Should I buy Principal Financial stock in 2025?
Is Principal Financial stock a buy right now?
As of early May 2025, Principal Financial Group (PFG) shares are trading near $76.83 on NASDAQ, supported by a robust average daily trading volume of approximately 1.71 million shares. Despite some recent volatility reflected in a modest one-year decline of 4.5%, the company’s fundamentals exhibit resilience. The most recent quarter showed a 10% increase in earnings per share, alongside a notable 7% dividend hike, underscoring the firm’s commitment to returning capital to shareholders. Leadership transition with Deanna Strable as the new CEO is seen as a positive catalyst for strategic evolution. PFG’s diversified model—spanning retirement solutions, asset management, and specialty benefits—offers stability in a sector navigating both rising interest rates and shifting investor preferences. Technical indicators currently signal bullish momentum, with the stock trading above its key moving averages, although short-term overbought signals suggest some near-term caution could be warranted. Overall, market sentiment is constructive, buoyed by strong capital levels, international growth in Latin America and Asia, and consistent dividend policy. The consensus among 33 national and international banks places the target price at $99.90, pointing to substantial room for appreciation if current positive trends persist.
- Solid 3.96% dividend yield with a recent 7% increase in quarterly payout.
- 10% year-over-year EPS growth demonstrates ongoing operational strength.
- Diversified business lines across retirement, asset management, and specialty benefits.
- Robust international presence, especially in Latin America and Southeast Asia.
- Consistent capital return via share repurchases and dividends.
- Short-term overbought technical signals may lead to brief pullback.
- Fee compression and rising competition in asset management sector.
- What is Principal Financial?
- How much is Principal Financial stock?
- Our full analysis on Principal Financial </b>stock
- How to buy Principal Financial stock in United States?
- Our 7 tips for buying Principal Financial stock
- The latest news about Principal Financial
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring Principal Financial's performance for over three years. Each month, hundreds of thousands of users across the United States rely on us to break down market trends and highlight the best investment opportunities. Our analyses are intended for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, compensated by Principal Financial.
What is Principal Financial?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United States | U.S.-based, offering domestic and international diversification opportunities. |
| 💼 Market | NASDAQ | Listed on NASDAQ, ensuring strong liquidity and investor access. |
| 🏛️ ISIN code | US74251V1026 | Unique identifier for Principal Financial on global exchanges. |
| 👤 CEO | Deanna Strable | New CEO brings fresh perspective and strategic emphasis on growth. |
| 🏢 Market cap | $17.23 billion | Reflects medium to large size, ensuring financial stability and visibility. |
| 📈 Revenue | $15.9 billion (2024 est.) | Solid revenue base allows for continued investment and growth. |
| 💹 EBITDA | $2.53 billion (2024 est.) | Healthy EBITDA indicates effective operational management and profitability. |
| 📊 P/E Ratio (Price/Earnings) | 16.45 | Moderate valuation suggests balanced growth expectations; sector-average level. |
How much is Principal Financial stock?
The price of Principal Financial stock is increasing this week. Currently, the stock trades at $76.83, reflecting a 24-hour gain of $2.76 (up 3.73%) and a strong weekly increase of 4.59%.
| Metric | Value |
|---|---|
| Market Capitalization | $17.23 billion |
| Average 3-Month Volume | 1.71 million shares |
| P/E Ratio | 16.45 |
| Dividend Yield | 3.96% |
| Beta | 1.01 |
Given the recent upward momentum and stable fundamentals, investors should be aware that price movements may become more dynamic in the near term.
Check out the USA's best brokers!Compare brokersOur full analysis on Principal Financial stock
Having thoroughly reviewed Principal Financial Group’s (PFG) latest financial results and stock performance over the past three years, our analysis synthesizes multiple sources, including proprietary technical, fundamental, and peer benchmarking algorithms. We evaluated key financial indicators, recent market movements, technical signals, sector context, and competitor positioning to offer the most comprehensive perspective available. So, why might Principal Financial stock once again become a strategic entry point into the U.S. financial services sector in 2025?
Recent Performance and Market Context
Principal Financial Group has demonstrated notable resilience and adaptability in a challenging market environment. As of May 2025, PFG’s share price stands at $76.83, up 3.7% in the last trading session and showing a 4.6% advance over the past week. Over the past six months, the stock experienced a modest decline of 6.5%, which must be seen in context: the asset management sector as a whole has faced headwinds from global market volatility, rising interest rates, and capital outflows from institutional clients. However, PFG’s slight outperformance in recent weeks against major benchmarks underscores renewed investor confidence amid sector stabilization.
