | 460M | 457M | 204M | 124M | (70M) | (66.5M) | |
| Other Non Cash Items | (166M) | 1.8B | 5.0B | (1.5B) | 5.2B | 5.3B | |
| Dividends Paid | 1.6B | 1.8B | 1.8B | 1.8B | 1.8B | 1.0B | |
| Investments | (17.3B) | (15.7B) | (2.3B) | (7.6B) | (12.1B) | (12.7B) | |
| Net Borrowings | 1.4B | 249M | (1.1B) | 1.3B | 1.2B | 1.2B |
Prudential Financial Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Prudential Financial or Insurance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Prudential Financial's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Prudential stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.06 | |
β | Beta against NYSE Composite | 0.90 | |
σ | Overall volatility | 1.25 | |
Ir | Information ratio | 0.04 |
Prudential Financial Volatility Alert
Prudential Financial has relatively low volatility with skewness of 1.05 and kurtosis of 5.06. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Prudential Financial's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Prudential Financial's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Prudential Financial Implied Volatility
Prudential Financial's implied volatility exposes the market's sentiment of Prudential Financial stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Prudential Financial's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Prudential Financial stock will not fluctuate a lot when Prudential Financial's options are near their expiration.
Prudential Financial Fundamentals Vs Peers
Comparing Prudential Financial's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Prudential Financial's direct or indirect competition across all of the common fundamentals between Prudential Financial and the related equities. This way, we can detect undervalued stocks with similar characteristics as Prudential Financial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Prudential Financial's fundamental indicators could also be used in its relative valuation, which is a method of valuing Prudential Financial by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Prudential Financial to competition |
| Fundamentals | Prudential Financial | Peer Average |
| Return On Equity | 0.0813 | -0.31 |
| Return On Asset | 0.0029 | -0.14 |
| Profit Margin | 0.05 % | (1.27) % |
| Operating Margin | 0.24 % | (5.51) % |
| Current Valuation | 41.49 B | 16.62 B |
| Shares Outstanding | 359.38 M | 571.82 M |
| Shares Owned By Insiders | 0.15 % | 10.09 % |
| Shares Owned By Institutions | 58.40 % | 39.21 % |
| Number Of Shares Shorted | 4.89 M | 4.71 M |
| Price To Earning | 134.69 X | 28.72 X |
| Price To Book | 1.42 X | 9.51 X |
| Price To Sales | 0.73 X | 11.42 X |
| Revenue | 54.27 B | 9.43 B |
| Gross Profit | 9.95 B | 27.38 B |
| EBITDA | (116 M) | 3.9 B |
| Net Income | 2.51 B | 570.98 M |
| Cash And Equivalents | 17.25 B | 2.7 B |
| Cash Per Share | 73.82 X | 5.01 X |
| Total Debt | 20.87 B | 5.32 B |
| Debt To Equity | 1.18 % | 48.70 % |
| Current Ratio | 1.19 X | 2.16 X |
| Book Value Per Share | 77.45 X | 1.93 K |
| Cash Flow From Operations | 6.51 B | 971.22 M |
| Short Ratio | 3.11 X | 4.00 X |
| Earnings Per Share | 6.75 X | 3.12 X |
| Price To Earnings To Growth | 0.43 X | 4.89 X |
| Target Price | 114.2 | |
| Number Of Employees | 40.37 K | 18.84 K |
| Beta | 1.35 | -0.15 |
| Market Capitalization | 40.27 B | 19.03 B |
| Total Asset | 721.12 B | 29.47 B |
| Retained Earnings | 32.35 B | 9.33 B |
| Annual Yield | 0.05 % |
Prudential Financial Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Prudential . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 15906.84 | |||
| Daily Balance Of Power | 0.4641 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 112.16 | |||
| Day Typical Price | 112.36 | |||
| Price Action Indicator | 0.96 | |||
| Period Momentum Indicator | 0.71 | |||
| Relative Strength Index | 71.51 |
About Prudential Financial Buy or Sell Advice
When is the right time to buy or sell Prudential Financial? Buying financial instruments such as Prudential Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Total Stockholder Equity | 61.9B | 16.3B | 27.8B | 37.7B | Total Assets | 937.6B | 689.9B | 721.1B | 663.2B |
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In addition to having Prudential Financial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Prudential Financial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy Prudential Stock please use our How to Invest in Prudential Financial guide.You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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When running Prudential Financial's price analysis, check to measure Prudential 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 Prudential Financial is operating at the current time. Most of Prudential Financial's value examination focuses on studying past and present price action to predict the probability of Prudential 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 Prudential Financial's price. Additionally, you may evaluate how the addition of Prudential Financial to your portfolios can decrease your overall portfolio volatility.
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Is Prudential Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Prudential Financial. If investors know Prudential will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Prudential Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.527 | Dividend Share 5 | Earnings Share 6.75 | Revenue Per Share 148.498 | Quarterly Revenue Growth 0.561 |
The market value of Prudential Financial is measured differently than its book value, which is the value of Prudential that is recorded on the company's balance sheet. Investors also form their own opinion of Prudential Financial's value that differs from its market value or its book value, called intrinsic value, which is Prudential Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Prudential Financial's market value can be influenced by many factors that don't directly affect Prudential Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Prudential Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Prudential Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Prudential Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.