Wells Fargo Upgrades Principal Financial Group, Inc. (PFG) to Equal Weight and Raises its Price Target to $91

Core Insights - Principal Financial Group, Inc. (NASDAQ:PFG) is identified as one of the 13 most undervalued stocks in the S&P 500, presenting a potential investment opportunity [1] Group 1: Company Performance - On February 10, 2026, Principal reported Q4 EPS of $2.24, slightly above the consensus estimate of $2.22, indicating strong performance [3] - The company returned over $1.5 billion to shareholders in 2025, which included $850 million in share repurchases, showcasing a commitment to shareholder value [3] - Principal raised its quarterly dividend to $0.80 per share from $0.79, with the first-quarter dividend payable on March 27, 2026 [4] Group 2: Analyst Upgrades - On February 25, 2026, Wells Fargo upgraded Principal Financial Group from Underweight to Equal Weight and increased its price target from $85 to $91, citing reduced downside risk following a post-earnings selloff [2] - Wells Fargo noted that while organic growth remains a challenge, there is potential for improvement in the real estate market, an area where Principal has significant exposure [2] Group 3: Market Context - The company operates in the retirement, asset management, and insurance sectors globally, indicating a diversified business model [4]