Principal Financial Group Stock Market Value
| PFG Stock | USD 81.06 1.10 1.34% |
| Symbol | Principal |
Principal Financial Price To Book Ratio
Is Principal Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Principal Financial. If investors know Principal will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Principal Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.02) | Dividend Share 2.6 | Earnings Share 2.55 | Revenue Per Share 56.634 | Quarterly Revenue Growth (0.15) |
The market value of Principal Financial is measured differently than its book value, which is the value of Principal that is recorded on the company's balance sheet. Investors also form their own opinion of Principal Financial's value that differs from its market value or its book value, called intrinsic value, which is Principal Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Principal Financial's market value can be influenced by many factors that don't directly affect Principal Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Principal Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Principal Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Principal Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Principal Financial 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Principal Financial's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Principal Financial.
| 03/27/2024 |
| 04/26/2024 |
If you would invest 0.00 in Principal Financial on March 27, 2024 and sell it all today you would earn a total of 0.00 from holding Principal Financial Group or generate 0.0% return on investment in Principal Financial over 30 days. Principal Financial is related to or competes with State Street, Bank of New York, SEI Investments, Affiliated Managers, T Rowe, Invesco Plc, and Ameriprise Financial. Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses... More
Principal Financial Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Principal Financial's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Principal Financial Group upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.02 | |||
| Information Ratio | (0.03) | |||
| Maximum Drawdown | 5.0 | |||
| Value At Risk | (1.73) | |||
| Potential Upside | 1.87 |
Principal Financial Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Principal Financial's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Principal Financial's standard deviation. In reality, there are many statistical measures that can use Principal Financial historical prices to predict the future Principal Financial's volatility.| Risk Adjusted Performance | 0.0338 | |||
| Jensen Alpha | (0) | |||
| Total Risk Alpha | (0.08) | |||
| Sortino Ratio | (0.03) | |||
| Treynor Ratio | 0.0659 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Principal Financial's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Principal Financial Backtested Returns
We consider Principal Financial very steady. Principal Financial maintains Sharpe Ratio (i.e., Efficiency) of 0.0304, which implies the firm had a 0.0304% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Principal Financial, which you can use to evaluate the volatility of the company. Please check Principal Financial's Risk Adjusted Performance of 0.0338, semi deviation of 0.9486, and Coefficient Of Variation of 2087.86 to confirm if the risk estimate we provide is consistent with the expected return of 0.0315%. Principal Financial has a performance score of 2 on a scale of 0 to 100. The company holds a Beta of 0.59, which implies possible diversification benefits within a given portfolio. As returns on the market increase, Principal Financial's returns are expected to increase less than the market. However, during the bear market, the loss of holding Principal Financial is expected to be smaller as well. Principal Financial right now holds a risk of 1.04%. Please check Principal Financial total risk alpha, expected short fall, market facilitation index, as well as the relationship between the value at risk and daily balance of power , to decide if Principal Financial will be following its historical price patterns.
Auto-correlation | -0.69 |
Very good reverse predictability
Principal Financial Group has very good reverse predictability. Overlapping area represents the amount of predictability between Principal Financial time series from 27th of March 2024 to 11th of April 2024 and 11th of April 2024 to 26th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Principal Financial price movement. The serial correlation of -0.69 indicates that around 69.0% of current Principal Financial price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.69 | |
| Spearman Rank Test | -0.7 | |
| Residual Average | 0.0 | |
| Price Variance | 1.6 |
Principal Financial lagged returns against current returns
Autocorrelation, which is Principal Financial stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Principal Financial's stock expected returns. We can calculate the autocorrelation of Principal Financial returns to help us make a trade decision. For example, suppose you find that Principal Financial has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Principal Financial regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Principal Financial stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Principal Financial stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Principal Financial stock over time.
Current vs Lagged Prices |
| Timeline |
Principal Financial Lagged Returns
When evaluating Principal Financial's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Principal Financial stock have on its future price. Principal Financial autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Principal Financial autocorrelation shows the relationship between Principal Financial stock current value and its past values and can show if there is a momentum factor associated with investing in Principal Financial Group.
Regressed Prices |
| Timeline |
Principal Financial Investors Sentiment
The influence of Principal Financial's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Principal. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Principal Financial's public news can be used to forecast risks associated with an investment in Principal. The trend in average sentiment can be used to explain how an investor holding Principal can time the market purely based on public headlines and social activities around Principal Financial Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Principal Financial's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Principal Financial's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Principal Financial's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Principal Financial.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Principal Financial in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Principal Financial's short interest history, or implied volatility extrapolated from Principal Financial options trading.
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Check out Principal Financial Correlation, Principal Financial Volatility and Principal Financial Alpha and Beta module to complement your research on Principal Financial. Note that the Principal Financial information on this page should be used as a complementary analysis to other Principal Financial's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Complementary Tools for Principal Stock analysis
When running Principal Financial's price analysis, check to measure Principal Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Principal Financial is operating at the current time. Most of Principal Financial's value examination focuses on studying past and present price action to predict the probability of Principal Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Principal Financial's price. Additionally, you may evaluate how the addition of Principal Financial to your portfolios can decrease your overall portfolio volatility.
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Principal Financial technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.