Prudential Public Limited Company (PUK) Company Bio
Prudential plc provides a range of retail financial products and services, and asset management services to individuals and businesses in Asia, Europe, the United States, and the United Kingdom. It offers health, disability, critical illness, and accident coverage products. The company was founded in 1848 and is based in London, United Kingdom.
PUK Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Prudential Plc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Prudential Plc ranked in the 21th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 72.17%. As for the metrics that stood out in our discounted cash flow analysis of Prudential Plc, consider:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 85. Notably, its equity weight is greater than 61.55% of US equities in the Financial Services sector yielding a positive free cash flow.
PUK's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 31.91% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as PUK, try ASPS, AON, HLNE, CPTA, and VOYA.