We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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.
Will Prudential Financial Pull Off a Surprise This Earnings Season?
Read MoreHide Full Article
Key Takeaways
Prudential Financial is expected to benefit from stronger Retirement, Individual Life and PGIM performance.
PRU's investment income and assets under management are likely to grow on higher reinvestment rates.
Higher expenses and weaker Group Insurance and U.S. Legacy Products results may weigh on overall performance.
Prudential Financial Inc. (PRU - Free Report) is expected to register a decline in its bottom line but an improvement in its top line when it reports second-quarter 2026 results on Aug. 4, after the closing bell.
The Zacks Consensus Estimate for PRU’s second-quarter revenues is pegged at $14.15 billion, indicating a 4.7% increase from the year-ago reported figure.
The consensus estimate for the bottom line is pegged at $3.42 per share. The estimate suggests a year-over-year decrease of 4.4%. The Zacks Consensus Estimate for PRU’s second-quarter earnings has moved north by 1.2% in the past 30 days.
What the Zacks Model Unveils for PRU
Our proven model predicts an earnings beat for Prudential Financial this time around. This is because the stock has the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which increases the chances of an earnings beat.
Earnings ESP: PRU has an Earnings ESP of +0.85%. This is because the Most Accurate Estimate of $3.45 is pegged higher than the Zacks Consensus Estimate of $3.42. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Group Insurance segment is likely to be affected by lower net underwriting results and higher expenses.
U.S. Legacy Products segment is likely to be affected by lower fee income, lower underwriting results and lower net investment spread results.
The Retirement business is likely to have benefited from higher net investment spread results, partially offset by higher expenses and less favorable reserve experience.
Individual Life is likely to have benefited from higher underwriting results and higher net investment spread results.
PGIM is likely to have benefited from higher net asset management fees and higher net other related revenues.
Assets under management are likely to have benefited from credit and equity market appreciation and strong investment performance. The upside is likely to be partially offset by realizations and distributions and net outflows.
Net investment income is likely to have gained from growth in retail annuities and pension risk transfer transactions, higher prepayment fee income, reinvestment rates and income from non-coupon investments, lower losses from derivatives, as well as business growth.
Expenses are likely to have risen because of higher policyholders’ benefits and amortization of deferred policy acquisition costs. Continued share buybacks are likely to have added to the bottom line.
Other Stocks to Consider
Here are three other insurance stocks you may want to consider, as our model shows that these, too, have the right combination of elements to post an earnings beat:
OSCR’s earnings beat estimates in three of the last four reported quarters, while missing in one.
TWFG, Inc. (TWFG - Free Report) has an Earnings ESP of +2.04% and a Zacks Rank #2 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at 25 cents, indicating a 25% year-over-year increase.
TWFG’s earnings beat estimates in each of the last four reported quarters.
Skyward Specialty Insurance Group, Inc. (SKWD - Free Report) has an Earnings ESP of +1.39% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $1.15, indicating a 29.2% year-over-year increase.
SKWD’s earnings beat estimates in each of the last four reported quarters.
View the Zacks #1 Rank List
Image: Bigstock
Will Prudential Financial Pull Off a Surprise This Earnings Season?
Key Takeaways
Prudential Financial Inc. (PRU - Free Report) is expected to register a decline in its bottom line but an improvement in its top line when it reports second-quarter 2026 results on Aug. 4, after the closing bell.
The Zacks Consensus Estimate for PRU’s second-quarter revenues is pegged at $14.15 billion, indicating a 4.7% increase from the year-ago reported figure.
The consensus estimate for the bottom line is pegged at $3.42 per share. The estimate suggests a year-over-year decrease of 4.4%. The Zacks Consensus Estimate for PRU’s second-quarter earnings has moved north by 1.2% in the past 30 days.
What the Zacks Model Unveils for PRU
Our proven model predicts an earnings beat for Prudential Financial this time around. This is because the stock has the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which increases the chances of an earnings beat.
Earnings ESP: PRU has an Earnings ESP of +0.85%. This is because the Most Accurate Estimate of $3.45 is pegged higher than the Zacks Consensus Estimate of $3.42. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Prudential Financial, Inc. Price and EPS Surprise
Prudential Financial, Inc. price-eps-surprise | Prudential Financial, Inc. Quote
Zacks Rank: PRU has a Zacks Rank #3 at present.
Factors Likely to Shape PRU’s Q2 Results
Group Insurance segment is likely to be affected by lower net underwriting results and higher expenses.
U.S. Legacy Products segment is likely to be affected by lower fee income, lower underwriting results and lower net investment spread results.
The Retirement business is likely to have benefited from higher net investment spread results, partially offset by higher expenses and less favorable reserve experience.
Individual Life is likely to have benefited from higher underwriting results and higher net investment spread results.
PGIM is likely to have benefited from higher net asset management fees and higher net other related revenues.
Assets under management are likely to have benefited from credit and equity market appreciation and strong investment performance. The upside is likely to be partially offset by realizations and distributions and net outflows.
Net investment income is likely to have gained from growth in retail annuities and pension risk transfer transactions, higher prepayment fee income, reinvestment rates and income from non-coupon investments, lower losses from derivatives, as well as business growth.
Expenses are likely to have risen because of higher policyholders’ benefits and amortization of deferred policy acquisition costs.
Continued share buybacks are likely to have added to the bottom line.
Other Stocks to Consider
Here are three other insurance stocks you may want to consider, as our model shows that these, too, have the right combination of elements to post an earnings beat:
Oscar Health, Inc. (OSCR - Free Report) has an Earnings ESP of +48.85% and sports a Zacks Rank #1 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at 43 cents, indicating a 148.3% year-over-year increase. You can see the complete list of today’s Zacks #1 Rank stocks here.
OSCR’s earnings beat estimates in three of the last four reported quarters, while missing in one.
TWFG, Inc. (TWFG - Free Report) has an Earnings ESP of +2.04% and a Zacks Rank #2 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at 25 cents, indicating a 25% year-over-year increase.
TWFG’s earnings beat estimates in each of the last four reported quarters.
Skyward Specialty Insurance Group, Inc. (SKWD - Free Report) has an Earnings ESP of +1.39% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $1.15, indicating a 29.2% year-over-year increase.
SKWD’s earnings beat estimates in each of the last four reported quarters.