Analysis – Prudential Financial Inc. Increases Dividend by 9%


Prudential Financial Incorporated announced a regular quarterly dividend of $0.58 per share, a 9 percent increase from the prior rate of $0.53 per share. The dividend will be paid at the new higher rate on December 18, 2014, to shareholders of record at close of business on November 25, 2014.

Date Quarterly Dividend
11/25/2014 0.58
8/22/2014 0.53
5/22/2014 0.53
2/21/2014 0.53
11/22/2013 0.53
8/23/2013 0.4
5/24/2013 0.4
2/22/2013 0.4
11/16/2012 1.6
11/18/2011 1.45
11/19/2010 1.15

Analysis of Valuation of Prudential Financial Inc. (Symbol PRU).

Prudential Financial is trading below its average price/book value (P/BV) range. Prudential Financial is trading above its average dividend yield range.

Price 11/12/14 % Yield 5 Year Div. Growth Rate BV   2014 P/BV  Ratio 10 yr P/BV  Low 10 yr P/BV  High 5 yr max Yield % 5 yr lowest Yield %
$85.26 2.50% 9.5 84.45 1.02 0.20 2.08 3.0% 1.4%
Prudential Financial Dividend Yield Chart (Click to enlarge)


Explanation:  Dividend growth financial stocks may be valued upon historical relative price/book value and current yield analysis. Dividend financial stocks trading at a low historical price/book value (P/BV) ratio should be viewed more highly to investors due to their depressed valuation versus other higher P/BV ratio stocks.  Max P/BV price target is based upon company reaching its highest historical P/BV ratio.  Dividend stocks should also be viewed favorably when the current yield is above historical readings for the past 10 years.

Further information on evaluating dividend growth candidates can be found at

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