Research Alert: CFRA Maintains Hold Opinion On Shares Of Prudential Financial, Inc.
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We cut our target price by $13, to $100, valuing PRU shares at 6.9x our '27 operating EPS estimate of $14.40 (cut today by $1.10). We also cut our '26 EPS estimate by $1.40, to $13.10. These EPS reductions reflect our estimate of the impact of PRU's decision (announced last night) to extend the sales suspension at Prudential of Japan for another 180 days (through 11/5/26). This follows the Feb '26 initial 90-day voluntary suspension of new sales in Japan taken to address employee misconduct. While we laud PRU's candor in addressing this situation, we view this as a material issue. Japan is an important market for PRU, and its International Business unit accounted for nearly half of the firm's pretax operating profits in '25. We think this development removes a catalyst from the shares. Though it currently trades at only 6.8x our '26 EPS estimate (vs. its one-year average forward multiple of 7.4x and a peer average of 8.9x), and currently yield 5.7%, we do not recommend adding to positions at this juncture.