Principal Financial Group, Inc.

PFG · Financial Services · Asset Management

Large CapCash Generator
$109.57
-0.59%

Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. The company operates through Retirement and Income Solutions, Principal Asset Management, and Benefits and Protection segments. …

What to know about PFG

Principal Financial Group, Inc. is a large Financial Services company with a mixed financial profile. It scores well on valuation and cash flow, but sentiment is worth keeping an eye on.

Should you consider PFG?

Based on 31 financial metrics and sector comparison. Not financial advice.

  1. Principal Financial Group, Inc. is a large-cap Financial Services company with a mixed overall financial profile — it is in the lower half of its Financial Services peers (53 of 70).

  2. Profit margins are thin compared to most S&P 500 peers — the company keeps less of each dollar it earns than the average. Watch for signs of margin improvement.

  3. Valuation looks attractive — the stock is priced reasonably relative to its earnings and sales compared to most peers. You're not overpaying for the business.

  4. Growth has been slower than most peers. That's not necessarily a dealbreaker, but it means the investment case rests more on current earnings than future expansion.

  5. There is a small dividend (0.03%), but income-focused investors will likely find better yields elsewhere in the market.

  6. Risk is relatively low — the stock tends to be less volatile than the broader market, which typically means a smoother ride during uncertain periods.

  7. Analyst sentiment is cautious and short interest is relatively elevated — meaning some professional investors are actively betting the price will fall. Worth understanding why.

  8. There are several areas of concern. This may suit investors with a higher risk tolerance or a specific contrarian view on the Financial Services sector.

At a glance

Price $109.57
Market size 23.67B
Annual dividend 0.03%
Strongest metric Volatility (30-Day) 17.68%

How it scores

We look at 31 different financial metrics and group them into categories. Here's how PFG compares to the other S&P 500 stocks.

Valuation
Great
Cash Flow
Great
Risk
Great
Health
Good
Dividends
Good
Growth
Average
Profitability
Average
Size
Average
Sentiment
Below average
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide

Valuation

Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.

Metric Value vs S&P 500
P/E Ratio (Trailing) 15.72 Top 25%
Forward P/E 10.73 Top 25%
PEG Ratio 1.06 Top 25%
Price to Sales 1.53 Top 25%
Price to Book 2.01 Above avg
EV/EBITDA 10.71 Top 25%
Earnings Yield 6.36% Top 25%

Profitability

How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.

Metric Value vs S&P 500
Gross Margin 47.61% Above avg
Operating Margin 14.80% Average
Net Profit Margin 10.10% Average
Return on Equity 13.39% Average
Return on Invested Capital 0.38% Below avg

Growth

How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.

Metric Value vs S&P 500
Revenue Growth (YoY) -4.50% Below avg
Revenue Growth (3Y CAGR) -3.77% Below avg
EPS Growth (YoY) 819.00% Top 25%
Free Cash Flow Growth -2.10% Average

Health

Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.

Metric Value vs S&P 500
Current Ratio 1.53 Above avg
Debt to Equity 0.34 Top 25%
Interest Coverage N/A
Altman Z-Score N/A

Dividends

Does the company pay shareholders, and is that payment growing and sustainable?

Metric Value vs S&P 500
Dividend Yield 2.95% Above avg
Payout Ratio 44.91% Average
Dividend Growth (5Y) -7.86% Average

Cash Flow

Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.

Metric Value vs S&P 500
Free Cash Flow Yield 15.34% Top 25%
OCF to Sales 24.24% Above avg

Risk

How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.

Metric Value vs S&P 500
Beta (1-Year) 0.90 Above avg
Volatility (30-Day) 17.68% Top 25%

Sentiment

What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.

Metric Value vs S&P 500
Short % of Float 5.28% Average
Avg. Analyst Rating 2.92 Below avg
Target Upside % -7.37% Below avg

Size

How large is the company by market value? Size affects stability, growth potential, and index inclusion.

Metric Value vs S&P 500
Market Capitalization 23.67B Average

How does PFG compare to…?

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