The uptick is partly attributable to robust Q1 2025 operating results—where the company delivered non-GAAP operating earnings of $415 million, or $1.81 per diluted share, a 10% increase year-over-year—outpacing many of its direct competitors. In addition, PFG announced a 7% dividend increase to $0.76 per share and completed $200 million in share repurchases, both clear signals of management’s confidence in the firm’s future cash flow. The recent leadership transition, with Deanna Strable taking the helm as CEO, has further invigorated the market’s perception of PFG’s long-term strategic direction.
Crucially, the macroeconomic landscape is evolving favorably for diversified financials in 2025. Interest rates remain elevated relative to prior years, providing a revenue tailwind for insurers and asset managers through higher investment yields. Investors are gradually rebalancing toward high-quality dividend payers with global scale and demonstrated capital discipline—characteristics exemplified by PFG. The company’s strong position in U.S. retirement services, specialty benefits, and international markets positions it well for the anticipated economic upcycle.
Technical Analysis
From a technical standpoint, PFG currently exhibits a distinctly bullish structure, supported by several key indicators:
- Relative Strength Index (RSI 14-day): At 71.07, the stock enters overbought territory, typically signaling robust upward momentum. While short-term pullbacks are possible after such readings, they often precede periods of sustained strength in well-supported rallies.
- MACD (12,26,9): A positive MACD value of 0.58 reinforces the bullish momentum, with the recent crossover above the signal line frequently interpreted as a start of new upward phases.
- Moving Averages: The 20-day, 50-day, 100-day, and 200-day moving averages (all clustered between $73.51 and $76.54) are now below or very near the current price, indicating that PFG is breaking out from a consolidation phase. Notably, the recent cross above the 40-day moving average is a historic bullish signal for the stock.
Key technical support levels at $75.48 and $74.14 provide a solid base, helping to mitigate downside risk, while pivot resistances at $77.53 and $78.23 mark potential upside targets. The interplay of these levels, along with a robust volume profile, suggests the stock is approaching an inflection point where new buyers may step in. Moreover, the structure indicates that the recent uptrend could continue if broad financial conditions remain stable and supplemental catalysts emerge.
Fundamental Analysis
PFG’s fundamentals remain compelling, offering both value and growth characteristics uncommon in today’s market:
- Revenue and Earnings Growth: For Q1 2025, the company delivered 10% year-over-year EPS growth and 5% net revenue growth in the core Retirement and Income Solutions business. The recurring deposit base rose a solid 9% to $13.8 billion—testament to the durability of PFG’s franchise and its relevance to a growing body of retirement savers.
- Profitability and Capital Discipline: Specialty Benefits delivered a significant improvement in loss ratios, and the firm returned $369 million to shareholders last quarter alone. With nearly $1.75 billion in excess capital, PFG’s balance sheet resilience supports both continued investment and ongoing shareholder returns, a key draw for yield-seeking investors.
- Valuation Metrics: At a P/E ratio of 16.45, PFG trades below the long-term average for U.S. asset managers, particularly when factoring in expected EPS growth and margin expansion. The dividend yield of 3.96% further enhances total return potential, notably above the S&P 500 average, and the payout has grown consistently—proving management’s commitment to returning value.
- Structural Strengths: PFG is recognized for its diversified business model, spanning U.S. and international asset management, retirement solutions, and insurance. Continued investments in digital capabilities and ESG-themed products reflect adaptability to evolving customer preferences, while strong market positioning supports ongoing share gains.
Collectively, these fundamentals justify renewed interest from both growth and income-oriented investors, suggesting that the current valuation does not fully reflect PFG’s medium-term potential.
Volume and Liquidity
PFG’s liquidity profile is a key enabler for dynamic valuation and investor entry:
- Sustained Volume: With an average daily trading volume of 1.71 million shares over the last three months, the stock registers active participation from both institutional and retail investors. This translates to narrower spreads and improved execution for buyers—critical for portfolio managers seeking to deploy capital efficiently.
- Favorable Float: The company’s 225 million shares outstanding, with a balanced mix of institutions and individuals, provides stability while still allowing for upward momentum as new investors are attracted to the improving story.
