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Des Moines, Iowa-based Principal Financial Group, Inc. (PFG) is a leading global financial services company specializing in retirement, insurance, and asset management solutions. With a market cap of $18.2 billion, PFG serves millions of customers worldwide, offering innovative products to help individuals and businesses achieve financial security.
The asset manager is set to release its second-quarter results after the markets close on Monday, Jul. 28. Ahead of the event, analysts expect PFG to report a non-GAAP EPS of $1.99, representing a notable 22.1% increase from the year-ago quarter’s earnings of $1.63 per share. However, the company has missed the Street’s bottom-line estimates in each of the past four quarters.
For the full fiscal 2025, PFG’s earnings are expected to grow to $8.01 per share, up 14.9% from $6.97 in fiscal 2024. While in fiscal 2026, its earnings are expected to increase 12.1% year-over-year to $8.98 per share.
PFG stock has observed a 2.3% uptick over the past 52 weeks, notably underperforming the S&P 500 Index’s ($SPX) 13.4% returns and the Financial Select Sector SPDR Fund’s (XLF) 28% surge during the same time frame.
Principal Financial’s stock prices dropped 2.1% in the trading session after the release of its mixed Q1 results on Apr. 24. The company reported a notable 4% year-over-year growth in premiums and other considerations and modest growth in net investment income, fees and other revenues, which surpassed the Street’s expectations by a thin margin. Moreover, the company returns $369 million to shareholders in the form of share repurchases and dividends.
Meanwhile, its adjusted EPS for the quarter increased 10% year-over-year to $1.81, but missed the consensus estimates by 2.2%.
The stock has a consensus “Hold” rating overall. Of the 14 analysts covering the stock, opinions include four “Strong Buys,” seven “Holds,” one “Moderate Sell,” and two “Strong Sells.” As of writing, the stock is trading slightly below its mean price target of $82.38.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
