Prudential Financial

Methodology

Prudential's earnings face volatility from investment returns, actuarial adjustments, and market-level impacts on insurance operations. Life insurance and retirement services create complex earnings patterns. Focus on operating earnings and book value growth rather than GAAP EPS for meaningful valuation of this diversified life insurer.

Methodology

PEG analysis is challenging for Prudential given earnings volatility from investment marks, reserve changes, and market impacts. Life insurance companies are better evaluated using price-to-book value combined with ROE analysis. If using PEG, focus on operating earnings excluding market noise and compare to diversified life insurance peers.

Methodology

Prudential offers an attractive dividend supported by insurance and retirement cash flows. The yield adds meaningful value to total returns for this life insurance and asset management company. For insurers, dividend sustainability and book value growth matter more than traditional earnings metrics in driving shareholder returns.