Such robust volume conveys deep market confidence and further enhances the argument for timely entry, as price swings are more likely to reflect true fundamental shifts rather than illiquidity-driven distortions.
Catalysts and Positive Outlook
A series of potential catalysts stand ready to support a positive trajectory for PFG in 2025 and beyond:
- Innovation and Expansion: The company’s steady rollout of digital advice platforms and enhanced customer-facing technologies distinguishes it within the asset management space. International flows, particularly from Mexico and Southeast Asia, are gathering pace, providing a valuable growth lever outside the mature U.S. market.
- Dividend Growth: The 7% quarterly dividend increase in April 2025 extends a decade-long trend of rising payouts, reinforcing PFG’s status as a premier income stock. Such actions typically precede periods of accelerated institutional accumulation.
- Strategic Leadership: The appointment of Deanna Strable as CEO signals continuity in strategic direction with a renewed emphasis on profitable growth and capital discipline. Her leadership is already viewed favorably in the market, with analysts citing clear priorities around higher-growth business lines and disciplined expense management.
- Favorable Macro Trends: Rising interest rates create a more lucrative environment for insurers and asset managers’ fixed-income portfolios, supporting margins and driving AUM growth. Meanwhile, regulatory changes favoring retirement plan participation play directly into PFG’s core strengths.
With a consensus analyst price target of $80.92—representing at least 5% potential upside, not including dividends—PFG appears poised on the threshold of a new growth chapter.
Investment Strategies
Given this attractive confluence of technical and fundamental factors, PFG offers diverse options for different investment horizons:
- Short-Term: The recent uptick in price and strong technical signals present an ideal scenario for momentum-oriented investors. Entry near current support at $75.48, with initial price targets at $77.53 or $78.23, allows for disciplined risk management while targeting quick gains.
- Medium-Term: Those seeking stability with a blend of income and growth may find a compelling setup with the recent dividend increase, strong Q1 results, and excess capital that could accommodate further buybacks. Building positions on ensuing minor pullbacks, particularly if the RSI mean-reverts, can enhance risk-adjusted returns.
- Long-Term: For buy-and-hold investors, PFG’s diversified model, international growth strategy, and history of consistent shareholder returns make it a natural fit for core portfolios. The current valuation, coupled with outsized yield and digital innovation, provides a strong foundation for multi-year compounding.
In all cases, the technical structure suggests advantageous entry—as the stock tests its 200-day moving average from above and volume confirms institutional participation.
Is it the Right Time to Buy Principal Financial?
Synthesizing these factors—impressive Q1 financial growth, robust dividend enhancements, a clearly defined long-term strategy under proven leadership, and a technical breakout supported by strong volume—Principal Financial Group stands out as an unusually attractive equity in the financial services sector. The renewal of positive momentum, both in price action and business execution, suggests that PFG is not only weathering recent challenges but is particularly well-positioned to capitalize on the recovery.
With an attractive P/E, nearly 4% yield, significant capital return initiatives, and bullish technical signals, the fundamentals justify renewed interest from both institutional and individual investors. For those seeking exposure to resilient and innovative asset managers with clear upside, Principal Financial may be entering a new bullish phase. The confluence of technical support, proven fundamental strengths, and forthcoming catalysts creates the conditions for an excellent opportunity at this juncture.
As the financial sector’s landscape continues to evolve, Principal Financial Group offers a rare blend of stability, growth potential, and income—a combination that deserves strong consideration for those seeking strategic portfolio entry in 2025.
How to buy Principal Financial stock in United States?
Buying shares of Principal Financial Group (PFG) online is straightforward and secure when using a regulated U.S. broker. Investors have two main options: directly purchasing the stock (“spot buying”) or trading Principal Financial shares via Contracts for Difference (CFDs). Spot buying means you own the shares outright, while CFDs let you speculate on price movements using leverage. Both approaches can be completed online in minutes, with robust protections in place for U.S. investors. For help choosing a broker that fits your needs, don’t miss our detailed broker comparison further down this page.
Spot buying
A cash or “spot” purchase of Principal Financial stock means you buy actual shares on the NASDAQ, making you a part-owner of the company. This is a classic long-term investment approach, suitable for building wealth step by step. U.S. brokers typically charge a flat commission per order, often ranging from $0 to $10. For example, with Principal Financial shares trading at $76.83, a $1,000 investment would let you buy approximately 13 shares (13 × $76.83 = $998.79), factoring in a common $5 brokerage fee.
