Principal Financial price target raised to $77 from $75 at Morgan Stanley

Morgan Stanley analyst Bob Huang raised the firm’s price target on Principal Financial (PFG) to $77 from $75 and keeps an Underweight rating on the shares. Following Q2 results, the firm is updating its price targets for stocks in the Life Insurance segment under its coverage, the analyst tells investors. Nearly half of the life insurers under its coverage beat expectations on a reported basis and most exceeded expectations on a core basis, the firm adds. Morgan Stanley notes the earnings beats were largely driven by selective favorable underwriting, better than expected performance of macro-sensitive segments, or both.