Principal Financial Group (NYSE:PFG) Sets New 52-Week High – Should You Buy?

Principal Financial Group, Inc. (NYSE:PFG) reached a new 52-week high on Tuesday . The company traded as high as $92.16 and last traded at $92.0790, with a volume of 528562 shares changing hands. The stock had previously closed at $90.51.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on PFG shares. Piper Sandler raised their price target on Principal Financial Group from $94.00 to $100.00 and gave the stock an “overweight” rating in a research report on Tuesday, December 23rd. Evercore ISI upped their target price on shares of Principal Financial Group from $92.00 to $94.00 and gave the company an “in-line” rating in a report on Thursday, October 9th. Keefe, Bruyette & Woods increased their price objective on Principal Financial Group from $90.00 to $91.00 and gave the stock a “market perform” rating in a research report on Thursday, October 30th. Wells Fargo & Company boosted their price target on Principal Financial Group from $73.00 to $74.00 and gave the company an “underweight” rating in a research note on Wednesday, October 29th. Finally, Barclays lifted their price target on shares of Principal Financial Group from $80.00 to $83.00 and gave the company an “underweight” rating in a report on Wednesday, October 8th. One investment analyst has rated the stock with a Buy rating, seven have issued a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Reduce” and an average price target of $90.90.

Principal Financial Group Stock Performance

The company’s 50 day moving average price is $86.12 and its 200-day moving average price is $82.16. The stock has a market cap of $20.45 billion, a P/E ratio of 13.74, a price-to-earnings-growth ratio of 0.76 and a beta of 0.89. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.30 and a current ratio of 0.29.

Principal Financial Group (NYSE:PFG) last issued its quarterly earnings results on Monday, October 27th. The company reported $2.32 earnings per share for the quarter, topping analysts’ consensus estimates of $2.20 by $0.12. Principal Financial Group had a net margin of 9.74% and a return on equity of 14.68%. During the same period in the prior year, the company posted $2.05 EPS. Equities analysts forecast that Principal Financial Group, Inc. will post 8.5 EPS for the current fiscal year.

Principal Financial Group Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, December 19th. Shareholders of record on Wednesday, December 3rd were paid a $0.79 dividend. The ex-dividend date of this dividend was Wednesday, December 3rd. This represents a $3.16 dividend on an annualized basis and a yield of 3.4%. This is a boost from Principal Financial Group’s previous quarterly dividend of $0.78. Principal Financial Group’s dividend payout ratio is presently 46.00%.

Insider Buying and Selling

In other news, EVP Wee Yee Cheong sold 1,887 shares of the business’s stock in a transaction that occurred on Wednesday, November 12th. The shares were sold at an average price of $85.04, for a total value of $160,470.48. Following the completion of the sale, the executive vice president directly owned 81,421 shares in the company, valued at approximately $6,924,041.84. The trade was a 2.27% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 1.08% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Norges Bank purchased a new position in shares of Principal Financial Group during the second quarter valued at approximately $227,098,000. Goldman Sachs Group Inc. lifted its holdings in Principal Financial Group by 114.2% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,613,143 shares of the company’s stock worth $220,471,000 after purchasing an additional 1,393,008 shares in the last quarter. Bank of America Corp DE boosted its position in shares of Principal Financial Group by 9.6% during the second quarter. Bank of America Corp DE now owns 12,370,852 shares of the company’s stock worth $982,617,000 after acquiring an additional 1,083,991 shares during the last quarter. UBS Group AG grew its position in shares of 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 in the last quarter. Finally, Amundi increased its stake in Principal Financial Group by 57.6% in the 2nd quarter. Amundi now owns 1,791,246 shares of the company’s stock worth $144,213,000 after acquiring an additional 654,408 shares during the last quarter. Hedge funds and other institutional investors own 75.08% of the company’s stock.

About Principal Financial Group

Principal Financial Group, commonly known as Principal, is a global financial services company headquartered in Des Moines, Iowa. The firm provides a broad range of retirement, investment management and insurance solutions for individual, employer and institutional clients. Its core businesses include retirement plan services and recordkeeping, asset management, and life and disability insurance, supported by distribution through employers, financial advisors and direct channels.

On the retirement side, Principal offers 401(k) and other workplace retirement plans, individual retirement accounts and annuity products designed to help clients accumulate and manage retirement savings.