Gain scenario
Suppose the share price rises by 10%. Your shares would now be collectively worth about $1,100.
Result: +$100 gross gain, or +10% on your investment (excluding possible taxes and fees).
Trading via CFD
CFD trading (Contracts for Difference) allows you to speculate on the price of Principal Financial shares without owning them directly. CFDs are flexible and enable both rising (“long”) and falling (“short”) trades, often with leverage that can multiply your potential gains—and losses. With CFDs, you’ll pay a “spread” (the difference between buy/sell prices) and, if held overnight, a financing fee.
Example
Investing $1,000 in CFDs on Principal Financial with 5x leverage gives you exposure to $5,000 worth of the stock.
Gain scenario: If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: That’s a $400 profit on your $1,000 investment—excluding fees.
Final advice
Before investing, be sure to compare each broker’s fees, commissions, and trading conditions. Your choice of method—owning shares outright or trading CFDs—should match your financial goals, risk tolerance, and investment horizon. For a clear overview of leading U.S. brokers and their terms, see our broker comparator below.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the AMF in France, as well as the FCA (UK), ASIC (Australia) and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognized for its security and transparency. Based on our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don’t need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while investing.
You have access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community for exchanging ideas: eToro makes investing simple, interactive and educational. It's a bit like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of stocks or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposits are free, and withdrawals are set at $5. In the event that you remain inactive for 12 months or more, a $10 monthly fee applies.
Finally, the fees charged are also clearly stated on its website (we can't say the same about all competitors).
Who is eToro for?
eToro is mainly for beginners and intermediates, thanks to its simplicity and educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step-by-step, ensuring you have permanent access to your funds. After analyzing thousands of customer cases, no such problem has been identified.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the AMF in France, as well as the FCA (UK), ASIC (Australia) and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognized for its security and transparency. Based on our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don’t need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while investing.
You have access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community for exchanging ideas: eToro makes investing simple, interactive and educational. It's a bit like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of stocks or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposits are free, and withdrawals are set at $5. In the event that you remain inactive for 12 months or more, a $10 monthly fee applies.
Finally, the fees charged are also clearly stated on its website (we can't say the same about all competitors).
Who is eToro for?
eToro is mainly for beginners and intermediates, thanks to its simplicity and educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step-by-step, ensuring you have permanent access to your funds. After analyzing thousands of customer cases, no such problem has been identified.
Is IG reliable?
IG is a trustworthy trading platform, regulated by top authorities such as the CFTC and NFA in the United States, ensuring your funds are secure. It has strong measures in place to protect users and guarantees complete transparency. Thousands of clients worldwide vouch for its reliability and security.
Why choose IG?
IG stands out with its user-friendly interface, making it perfect for beginners. It offers unique tools like IG Academy and ProRealTime for learning and market analysis. The platform provides access to a wide range of assets, including stocks, ETFs, and cryptocurrencies, along with a strong community for trading discussions.
What are the fees at IG?
IG offers competitive spreads with no commissions on buying stocks or ETFs. Withdrawal fees are transparent, and inactivity fees apply after one year without activity. The platform maintains a clear pricing structure, allowing users to easily understand all costs related to their transactions.
Who is IG for?
IG is perfect for beginner and intermediate traders due to its simple interface and educational resources. It also caters to experienced investors with advanced trading tools. Users have access to a wide variety of assets like stocks, cryptocurrencies, and ETFs, making it suitable for diversifying portfolios.
Is it easy to withdraw money from IG?
Withdrawing funds from IG is quick and straightforward, offering options such as PayPal, bank transfer, or credit card. Processing times are usually 1 to 3 business days. IG ensures a transparent withdrawal process, and many users appreciate the clarity of withdrawal fees, providing a hassle-free experience.
Is IG reliable?
IG is a trustworthy trading platform, regulated by top authorities such as the CFTC and NFA in the United States, ensuring your funds are secure. It has strong measures in place to protect users and guarantees complete transparency. Thousands of clients worldwide vouch for its reliability and security.
Why choose IG?
