We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Prudential Financial (PRU) Q4 Earnings: What's in Store?
Read MoreHide Full Article
Prudential Financial, Inc. (PRU - Free Report) will report fourth-quarter 2016 results on Feb 8, after the market closes. Last quarter, the company posted a positive earnings surprise of 6.40%. Let’s see how things are shaping up for this announcement.
Factors to be Considered this Quarter
The international business of Prudential Financial is likely have benefitted from higher sales. Better performance by the pension risk transfer business, supported by its sturdy position and deeper penetration, is expected to have driven results at the retirement business. The Asset Management business is likely have benefitted from strong net inflows.
Furthermore, continued share buybacks should have driven bottom-line growth.
However, higher expenses are likely to have been a dampener.
With respect to surprise trend, the company delivered negative surprises in three of the last four quarters, with an average negative surprise of 10.66%.
Earnings Whispers
Our proven model does not conclusively show that Prudential Financial is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Prudential Financial has an Earnings ESP of 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate stand at $2.31. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Prudential Financial holds a Zacks Rank #2. Though a favorable Zacks Rank increases the predictive power of ESP, we need a positive ESP to be confident about an earnings beat.
Conversely, we caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
The share price of Prudential has been fluctuating over the last few days. We expect the release to lead to stock movement.
Here are some companies from the finance sector that you may want to consider as these have the right combination of elements to post an earnings beat this quarter:
CNO Financial Group Inc. (CNO - Free Report) has an Earnings ESP of +2.56% and a Zacks Rank #3. The company will release fourth-quarter earnings on Feb 7.
Argo Group International Holdings, Ltd. has an Earnings ESP of +9.52% and a Zacks Rank #3. The company will release fourth-quarter earnings on Feb 13.
Zacks' Top Investment Ideas for Long-Term Profit
How would you like to see our best recommendations to help you find today’s most promising long-term stocks? Starting now, you can look inside our portfolios featuring stocks under $10, income stocks, value investments and more. These picks, which have double and triple-digit profit potential, are rarely available to the public. But you can see them now. Click here >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Prudential Financial (PRU) Q4 Earnings: What's in Store?
Prudential Financial, Inc. (PRU - Free Report) will report fourth-quarter 2016 results on Feb 8, after the market closes. Last quarter, the company posted a positive earnings surprise of 6.40%. Let’s see how things are shaping up for this announcement.
Factors to be Considered this Quarter
The international business of Prudential Financial is likely have benefitted from higher sales. Better performance by the pension risk transfer business, supported by its sturdy position and deeper penetration, is expected to have driven results at the retirement business. The Asset Management business is likely have benefitted from strong net inflows.
Furthermore, continued share buybacks should have driven bottom-line growth.
However, higher expenses are likely to have been a dampener.
With respect to surprise trend, the company delivered negative surprises in three of the last four quarters, with an average negative surprise of 10.66%.
Earnings Whispers
Our proven model does not conclusively show that Prudential Financial is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Prudential Financial has an Earnings ESP of 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate stand at $2.31. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Prudential Financial holds a Zacks Rank #2. Though a favorable Zacks Rank increases the predictive power of ESP, we need a positive ESP to be confident about an earnings beat.
Conversely, we caution against Sell-rated stocks (Zacks Rank #4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
The share price of Prudential has been fluctuating over the last few days. We expect the release to lead to stock movement.
Prudential Financial, Inc. Price and EPS Surprise
Prudential Financial, Inc. Price and EPS Surprise | Prudential Financial, Inc. Quote
Stocks to Consider
Here are some companies from the finance sector that you may want to consider as these have the right combination of elements to post an earnings beat this quarter:
American international Group Inc. (AIG - Free Report) , which will release fourth-quarter earnings on Feb 14, has an Earnings ESP of +3.28% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here..
CNO Financial Group Inc. (CNO - Free Report) has an Earnings ESP of +2.56% and a Zacks Rank #3. The company will release fourth-quarter earnings on Feb 7.
Argo Group International Holdings, Ltd. has an Earnings ESP of +9.52% and a Zacks Rank #3. The company will release fourth-quarter earnings on Feb 13.
Zacks' Top Investment Ideas for Long-Term Profit
How would you like to see our best recommendations to help you find today’s most promising long-term stocks? Starting now, you can look inside our portfolios featuring stocks under $10, income stocks, value investments and more. These picks, which have double and triple-digit profit potential, are rarely available to the public. But you can see them now. Click here >>