Valued at a market cap of $23.9 billion, Principal Financial Group, Inc. (PFG) is a financial services company based in Des Moines, Iowa. It serves institutional, corporate, and individual clients with a robust suite of solutions designed to build and protect long-term financial well-being. Its core offerings include comprehensive retirement planning and workplace savings solutions, commercial real estate investments, private equity, and broad asset management services.
Companies valued at $10 billion or more are typically classified as “large-cap stocks,” and PFG fits the label perfectly, with its market cap exceeding this threshold, underscoring its size, influence, and dominance within the asset management industry. The company’s core strength lies in its dominant market position as a premier provider of retirement plans and workplace benefits for small-to-medium-sized businesses (SMBs), an underserved sector where it excels by offering highly tailored, scalable savings programs.
The company is currently trading marginally below its 52-week high of $112.07 reached recently on Jun. 15. Shares of PFG have soared 28.6% over the past three months, considerably outperforming the State Street Financial Select Sector SPDR ETF’s (XLF) 10.2% uptick during the same time frame.
In the longer term, PFG has rallied 44.9% over the past 52 weeks, notably outpacing XLF's 7.6% return over the same time period. Moreover, on a YTD basis, shares of PFG are up 26%, compared to XLF’s slight drop.
To confirm its bullish trend, PFG has been trading above its 200-day moving average since late August 2025, with slight fluctuations, and has remained above its 50-day moving average since early April.
Investor sentiment improved after PFG reported its first-quarter 2026 results on April 23. The stock gained 2.4% following the announcement as the company posted stronger-than-expected earnings growth. Adjusted EPS increased 13% year-over-year to $2.17, surpassing analysts’ expectations.
Although its total revenue edged down slightly to $3.5 billion, investors were encouraged by the company’s enhanced profitability. Its earnings benefited from lower operating expenses, expanding margins, higher fee-based revenue, and favorable underwriting performance, which more than offset the modest decline in revenue.
PFG has also outpaced its rival, BlackRock, Inc. (BLK), which increased 7.1% over the past 52 weeks and dropped 1.7% on a YTD basis.
Despite PFG’s recent outperformance, analysts remain cautious about its prospects. The stock has a consensus rating of “Hold” from the 14 analysts covering it. While the company is trading above its mean price target of $101.50, its Street-high price target of $113 suggests a 1.6% premium to its current price levels.