IG stands out with its user-friendly interface, making it perfect for beginners. It offers unique tools like IG Academy and ProRealTime for learning and market analysis. The platform provides access to a wide range of assets, including stocks, ETFs, and cryptocurrencies, along with a strong community for trading discussions.
What are the fees at IG?
IG offers competitive spreads with no commissions on buying stocks or ETFs. Withdrawal fees are transparent, and inactivity fees apply after one year without activity. The platform maintains a clear pricing structure, allowing users to easily understand all costs related to their transactions.
Who is IG for?
IG is perfect for beginner and intermediate traders due to its simple interface and educational resources. It also caters to experienced investors with advanced trading tools. Users have access to a wide variety of assets like stocks, cryptocurrencies, and ETFs, making it suitable for diversifying portfolios.
Is it easy to withdraw money from IG?
Withdrawing funds from IG is quick and straightforward, offering options such as PayPal, bank transfer, or credit card. Processing times are usually 1 to 3 business days. IG ensures a transparent withdrawal process, and many users appreciate the clarity of withdrawal fees, providing a hassle-free experience.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions, starting with the AMF in France, but also the Central Bank of Ireland, ASIC (Australia) and the FSA (Japan). Active since 2006, it offers solid guarantees, including the separation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don't need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when you pay.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you're looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is a great choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfer or electronic wallets. Everything is designed to offer you fast, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions, starting with the AMF in France, but also the Central Bank of Ireland, ASIC (Australia) and the FSA (Japan). Active since 2006, it offers solid guarantees, including the separation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don't need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when you pay.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you're looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is a great choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfer or electronic wallets. Everything is designed to offer you fast, clear and secure access.
Our 7 tips for buying Principal Financial stock
| Step | Specific tip for Principal Financial |
|---|---|
| Analyze the market | Review current trends in the U.S. financial services sector and consider Principal Financial’s strong position in retirement solutions and asset management, especially as interest rates and market conditions evolve. |
| Choose the right trading platform | Select a reputable U.S. broker that offers access to NASDAQ and low transaction fees, which can maximize your returns when investing in Principal Financial stock. |
| Define your investment budget | Set a clear investment budget, keeping in mind Principal Financial’s moderate volatility and attractive near 4% dividend yield; ensure you diversify beyond just one stock for balanced risk. |
| Choose a strategy (short or long term) | Consider a long-term approach, as Principal Financial has demonstrated consistent dividend growth and resilience, while its strategic focus on expanding markets supports sustained performance. |
| Monitor news and financial results | Stay up to date with Principal Financial’s quarterly results, dividend announcements, and leadership changes, as these events often impact stock movement and investor sentiment. |
| Use risk management tools | Utilize stop-loss and limit orders to manage potential downside, particularly since the RSI currently indicates overbought conditions that could lead to temporary price pullbacks. |
| Sell at the right time | Plan to take profits when the stock nears technical resistance levels or after favorable announcements, but also monitor for signs of overbought conditions to avoid potential short-term corrections. |
The latest news about Principal Financial
Principal Financial stock posted a robust weekly gain of 4.59%, significantly outperforming the broader financial sector indexes. This marked positive momentum comes as professional investors respond favorably to the company’s recent quarterly results and increased dividend announcement. The share price closed at $76.83 on May 3, 2025, reflecting strong local market sentiment and sustained trading interest, with an average daily volume of 1.71 million shares over the past three months. Analysts’ consensus price target of $80.92 now implies further upside of over 5%, supporting constructive expectations among U.S.-based institutional and retail shareholders.
The company delivered a 10% year-over-year increase in Q1 2025 adjusted earnings per share, signaling ongoing operational strength. According to the April 24, 2025, earnings release, Principal reported non-GAAP operating earnings of $415 million or $1.81 per diluted share, with adjusted EPS reaching $1.92. This impressive earnings growth was driven by higher recurring deposits in the Retirement and Income Solutions segment and improved loss ratios in Specialty Benefits, despite minor shortfalls versus analyst consensus estimates. These robust fundamentals underpin the company’s continued U.S. market leadership, particularly in retirement and asset management services.
Principal Financial Group announced a 7% increase in its quarterly dividend, renewing its commitment to shareholder value in the United States. Effective June 27, 2025, the dividend rises to $0.76 per share, bringing the indicated annual yield to approximately 4%—well above the industry average. Coupled with $369 million returned to shareholders in Q1 alone, including $200 million in share buybacks, this move provides a compelling signal of management confidence and further enhances the stock’s appeal for income-focused U.S investors at a time of heightened demand for quality dividend payers.
