Principal Operating Margin

PFG
 Stock
  

USD 90.92  1.26  1.37%   

Principal Financial Group fundamentals help investors to digest information that contributes to Principal Financial's financial success or failures. It also enables traders to predict the movement of Principal Stock. The fundamental analysis module provides a way to measure Principal Financial's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Principal Financial stock.
This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.
  

Principal Operating Margin Analysis

Principal Financial's Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
 2018 2019 2021 2022 (projected)
Cost of Revenue8.32 B10.02 B11.53 B9.84 B
Consolidated Income1.55 B1.44 B1.66 B1.55 B
Operating Margin 
 = 
Operating Income 
Revenue 
X
100 
More About Operating Margin | All Equity Analysis

Current Principal Financial Operating Margin

    
  0.36 %  
Most of Principal Financial's fundamental indicators, such as Operating Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Principal Financial Group is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Principal Operating Margin Driver Correlations

Understanding the fundamental principles of building solid financial models for Principal Financial is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Operating Margin. Since Principal Financial's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Principal Financial's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Principal Financial's interrelated accounts and indicators.
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Compare to competition

Principal EBITDA Margin

EBITDA Margin

0.17

Principal Financial EBITDA Margin is projected to increase slightly based on the last few years of reporting. The past year's EBITDA Margin was at 0.13
Based on the recorded statements, Principal Financial Group has an Operating Margin of 0.361%. This is 98.04% lower than that of the Insurance sector and 98.61% lower than that of the Financials industry. The operating margin for all United States stocks is 106.55% lower than that of the firm.

Principal Operating Margin Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Principal Financial's direct or indirect competition against its Operating Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Principal Financial could also be used in its relative valuation, which is a method of valuing Principal Financial by comparing valuation metrics of similar companies.
Principal Financial is currently under evaluation in operating margin category among related companies.

Principal Financial Current Valuation Drivers

We derive many important indicators used in calculating different scores of Principal Financial from analyzing Principal Financial's financial statements. These drivers represent accounts that assess Principal Financial's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Principal Financial's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee150.24 K93.87 K79.21 K80 K91.97 K82.42 K
Revenue Per Employee916.45 K864.17 K921.66 K844.91 K766.81 K729.38 K
Average Assets224.76 B244.38 B251.88 B268.42 B308.68 B278.5 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA1.73 B2.43 B1.98 B1.87 B2.15 B1.99 B
Earnings Before Interest Taxes and Depreciation Amortization USD1.73 B2.43 B1.98 B1.87 B2.15 B1.99 B
Earnings before Tax1.55 B2.24 B1.78 B1.64 B1.89 B1.76 B
Average Equity10.39 B11.66 B11.73 B14.04 B16.14 B14.39 B
Enterprise Value17.75 B20.81 B12.86 B15.93 B18.32 B17.31 B
Free Cash Flow3.7 B4.02 B5.06 B5.36 B6.16 B5.26 B
Invested Capital226.13 B252.3 B240.95 B273.92 B315.01 B282.52 B
Invested Capital Average223.34 B243.02 B250.06 B266.35 B306.3 B276.28 B
Market Capitalization16.65 B20.37 B12.5 B15.27 B17.56 B16.7 B
Tangible Asset Value225.67 B251.56 B240.62 B272.61 B313.5 B281.66 B

Principal Financial ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Principal Financial's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Principal Financial's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

Principal Fundamentals

About Principal Financial Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Principal Financial Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Principal Financial using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Principal Financial Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Principal Financial Group, Inc. provides retirement, asset management, and insurance products and services to businesses, individuals, and institutional clients worldwide. Principal Financial Group, Inc. was founded in 1879 and is based in Des Moines, Iowa. Principal Financial operates under Asset Management classification in the United States and is traded on NASDAQ Exchange. It employs 18600 people.

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Please check Principal Financial Piotroski F Score and Principal Financial Altman Z Score analysis. 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 Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.

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When running Principal Financial 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 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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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 YOY
3.17
Market Capitalization
22.6 B
Quarterly Revenue Growth YOY
0.34
Return On Assets
0.0143
Return On Equity
0.41
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 Principal Financial value 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.