PRU Prudential Financial PE ratio, current and historical analysis
The current PE ratio for Prudential Financial stock as of May 19, 2025 is 16.95. This is calculated based on the TTM EPS of $6.37 and the stock price of $107.98 per share. The PE ratio has grown by 15% from its last 4 quarters average of 14.8.
PRU PE ratio history
The average historical PE ratio of Prudential Financial for the last ten years is 14.55. The current price-to-earnings ratio of 16.95 is 16% more than the historical average. Analyzing the last ten years, PRU's PE ratio reached its highest point in the Mar 2023 quarter at 103.43, when the price was $82.74 and the EPS was $0.8. The lowest point was recorded in the Dec 2021 quarter, when it reached 4.8 with a price of $108.24 and an EPS of $22.56.
Prudential Financial PE ratio by year
Maximum annual increase: 623.88% in 2012
Maximum annual decrease: -76.36% in 2015
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| 2024 | 15.72 | 2.48% | $118.53 | $7.54 |
| 2023 | 15.34 | N/A | $103.71 | $6.76 |
| 2022 | N/A | N/A | $99.46 | -$4.49 |
| 2021 | 4.8 | N/A | $108.24 | $22.56 |
| 2020 | N/A | N/A | $78.07 | -$1 |
| 2019 | 9.16 | 8.27% | $93.74 | $10.23 |
| 2018 | 8.46 | 33.86% | $81.55 | $9.64 |
| 2017 | 6.32 | -40.15% | $114.98 | $18.19 |
| 2016 | 10.56 | 60.49% | $104.06 | $9.85 |
| 2015 | 6.58 | -76.36% | $81.41 | $12.37 |
| 2014 | 27.83 | N/A | $90.46 | $3.25 |
| 2013 | N/A | N/A | $92.22 | -$1.55 |
| 2012 | 50.31 | 623.88% | $53.33 | $1.06 |
| 2011 | 6.95 | -36.3% | $50.12 | $7.21 |
| 2010 | 10.91 | 68.36% | $58.71 | $5.38 |
Prudential Financial PE ratio by quarter (TTM)
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| Mar 2025 | 17.53 | 11.51% | $111.68 | $6.37 |
| Dec 2024 | 15.72 | 46.23% | $118.53 | $7.54 |
| Sep 2024 | 10.75 | -28.52% | $121.1 | $11.26 |
| Jun 2024 | 15.04 | -24.8% | $117.19 | $7.79 |
| Mar 2024 | 20 | 30.38% | $117.4 | $5.87 |
| Dec 2023 | 15.34 | -52.8% | $103.71 | $6.76 |
| Sep 2023 | 32.5 | 80.16% | $94.89 | $2.92 |
| Jun 2023 | 18.04 | -82.56% | $88.22 | $4.89 |
| Mar 2023 | 103.43 | N/A | $82.74 | $0.8 |
| Dec 2022 | N/A | N/A | $99.46 | -$4.49 |
| Sep 2022 | 47.13 | 195.49% | $85.78 | $1.82 |
| Jun 2022 | 15.95 | 91.02% | $95.68 | $6 |
| Mar 2022 | 8.35 | 73.96% | $118.17 | $14.15 |
| Dec 2021 | 4.8 | -15.79% | $108.24 | $22.56 |
| Sep 2021 | 5.7 | 1.42% | $105.2 | $18.44 |
PRU Price vs fair value
You can ether set your own Fair P/E multiple or use one of the automatically calculated Fair P/E multiples.
Fair P/E calculation
PE Ratio is an attempt to estimate a fair PE ratio of a stock based on its earnings and growth rate.
This formula is a modified version of the classic Graham-Dodd Formula (V= EPS x (8.5+2g)), originally developed by Benjamin Graham, to calculate the fair price of a stock based on its earnings and growth rate.
The formula we have created is an adaptation of this approach, designed to maintain a balance between simplicity and growth sensitivity.
It is calculated using the following formula:
IF g < 5: Fair PE = b
IF g >= 5: Fair PE = m × g
Here’s what each part of the formula means:
g: Growth is calculated as the average of the three-year average EPS growth rate and the one-year EPS growth rate (annually). This approach provides a balanced measure of growth by factoring in both the long-term growth trend and the most recent annual growth performance. If one of the growth metrics is not available, the remaining metric is used to determine growth. The fair P/E value is capped at 100 to prevent distortions caused by extreme EPS growth rates, such as those resulting from large percentage increases from a low base.
m: This is the long term historical median PEG (Price/Earnings to Growth) ratio of the overall market. It serves as a benchmark, adjusting the Fair PE based on typical market conditions.
b: Base PE (static value set to 8). If the company's growth rate is less than 5, the Fair PE is set at a conservative baseline of 8. This is because declining companies generally deserve a lower PE ratio.
Fixed vs Dynamic
Fixed: The Fair PE ratio for all data points is calculated using a single, constant average EPS growth rate, determined based on the most recent period. This means that the same growth rate is applied to all historical data points. Dynamic: The Fair PE ratio for each historical data point is calculated using the trailing average EPS growth rate specific to that point in time. This means that for each data point, the corresponding trailing EPS growth rate is used, ensuring that the Fair PE ratio reflects the growth conditions that were relevant at that specific point in history.
PRU average PE ratio chart
The current PE ratio of PRU is above its 10-year average, but it is under its 3 and 5-year averages.
PRU PE vs peers
When compared to its peer stocks MET and LNC, PRU's PE ratio is higher.
| Stock name | PE ratio | Market cap |
|---|---|---|
| LNC Lincoln National Corp | 4.7 | $5.85B |
| MET Metlife Inc | 13.11 | $54.29B |
| GNW Genworth Financial Inc | 14.44 | $2.99B |
| PRU Prudential Financial Inc | 16.95 | $38.22B |
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Frequently asked questions
What is Prudential Financial's PE ratio?
PRU's price to earnings ratio is 16.95 as of May 19, 2025.
What is the 3-year average PE ratio for Prudential Financial (PRU)?
The 3-year average PE ratio for PRU stock is 28.31.
What is the 5-year average PE ratio for Prudential Financial (PRU)?
The 5-year average PE ratio for PRU stock is 21.85.
What is the highest PE ratio for PRU?
Over the last ten years, the Mar 2023 quarter recorded the highest quarterly PE ratio at 103.43.
How does the current PE ratio for PRU compare to its historical average?
The current PE ratio of PRU is 16% higher than the 10-year historical average.
How is PRU's PE ratio calculated (Prudential Financial PE ratio formula)?
You can calculate the P/E ratio by dividing the most recent stock price by the trailing twelve months earnings per share(EPS). As of today (May 19, 2025), Prudential Financial's share price is $107.98. The company's earnings per share for the trailing twelve months (TTM) ending Mar 2025 is $6.37. Therefore, Prudential Financial's price to earnings ratio for today is 16.95. PE RATIO(16.95) = STOCK PRICE($107.98) / TTM EPS($6.37)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.