Financial services company Principal Financial Group (NASDAQGS:PFG) will be reporting earnings this Monday after market close. Here’s what investors should know.
Principal Financial Group beat analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $4.02 billion, up 5.5% year on year. It was a slower quarter for the company, with a significant miss of analysts’ book value per share estimates and a slight miss of analysts’ EPS estimates.
Is Principal Financial Group a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Principal Financial Group’s revenue to decline 2.5% year on year to $3.97 billion, a reversal from the 16.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.97 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Principal Financial Group has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 4.5% on average.
Looking at Principal Financial Group’s peers in the insurance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Globe Life delivered year-on-year revenue growth of 3.2%, meeting analysts’ expectations, and Stewart Information Services reported revenues up 20.1%, topping estimates by 9.2%. Globe Life traded up 5.1% following the results while Stewart Information Services was also up 10.3%.
Read our full analysis of Globe Life’s results here and Stewart Information Services’s results here.
Debates around the economy’s health and the impact of potential tariffs and corporate tax cuts have caused much uncertainty in 2025. While some of the insurance stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.9% on average over the last month. Principal Financial Group is up 2.3% during the same time and is heading into earnings with an average analyst price target of $86.25 (compared to the current share price of $81.05).
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.