Prudential Financial (PRU) Stock Forecast & Price Target

Prudential Financial demonstrates a robust financial performance with its US business accounting for approximately 50% of adjusted earnings for 2024, driven by diverse segments such as institutional retirement, individual retirement, and life insurance. The company's international operations contribute around 40% to adjusted earnings, highlighting its strong market position, particularly in Japan, while also tapping into emerging markets like Brazil. Additionally, the investment management arm, PGIM, adds about 10% to adjusted earnings, managing approximately $1.4 trillion in assets, which reinforces the company’s diversified revenue streams and operational strength.

Prudential Financial has pre-announced several metrics for 2Q25 that suggest diminished earnings power, indicating a potential decline in profitability. Although its investment management business, PGIM, reported an increase in assets under management to $1.44 trillion, this increment is overshadowed by overall concerns about the company’s earnings outlook. The overall sentiment reflects a negative adjustment in expectations, aligning Prudential closer to peers facing similar challenges rather than those on more stable footing.