Prudential Financial, Inc. 5.62 (PRS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+813.9%

$177.84

vs $19.46 price

Levered DCF

$319.81

After debt service

Piotroski score

9 / 9

Strong

Altman Z-score

0.46

Distress zone

Rating

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	2.33×	3.08×	3.67×	-5.45×	1.2×	-28.52×	2.67×	2.45×
P/B	0.26×	0.3×	0.32×	0.56×	0.17×	0.17×	0.17×	0.2×
P/S	0.14×	0.12×	0.17×	0.16×	0.15×	0.2×	0.17×	0.16×
EV / EBITDA	2.42×	5.06×	5.51×	-10.99×	2.48×	138.32×	2.99×	3.06×
Gross margin	31.1%	24.8%	32.4%	20.9%	39.7%	26.7%	32.0%	28.8%
Operating margin	7.6%	4.5%	5.7%	-3.3%	15.2%	-0.6%	7.8%	7.7%
Net margin	5.9%	3.9%	4.6%	-2.9%	12.5%	-0.7%	6.5%	6.5%
Current ratio	0.61×	1.87×	1.8×	1.74×	1.56×	0×	0.51×	0.01×
Debt / equity	0.71×	1.02×	0.97×	1.7×	0.48×	0.31×	0.35×	0.43×
Interest coverage	2.21×	0×	0×	0×	0×	0×	0×	0×
Dividend yield	23.1%	22.8%	20.4%	19.9%	17.2%	15.6%	14.9%	15.4%
Payout ratio	53.9%	69.3%	74.2%	-110.3%	20.5%	-472.2%	39.2%	37.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	11.0%	9.8%	8.9%	-10.1%	14.3%	-0.6%	6.6%	8.4%
Return on invested capital	0.7%	0.5%	0.5%	-0.3%	1.3%	-17.0%	33.6%	8.3%
Return on assets	0.5%	0.4%	0.3%	-0.2%	0.9%	-0.0%	0.5%	0.5%
Free cash flow yield	75.2%	102.4%	72.1%	56.6%	100.3%	73.4%	143.3%	219.4%
Earnings yield	42.9%	32.8%	27.6%	-18.1%	84.3%	-3.3%	37.9%	41.3%
Enterprise value	$11.6B	$18.2B	$16.5B	$19.5B	$27.4B	$18.5B	$16.6B	$15.3B
Net debt / EBITDA	0.68×	2.75×	2.5×	-5.86×	1.53×	54.08×	1×	1.09×
Cash conversion cycle (days)	124	212	206	19	15	0	0	0