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Principal Financial Group Inc

PFG

Accident & Health Insurance

Mkt Cap

$18.95B

PE

12.76

Debt

$3.983B

Cash

$4.564B

EV

$18.36B

FCF

-

Market Cap

$18.95B

P/E Ratio

12.76

Debt

$3.983B

Cash

$4.564B

EV

$18.36B

FCF

-
Charts data: {"Earnings":[{"time":"2014-12-30","value":1111100000},{"time":"2015-12-30","value":1209300000},{"time":"2016-12-30","value":1316500000},{"time":"2017-12-30","value":2310400000},{"time":"2018-12-30","value":1546500000},{"time":"2019-12-30","value":1394200000},{"time":"2020-12-30","value":1395800000},{"time":"2021-12-30","value":1710600000},{"time":"2022-12-30","value":4811600000}],"Sales":[{"time":"2014-12-30","value":10477600000},{"time":"2015-12-30","value":11964400000},{"time":"2016-12-30","value":12394100000},{"time":"2017-12-30","value":14093200000},{"time":"2018-12-30","value":14237200000},{"time":"2019-12-30","value":16222100000},{"time":"2020-12-30","value":14741700000},{"time":"2021-12-30","value":14262700000},{"time":"2022-12-30","value":17491600000}],"Net Margins":[{"time":"2014-12-30","value":0.10604527754447583},{"time":"2015-12-30","value":0.10107485540436628},{"time":"2016-12-30","value":0.10621989495001655},{"time":"2017-12-30","value":0.16393721794908184},{"time":"2018-12-30","value":0.10862388671929873},{"time":"2019-12-30","value":0.08594448314336615},{"time":"2020-12-30","value":0.094683788165544},{"time":"2021-12-30","value":0.11993521563238377},{"time":"2022-12-30","value":0.2750806101214297}],"Assets":[{"time":"2014-12-30","value":219087000000},{"time":"2015-12-30","value":218685900000},{"time":"2016-12-30","value":228014300000},{"time":"2017-12-30","value":253941200000},{"time":"2018-12-30","value":243036100000},{"time":"2019-12-30","value":276087800000},{"time":"2020-12-30","value":296627700000},{"time":"2021-12-30","value":304657200000},{"time":"2022-12-30","value":292239600000}],"Stockholders Equity":[{"time":"2014-12-30","value":10232000000},{"time":"2015-12-30","value":9377400000},{"time":"2016-12-30","value":10293800000},{"time":"2017-12-30","value":12921900000},{"time":"2018-12-30","value":11456000000},{"time":"2019-12-30","value":14685800000},{"time":"2020-12-30","value":16617300000},{"time":"2021-12-30","value":16125800000},{"time":"2022-12-30","value":10042800000}],"ROE":[{"time":"2014-12-30","value":0.1085906958561376},{"time":"2015-12-30","value":0.12895898649945614},{"time":"2016-12-30","value":0.12789251782626435},{"time":"2017-12-30","value":0.17879723570063227},{"time":"2018-12-30","value":0.1349947625698324},{"time":"2019-12-30","value":0.09493524356861731},{"time":"2020-12-30","value":0.08399679851720797},{"time":"2021-12-30","value":0.10607845812300785},{"time":"2022-12-30","value":0.4791094117178476}],"ROA":[]}

Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. The company operates through Retirement and Income Solutions, Principal Global Investors, Principal International, and U.S. Insurance Solutions segments. The Retirement and Income Solutions segment provides retirement, and related financial products and services. It offers products and services for defined contribution plans, including 401(k) and 403(b) plans, defined benefit plans, nonqualified executive benefit plans, employee stock ownership plans, equity compensation, and pension risk transfer services; individual retirement accounts; investment only products; and mutual funds, individual variable annuities, and bank products, as well as trust and custody services. The Principal Global Investors segment provides equity, fixed income, real estate, and other alternative investments, as well as asset allocation, stable value management, and other structured investment strategies. The Principal International segment offers pension accumulation products and services, mutual funds, asset management, income annuities, and life insurance accumulation products, as well as voluntary savings plans in Brazil, Chile, Mexico, China, Hong Kong Special Administrative Region, and Southeast Asia. The U.S. Insurance Solutions segment provides specialty benefits, such as group dental and vision insurance, group life insurance, and group and individual disability insurance, as well as administers group dental, disability, and vision benefits; and individual life insurance products comprising universal, variable universal, indexed universal, and term life insurance products in the United States. It also offers insurance solutions for small and medium-sized businesses and their owners, as well as executives. Principal Financial Group, Inc. was founded in 1879 and is based in Des Moines, Iowa.

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In the chart Earnings are multiplied by this value.

Earnings Growth 9.2%
Earnings Stability 29%


Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years12-201412-201512-201612-201712-201812-201912-202012-202112-2022TTM
Net Margin11%10%11%16%11%8.6%9.5%12%28%11%
ROA----------
ROE11%13%13%18%13%9.5%8.4%11%48%14%

What is the average Net Margin?

The average Net Margin over the past 5 years is +14.14%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is +1.71%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is -.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is -.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +17.97%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is +4.01%.


Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years12-201412-201512-201612-201712-201812-201912-202012-202112-2022TTM
Debt FCF----------
Debt Equity0.250.370.310.250.290.260.260.270.410.37
MIN
Graham Stability---100%96%81%80%100%100%80%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is -.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is -.

What is the Graham’s Stability?

Graham’s Stability measure stands at 0.80.


Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years12-201512-201712-201912-2021Trend
Revenue5.6%4.4%2.5%23%-0.36%
Net Income22%16%51%180%13%
Stockholders Equity0.98%-4.9%-12%-38%-3.2%
FCF-----

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +4.42%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is -0.36%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is +15.8%.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is +12.77%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is -4.92%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is -3.18%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is -.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is -.