How to buy Prudential Financial shares

Own Prudential Financial shares in just a few minutes.

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Prudential Financial, Inc (PRU) is a leading insurance-life business with stocks listed in the US. It opened the day at US$98.57 after a previous close of US$100.64. During the day the price has varied from a low of USD97.38 to a high of USD99.61. The latest price was USD97.62 (25 minute delay). Prudential Financial is listed on the NYSE. All prices are listed in US Dollars.

How to buy shares in Prudential Financial

  1. Compare share trading platforms. To buy shares in a US company from Australia you'll need to find a trading platform that offers access to US stock markets. If you're just starting out, look for a platform with low brokerage and foreign exchange fees.
  2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, credit card or debit card.
  3. Search for Prudential Financial. Find the share by name or ticker symbol: PRU. Research its history to confirm it's a solid investment against your financial goals.
  4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Prudential Financial reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
  5. Decide on how many to buy. At last close price of US$108.44, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs. You may be able to buy a fractional share of Prudential Financial, depending on your broker.
  6. Check in on your investment. Congratulations, you own a part of Prudential Financial. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Prudential Financial share price

Use our graph to track the performance of PRU stocks over time.

Prudential Financial shares at a glance

Information last updated 2021-06-18.
OpenUS$98.57
HighUS$99.61
LowUS$97.38
CloseUS$97.62
Previous closeUS$100.64
Change US$-3.02
Change % -3.0008%
Volume 5,237,926
Information last updated 2021-06-17.
52-week rangeUS$53.9913 - US$109.17
50-day moving average US$105.4806
200-day moving average US$90.7596
Target priceUS$107.27
PE ratio 14.9814
Dividend yield US$4.45 (4.23%)
Earnings per share (TTM) US$6.729

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The value of your investments can fall as well as rise and you may get back less than you invested. Past performance is no indication of future results.

Is it a good time to buy Prudential Financial stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Prudential Financial price performance over time

Historical closes compared with the last close of $97.62

1 month (2021-05-21) -8.68%
3 months (2021-03-19) 6.13%
6 months (2020-12-18) 27.59%
1 year (2020-06-19) 54.73%
2 years (2019-06-20) -2.51%
3 years (2018-06-20) 0.81%
5 years (2016-06-20) 33.34%

Is Prudential Financial under- or over-valued?

Valuing Prudential Financial stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Prudential Financial's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Prudential Financial's P/E ratio

Prudential Financial's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 15x. In other words, Prudential Financial shares trade at around 15x recent earnings.

That's relatively low compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

Prudential Financial's PEG ratio

Prudential Financial's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.8062. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Prudential Financial's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Prudential Financial's EBITDA

Prudential Financial's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$3.6 billion.

The EBITDA is a measure of a Prudential Financial's overall financial performance and is widely used to measure a its profitability.

Prudential Financial financials

Revenue TTM US$60.6 billion
Operating margin TTM 5.76%
Gross profit TTM US$13.6 billion
Return on assets TTM 0.25%
Return on equity TTM 4.89%
Profit margin 4.5%
Book value 147.197
Market capitalisation US$39.7 billion

TTM: trailing 12 months

Shorting Prudential Financial shares

There are currently 5.6 million Prudential Financial shares held short by investors – that's known as Prudential Financial's "short interest". This figure is 0.9% down from 5.6 million last month.

There are a few different ways that this level of interest in shorting Prudential Financial shares can be evaluated.

Prudential Financial's "short interest ratio" (SIR)

Prudential Financial's "short interest ratio" (SIR) is the quantity of Prudential Financial shares currently shorted divided by the average quantity of Prudential Financial shares traded daily (recently around 2.1 million). Prudential Financial's SIR currently stands at 2.68. In other words for every 100,000 Prudential Financial shares traded daily on the market, roughly 2680 shares are currently held short.

However Prudential Financial's short interest can also be evaluated against the total number of Prudential Financial shares, or, against the total number of tradable Prudential Financial shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Prudential Financial's short interest could be expressed as 0.01% of the outstanding shares (for every 100,000 Prudential Financial shares in existence, roughly 10 shares are currently held short) or 0.0142% of the tradable shares (for every 100,000 tradable Prudential Financial shares, roughly 14 shares are currently held short).

Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against Prudential Financial.

Find out more about how you can short Prudential Financial stock.

Prudential Financial's environmental, social and governance track record

Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Prudential Financial.

When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.

Prudential Financial's total ESG risk score

Total ESG risk: 17.58

Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Prudential Financial's overall score of 17.58 (as at 12/31/2018) is pretty good – landing it in it in the 21st percentile of companies rated in the same sector.

ESG scores are increasingly used to estimate the level of risk a company like Prudential Financial is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).

Prudential Financial's environmental score

Environmental score: 0.62/100

Prudential Financial's environmental score of 0.62 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that Prudential Financial is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.

Prudential Financial's social score

Social score: 11.32/100

Prudential Financial's social score of 11.32 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that Prudential Financial is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.

Prudential Financial's governance score

Governance score: 7.64/100

Prudential Financial's governance score puts it squarely in the 1st percentile of companies rated in the same sector. That could suggest that Prudential Financial is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.

Prudential Financial's controversy score

Controversy score: 2/5

ESG scores also evaluate any incidences of controversy that a company has been involved in. Prudential Financial scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Prudential Financial has, for the most part, managed to keep its nose clean.

Environmental, social, and governance (ESG) summary

Prudential Financial, Inc was last rated for ESG on: 2019-01-01.

Total ESG score 17.58
Total ESG percentile 21.14
Environmental score 0.62
Environmental score percentile 1
Social score 11.32
Social score percentile 1
Governance score 7.64
Governance score percentile 1
Level of controversy 2

Prudential Financial share dividends

37%

Dividend payout ratio: 37.19% of net profits

Recently Prudential Financial has paid out, on average, around 37.19% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 4.37% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Prudential Financial shareholders could enjoy a 4.37% return on their shares, in the form of dividend payments. In Prudential Financial's case, that would currently equate to about $4.45 per share.

While Prudential Financial's payout ratio might seem fairly standard, it's worth remembering that Prudential Financial may be investing much of the rest of its net profits in future growth.

Prudential Financial's most recent dividend payout was on 16 June 2021. The latest dividend was paid out to all shareholders who bought their shares by 23 May 2021 (the "ex-dividend date").

Prudential Financial share price volatility

Over the last 12 months, Prudential Financial's shares have ranged in value from as little as US$53.9913 up to US$109.17. A popular way to gauge a stock's volatility is its "beta".

PRU.US volatility(beta: 1.69)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Prudential Financial's is 1.6929. This would suggest that Prudential Financial's shares are more volatile than the average for this exchange and represent, relatively-speaking, a higher risk (but potentially also market-beating returns).

Prudential Financial overview

Prudential Financial, Inc., together with its subsidiaries, provides insurance, investment management, and other financial products and services in the United States and internationally. It operates through eight segments: PGIM, Retirement, Group Insurance, Individual Annuities, Individual Life, Assurance IQ, International Businesses, and Closed Block. The company offers investment management services and solutions related to public fixed income, public equity, real estate debt and equity, private credit and other alternatives, and multi-asset class strategies to institutional and retail clients, as well as its general account. It provides a range of retirement investment, and income products and services to retirement plan sponsors in the public, private, and not-for-profit sectors; and group life, long-term and short-term group disability, and group corporate-, bank-, and trust-owned life insurance in the United States, primarily to institutional clients for use in connection with employee and membership benefits plans, as well as sells accidental death and dismemberment and other supplemental health solutions, and provides plan administration services in connection with its insurance coverages. The company develops and distributes individual variable and fixed annuity products, principally to the mass affluent and affluent markets; and individual variable, term, and universal life insurance products to the mass middle, mass affluent, and affluent markets in the United States. In addition, it provides third-party life, health, Medicare, property and casualty, and personal finance products to retail shoppers through its digital and independent agent channels. The company offers its products and services to individual and institutional customers through its proprietary and third-party distribution networks. Prudential Financial, Inc. was founded in 1875 and is headquartered in Newark, New Jersey.

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