Is It Overvalued? Look at the P/S Ratio: Principal Financial Group, Inc. (PFG), Cameco Corporation (CCJ)

Principal Financial Group, Inc. (NYSE:PFG) shares were trading lower by -1.05 percent ($-0.75) at $70.78 a piece in Tuesday’s session. It had closed the previous session at $71.53. PFG trades with a P/S ratio of 1.41. This is lower than the both industry’s 1.5 and the wider sector’s 6.06. A low price-to-sales ratio, typically less than 1.0, is considered a good value. Also, it has an estimated price-earnings (P/E) multiple of 12.64 and a trailing 12-month price-earnings (P/E) multiple of 11.6. Shares of PFG have uptrended 13.7% in the past three months, while the S&P 500 has moved 8.13% in that time. Principal Financial Group, Inc. (PFG) has a market cap of $20.39 billion and over the last 12 months, Principal Financial Group, Inc. (NYSE:PFG) has gone stronger by 19.08%. During the last 52 weeks, the (NYSE:PFG) price has been as high as $72.23 and as low as $56.12. Principal Financial Group, Inc. earnings have risen with an annualized rate of 18.7% over the last 5 years.

Principal Financial Group, Inc. (Mean Target Price: $70.91)

The average 1-year price target for Principal Financial Group, Inc. (PFG) — averaging the work of different analysts — reveals a mean PT of $70.91/share. That’s a potential 0.18 increase relative to where Principal Financial Group, Inc. (NYSE:PFG) has been trading recently. The current price is seen ranging between $70.18 and $71.81. There are brokerage firms with lower targets than the average, including one setting a price target of $63. And then on the other side of the spectrum one analyst entrenched in the bullish camp has a target as high as $81.

Principal Financial Group, Inc. (PFG) Consensus Recommendation

The collective rating of 2.5 for Principal Financial Group, Inc. (NYSE:PFG) also leans strongly towards the neutral end of the spectrum. Of the 12 analysts surveyed by Reuters that track PFG 6 of them rate its stock a hold. The other 6, though not evenly; between analysts who think you should buy Principal Financial Group, Inc. versus those who think you should sell it. A 5 analysts rate it as either a buy or a strong buy, while1 believe that investors should either steer clear of PFG or, if they already own its stock, sell it.

Is Cameco Corporation (NYSE:CCJ) Cheap From Peers?

Cameco Corporation (CCJ) knifed -1.04 percent lower and now trades for $10.46. CCJ comes in with a P/S ratio of 2.37 that’s greater than 1, potentially implying that it could be expensive relative to the overall sector (14.17) and its peers (91.28). Also, it has an estimated price-earnings (P/E) multiple of 53.37 . During the last 52 weeks, the price has been as high as $13.36 and as low as $7.68. Cameco Corporation (NYSE:CCJ) earnings have risen with a quarterly rate of 0.4% over the last 5 years. Shares of CCJ have increased 2.55% in the past three monthswhile the S&P 500 has dropped -3.07% in that time.

Cameco Corporation (Price Objective: $11.3)

Cameco Corporation (NYSE:CCJ) has a market cap of $4.14 billion and over the last 12 months, CCJ has risen by 0.97%. The average 1-year price target for (CCJ) reveals an average price target of $11.3 per share. That’s a potential 8.03 gain from where (NYSE:CCJ) has been trading recently. There are brokerage firms with lower targets than the average, including one setting a price target of $7.03. And then on the other side of the spectrum one analyst entrenched in the bullish camp has a target as high as $17.

Analyst Thoughts About Cameco Corporation (NYSE:CCJ)

The consensus recommendation — averaging the work of 9 analysts — of 2.4 for Cameco Corporation (CCJ) points to moderate case. Of the analysts surveyed by Reuters that track Cameco Corporation 1 of them rate its stock a hold. The other 8 are split, though not evenly, between analysts who think you should buy its stock versus those who think you should sell it. A 7 analysts rate it as either a buy or a strong buy, while 1 believe that investors should either steer clear of (NYSE:CCJ) or, if they already own its stock, sell it.

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