Latest Ratios: P/E Ratio 10.9x · EV/EBITDA 8.2x · ROE 10.9%. (2001–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $41.4B | $39.5B | $42.6B | $37.8B | $37.0B | $42.2B | $30.9B | $38.5B | $34.8B | $50.1B | $44.7B |
| Enterprise Value | $44.6B | $42.7B | $52.5B | $45.3B | $47.4B | $59.1B | $38.1B | $44.0B | $40.2B | $55.7B | $51.9B |
| P/E Ratio → | 10.92 | 11.05 | 15.80 | 15.39 | — | 5.55 | — | 9.27 | 8.58 | 6.44 | 10.72 |
| P/S Ratio | 0.67 | 0.65 | 0.60 | 0.70 | 0.65 | 0.59 | 0.54 | 0.59 | 0.55 | 0.84 | 0.76 |
| P/B Ratio | 1.17 | 1.11 | 1.41 | 1.27 | 2.15 | 0.67 | 0.45 | 0.60 | 0.71 | 0.92 | 0.97 |
| P/FCF | 3.90 | 6.30 | 5.01 | 5.81 | 7.18 | 4.00 | 3.73 | 2.43 | 1.60 | 4.50 | 3.45 |
| P/OCF | 6.60 | 6.30 | 5.01 | 5.81 | 7.18 | 4.30 | 3.69 | 1.96 | 1.60 | 3.73 | 3.02 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.70 | 0.74 | 0.84 | 0.83 | 0.83 | 0.67 | 0.68 | 0.64 | 0.93 | 0.88 |
| EV / EBITDA | 8.15 | 8.93 | 14.60 | 15.10 | — | 5.36 | 284.68 | 7.94 | 8.05 | 8.30 | 8.62 |
| EV / EBIT | 9.58 | 9.18 | 16.35 | 14.75 | — | 5.46 | — | 8.66 | 8.31 | 8.59 | 9.10 |
| EV / FCF | — | 6.82 | 6.17 | 6.96 | 9.19 | 5.61 | 4.61 | 2.78 | 1.86 | 5.00 | 4.00 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 31.1% | 31.1% | 24.8% | 32.4% | 20.9% | 39.7% | 26.7% | 32.0% | 28.8% | 34.3% | 33.2% |
| Operating Margin | 7.6% | 7.6% | 4.5% | 5.7% | -3.3% | 15.2% | -0.6% | 7.8% | 7.7% | 10.9% | 9.7% |
| Net Profit Margin | 5.9% | 5.9% | 3.9% | 4.6% | -2.9% | 12.5% | -0.7% | 6.5% | 6.5% | 13.2% | 7.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.9% | 10.9% | 9.1% | 10.6% | -4.1% | 13.6% | -0.6% | 7.4% | 7.9% | 15.7% | 9.9% |
| ROA | 0.5% | 0.5% | 0.4% | 0.4% | -0.2% | 0.9% | -0.0% | 0.5% | 0.5% | 1.0% | 0.6% |
| ROIC | 8.9% | 8.9% | 6.2% | 7.1% | -2.6% | 10.5% | -0.3% | 6.2% | 6.3% | 8.6% | 8.0% |
| ROCE | 0.9% | 0.9% | 0.6% | 0.6% | -0.3% | 1.6% | -0.0% | 6.8% | 6.9% | 9.5% | 9.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.65 | 0.65 | 0.94 | 0.90 | 1.61 | 0.48 | 0.31 | 0.34 | 0.42 | 0.37 | 0.46 |
| Debt / EBITDA | 4.80 | 4.80 | 7.90 | 8.97 | — | 2.70 | 156.33 | 3.94 | 4.16 | 2.99 | 3.54 |
| Net Debt / Equity | — | 0.09 | 0.33 | 0.25 | 0.60 | 0.27 | 0.11 | 0.09 | 0.11 | 0.10 | 0.16 |
| Net Debt / EBITDA | 0.68 | 0.68 | 2.75 | 2.50 | — | 1.53 | 54.08 | 1.00 | 1.09 | 0.83 | 1.19 |
| Debt / FCF | — | 0.52 | 1.16 | 1.15 | 2.02 | 1.60 | 0.88 | 0.35 | 0.25 | 0.50 | 0.56 |
| Interest Coverage | 2.21 | 2.21 | — | — | — | — | — | — | — | — | 4.31 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.61 | 0.61 | 1.87 | 1.80 | 1.74 | 1.56 | — | 0.51 | 0.01 | 0.01 | 0.01 |
| Quick Ratio | 0.61 | 0.61 | 1.87 | 1.80 | 1.74 | 1.56 | — | 0.51 | 0.01 | 0.01 | 0.01 |
| Cash Ratio | 0.40 | 0.40 | 1.60 | 1.58 | 1.64 | 1.48 | — | 0.51 | 0.50 | 0.49 | 0.49 |
| Asset Turnover | — | 0.08 | 0.10 | 0.08 | 0.08 | 0.08 | 0.06 | 0.07 | 0.08 | 0.07 | 0.07 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.6% | 4.9% | 4.4% | 4.9% | 4.9% | 4.3% | 5.7% | 4.3% | 4.4% | 2.6% | 2.9% |
| Payout Ratio | 53.9% | 53.9% | 69.3% | 74.2% | — | 20.5% | — | 39.2% | 37.3% | 16.5% | 29.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.2% | 9.1% | 6.3% | 6.5% | — | 18.0% | — | 10.8% | 11.6% | 15.5% | 9.3% |
| FCF Yield | 25.6% | 15.9% | 20.0% | 17.2% | 13.9% | 25.0% | 26.8% | 41.1% | 62.3% | 22.2% | 29.0% |
| Buyback Yield | 2.4% | 2.5% | 2.3% | 2.7% | 4.0% | 5.9% | 1.6% | 6.5% | 4.3% | 2.5% | 4.7% |
| Total Shareholder Yield | 7.0% | 7.4% | 6.8% | 7.6% | 8.9% | 10.2% | 7.3% | 10.8% | 8.7% | 5.1% | 7.6% |
| Shares Outstanding | — | $350M | $359M | $365M | $372M | $390M | $396M | $411M | $426M | $436M | $430M |
Includes 30+ ratios · 25 years · Updated daily
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Quick answers to the most common questions about buying PRU stock.
