Principal Financial (PFG) Earnings Expected to Grow: What to Know Ahead of Next Week's Release

Company Overview - Principal Financial (PFG) is expected to report a year-over-year increase in earnings due to higher revenues for the quarter ended March 2025, with earnings projected at $1.86 per share, reflecting a +12.7% change, and revenues expected to be $3.97 billion, up 4.5% from the previous year [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for April 24, and the stock may rise if the reported numbers exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised 2.44% lower over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates a negative Earnings ESP of -0.33% for Principal Financial, suggesting that the Most Accurate Estimate is lower than the Zacks Consensus Estimate [11]. - The company currently holds a Zacks Rank of 3 (Hold), making it challenging to predict a beat on the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Principal Financial was expected to post earnings of $1.95 per share but delivered $1.94, resulting in a surprise of -0.51% [12]. - The company has not beaten consensus EPS estimates in any of the last four quarters, indicating a trend of underperformance [13]. Industry Comparison - Goosehead Insurance (GSHD), another player in the Zacks Insurance - Multi line industry, is expected to post earnings of $0.23 per share for the same quarter, reflecting a year-over-year change of -17.9%, with revenues projected at $78.25 million, up 21.4% [17]. - Goosehead has an Earnings ESP of 4.35% and has beaten consensus EPS estimates in each of the trailing four quarters, contrasting with Principal Financial's performance [18].