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Prudential Financial Q3 adjusted operating income misses estimates

Overview

Prudential Q3 net income rises to $1.431 bln, up from $448 mln year-ago

Adjusted operating income for Q3 misses analyst expectations

Company returns $731 mln to shareholders via dividends and share repurchases

Outlook

Company did not provide specific guidance for future quarters or full year in its press release

Result Drivers

RECORD EARNINGS - CEO Andy Sullivan attributes record-high adjusted operating income to growth across all business segments

PGIM GROWTH - PGIM's income increased due to higher asset management fees and gains from a business sale, despite higher expenses

U.S. BUSINESS PERFORMANCE - Higher net investment spread results and favorable underwriting drove U.S. Businesses' income, offset by lower fee income and higher expenses

Key Details

MetricBeat/MissActualConsensus Estimate
Q3 Net Income$1.43 bln
Q3 Adjusted Operating IncomeMiss$1.52 bln$2.25 bln (1 Analyst)
Analyst Coverage The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 14 "hold" and 1 "sell" or "strong sell" The average consensus recommendation for the life & health insurance peer group is "buy." Wall Street's median 12-month price target for Prudential Financial Inc is $117.00, about 13.3% above its October 28 closing price of $101.45 The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago Press Release: ID:nBw56SLlSa For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com. (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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