In a report released yesterday, Bob Huang from Morgan Stanley maintained a Sell rating on Principal Financial, with a price target of $75.00.
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Bob Huang has given his Sell rating due to a combination of factors impacting Principal Financial’s performance. Despite some positive outcomes in asset management earnings and corporate expenses, the company faced challenges in other areas. The life insurance segment and net fund flows underperformed against expectations, contributing to a cautious outlook.
Additionally, the Retirement & Income Solutions segment missed consensus estimates, partly due to lower than expected net flows. The Individual Life segment also fell short of projections, which further influenced the negative rating. These issues, coupled with ongoing market pressures, suggest potential difficulties in achieving the desired EPS growth, leading to the Sell recommendation.
In another report released today, Barclays also maintained a Sell rating on the stock with a $80.00 price target.