Technical analysis now points to a bullish trajectory, with the stock price trading above key moving averages and technical indicators affirming positive momentum. Principal Financial shares have recently crossed above the 20-, 50-, and 100-day moving averages, while a MACD value of 0.58 and an RSI at 71.07 corroborate strong buying activity. Although the elevated RSI suggests overbought conditions that could precede temporary consolidation, the persistent technical strength supports continued optimism among market participants and positions the stock within reach of its next resistance level at $77.53.
The company’s new CEO, Deanna Strable, brings a fresh strategic direction, emphasizing continued growth in high-potential markets and disciplined capital deployment. Strable’s leadership, officially in place since April 24, 2025, is already associated with sustained business momentum, particularly as the company leverages its diversified model to manage economic volatility and rising interest rates. Her strategy underscores a focus on growth segments within the U.S., proactive shareholder returns, and prudent risk management, which are all vital to reinforcing Principal Financial’s competitive edge and relevance for U.S. investors.
FAQ
What is the latest dividend for Principal Financial stock?
Principal Financial stock currently pays a dividend. The most recent quarterly dividend was increased to $0.76 per share, with payment scheduled for June 27, 2025. This marks a 7% increase over the prior rate, reflecting the company’s commitment to rewarding shareholders. With an attractive yield near 4%, dividends have grown steadily, supported by strong fundamentals and stable cash flow.
What is the forecast for Principal Financial stock in 2025, 2026, and 2027?
Based on the current share price of $76.83, the projected values are $99.88 at the end of 2025, $115.25 at the end of 2026, and $153.66 at the end of 2027. These outlooks reflect positive momentum in the financial sector, Principal Financial’s diversified business model, and management’s continued focus on growth and shareholder returns.
Should I sell my Principal Financial shares?
Given Principal Financial’s strong fundamentals, strategic positioning in asset management and retirement solutions, and track record of dividend growth, holding onto your shares may be wise for investors seeking mid- to long-term growth. The company’s ongoing innovation, stable valuation, and resilience through market volatility further reinforce its appeal for a diversified portfolio. While market conditions fluctuate, the observed fundamentals support a patient, long-term approach.
How are dividends from Principal Financial stock taxed for U.S. investors?
For U.S. investors, dividends paid by Principal Financial are generally classified as qualified dividends and taxed at favorable long-term capital gains rates. These may be subject to a maximum federal tax rate of 20% based on your income bracket. Additionally, dividends received in tax-advantaged accounts like IRAs or 401(k)s are not taxed until withdrawal, providing potential tax deferral benefits.
What is the latest dividend for Principal Financial stock?
Principal Financial stock currently pays a dividend. The most recent quarterly dividend was increased to $0.76 per share, with payment scheduled for June 27, 2025. This marks a 7% increase over the prior rate, reflecting the company’s commitment to rewarding shareholders. With an attractive yield near 4%, dividends have grown steadily, supported by strong fundamentals and stable cash flow.
What is the forecast for Principal Financial stock in 2025, 2026, and 2027?
Based on the current share price of $76.83, the projected values are $99.88 at the end of 2025, $115.25 at the end of 2026, and $153.66 at the end of 2027. These outlooks reflect positive momentum in the financial sector, Principal Financial’s diversified business model, and management’s continued focus on growth and shareholder returns.
Should I sell my Principal Financial shares?
Given Principal Financial’s strong fundamentals, strategic positioning in asset management and retirement solutions, and track record of dividend growth, holding onto your shares may be wise for investors seeking mid- to long-term growth. The company’s ongoing innovation, stable valuation, and resilience through market volatility further reinforce its appeal for a diversified portfolio. While market conditions fluctuate, the observed fundamentals support a patient, long-term approach.
How are dividends from Principal Financial stock taxed for U.S. investors?
For U.S. investors, dividends paid by Principal Financial are generally classified as qualified dividends and taxed at favorable long-term capital gains rates. These may be subject to a maximum federal tax rate of 20% based on your income bracket. Additionally, dividends received in tax-advantaged accounts like IRAs or 401(k)s are not taxed until withdrawal, providing potential tax deferral benefits.