Prudential Financial, Inc.'s current P/E ratio is 10.9x. The historical average is 18.1x. This places it at the 45th percentile of its historical range.
Prudential Financial, Inc.'s current EV/EBITDA is 8.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.4x.
Prudential Financial, Inc.'s return on equity (ROE) is 10.9%. The historical average is 7.6%.
Based on historical data, Prudential Financial, Inc. is trading at a P/E of 10.9x. This is at the 45th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Prudential Financial, Inc.'s current dividend yield is 4.62% with a payout ratio of 53.9%.
Prudential Financial, Inc. has 31.1% gross margin and 7.6% operating margin.
Prudential Financial, Inc.'s Debt/EBITDA ratio is 4.8x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Commercial real estate and Yen translation
Metrics are mathematically derived from official filings.
Discount Reflects Unproven Earnings Durability
Based on reported figures, PRU trades at 1.20x book and 11.98x trailing earnings, a discount to MetLife's 2.29x book that appears to price in uncertainty about whether recent ROE recovery can be sustained above a low single-digit base.
A price-to-book of 1.20 implies the market is valuing PRU's equity close to its stated book value, which is consistent with a return profile the market does not yet expect to compound meaningfully. Reported ROE across the last ten quarters ranged from negative 0.2% to 4.3%, so the multiple appears to reflect skepticism about underwriting consistency rather than franchise quality alone. Investors should monitor whether ROE can hold above the cost of equity for several consecutive quarters before the discount to peers narrows.
Combined Ratio Improvement Still Unproven Baseline
As reported in financial statements, PRU's combined ratio improved from 101.2% in Q4 2024 to 85.1% in Q3 2026, moving the company from underwriting loss to a margin that suggests meaningful discipline over roughly two years.
The move below 100% reflects both a lower loss ratio, which fell from 79.0% to 65.4%, and a moderating expense ratio, indicating operational gains rather than a single favorable quarter. However, the series also shows a 92.2% reading in Q4 2025 and a 95.3% reading in Q1 2026, so the improvement is not yet a monotonic trend. Sustainability depends on whether reserve assumptions are holding, which the reported data cannot independently confirm.
Thin ROE Driven by Underwriting Swings
Based on PRU's reported quarterly figures, ROE oscillated between negative 0.2% and 4.3% over ten quarters, with the Q3 2026 print of 4.3% representing a return to the upper end of the range rather than an established level.
Investment yield data is not populated in the supplied series, so ROE cannot be decomposed precisely into underwriting profit versus float income. The ROA of 0.1% to 0.2% indicates that asset-level returns are minimal relative to the large balance sheet, which is typical of a leveraged life insurer. Investors should treat the recent ROE recovery as encouraging but not yet evidence of a structurally higher return base.
Premium Leverage Stable on Thin Equity Layer
Based on reported figures, PRU's debt-to-equity ratio held between 0.57 and 0.94 across ten quarters, with the most recent reading of 0.64 suggesting the capital base has stabilized after a more leveraged period in 2024.
Total liabilities of roughly $739B against equity of $29.5B implies a liability-to-equity multiple near 25x, a structure that is common for large life insurers but leaves limited buffer against reserve shortfalls. The decline in D/E from 0.94 in Q4 2024 reflects equity rebuilding rather than a deliberate deleveraging of liabilities. Rating agency capital adequacy assessments are not included in the supplied data, so the adequacy of this cushion cannot be fully verified.
Lagging Peers on ROE, Leading on Scale
Compared with the peer set, PRU's reported Q3 2026 ROE of 4.3% trails Lincoln National's 22.0% and Principal's 15.8%, while its 1.20x P/B sits below MetLife's 2.29x and Principal's 2.05x.
The valuation discount relative to Principal and MetLife appears to reflect a return gap rather than a scale deficit, since PRU's ROE is materially below both. Lincoln National's low P/B of 0.67 alongside high reported ROE suggests the market is pricing that peer's earnings sustainability with considerable skepticism. PRU's relative position is best justified by its improving combined ratio, but the peer gap on ROE indicates the premium-to-peers case has not yet been established.
Price-to-Book Misleads on Reserve Timing
The most commonly misapplied metric here is P/B, which may appear cheap at 1.20x but can overstate book value quality if reserve assumptions and market experience updates are masking the true underlying capital position.
Book value for a life insurer is heavily influenced by actuarial assumptions and interest-rate-sensitive liability remeasurement, so a low P/B may reflect reserve risk rather than undervaluation. A better complement is ROE adjusted for realized investment gains and LDTI-driven remeasurement effects, which the supplied data does not fully isolate. Analysts should weight the combined ratio trend and cash-to-earnings consistency alongside P/B before drawing valuation conclusions.