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Principal Financial GroupPFG -0.05%71 Equity-to-Asset is 0.03 as of Jun. 2026, which is 40% below its 10-year median of 0.05. GuruFocus rates PFG with a GF Score™ of 71/100 and a GF Value™ of $92.36 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,630 Asset Management companies, Principal Financial Group ranks worse than 97.79% on this metric.
Principal Financial Group (NAS:PFG) Equity-to-Asset Explanation
Equity to Asset ratio can vary greatly across different industries, as they have different capital structure. A company with smaller Equity to Asset ratio (more leveraged) may have higher ROE % because of the leverage.
For banks, the required minimum Equity to Asset ratio by regulation is 5%. Some stronger banks may have Equity to Asset Ratio of more than 10%.
Principal Financial Group Equity-to-Asset Related Terms
Principal Financial Group Equity-to-Asset Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
PFG vs TROW, NTRS, ARES: Equity-to-Asset Comparison
For the Asset Management subindustry, Principal Financial Group's Equity-to-Asset, along with its competitors' market caps and Equity-to-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Principal Financial Group Equity-to-Asset vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Principal Financial Group's Equity-to-Asset distribution charts can be found below:
* The bar in red indicates where Principal Financial Group's Equity-to-Asset falls into.
Principal Financial Group Equity-to-Asset Calculation
Equity to Asset ratio measures the ratios of the portion of the asset owned by shareholders out of the total asset. It indicates the leverage of the company, and the amount of debt the company uses in its operation.
Equity to Asset ratio is calculated by dividing total stockholders equity by total asset.
Principal Financial Group's Equity to Asset Ratio for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Principal Financial Group (PFG) has a Equity-to-Asset of 0.03 as of Jun. 2026. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on Principal Financial Group and its competitors. This is 40% below median its historical median of 0.05. Over the past decade, Principal Financial Group's Equity-to-Asset has ranged from 0.03 to 34.27. According to the industry distribution chart, Principal Financial Group ranks #1594 out of 1630 companies in the Asset Management industry, placing it in the top 97.8%.
Is Principal Financial Group's Equity-to-Asset too high?
Principal Financial Group's current Equity-to-Asset of 0.03 is 40% below median its 10-year median of 0.05. Over the past 10 years, this metric has ranged from a low of 0.03 to a high of 34.27. The Asset Management industry median Equity-to-Asset is 0.83. Principal Financial Group's value of 0.03 is 96.4% below this industry median. Based on the distribution chart, Principal Financial Group ranks #1594 out of 1630 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Principal Financial Group has a GF Score™ of 71/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Principal Financial Group's Equity-to-Asset compare to TROW and NTRS?
According to the Asset Management industry distribution chart, Principal Financial Group ranks #1594 out of 1630 companies for Equity-to-Asset. This places Principal Financial Group in the lower half of its industry. The industry median Equity-to-Asset is 0.83. Principal Financial Group's value of 0.03 is 96.4% below this benchmark. Historically, Principal Financial Group's own Equity-to-Asset has ranged from 0.03 to 34.27 over the past decade. While the company's 10-year median is 0.05 vs. the industry median of 0.83, Principal Financial Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Equity-to-Asset for an Asset Management company?
The median Equity-to-Asset among Asset Management companies is 0.83, based on 1,630 companies in the industry. Companies in the top quartile (top 25%) have a Equity-to-Asset significantly above this median, while those in the bottom quartile fall well below. However, Equity-to-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Principal Financial Group's current Equity-to-Asset of 0.03 is 96.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Equity-to-Asset mean?
A high Equity-to-Asset can signal that a stock is expensive relative to its fundamentals. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on Principal Financial Group and its competitors. For the Asset Management industry, the median Equity-to-Asset is 0.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Principal Financial Group's current Equity-to-Asset is 0.03, which is 40% below median its own 10-year median of 0.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Principal Financial Group stock overvalued right now?
Based on GuruFocus' analysis, Principal Financial Group (PFG) is currently considered Modestly Overvalued. The stock's GF Value™ is $92.36, compared to a current price of $114.88 — trading 24.4% above its estimated fair value. The current Equity-to-Asset is 0.03, which is 40% below median its 10-year median of 0.05 and 96.4% below the Asset Management industry median of 0.83. Principal Financial Group's overall GF Score™ is 71/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Equity-to-Asset calculated?
Equity-to-Asset is calculated from a company's financial statements. For Principal Financial Group (PFG), the current Equity-to-Asset is 0.03 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Principal Financial Group (PFG) Overvalued in 2026?
Based on GuruFocus' analysis, Principal Financial Group stock appears to be overvalued.
The current stock price of $114.88 is trading 24.4% above its estimated GF Value™ of $92.36.
GuruFocus considers Principal Financial Group to be Modestly Overvalued.
Key valuation signals for PFG:
Equity-to-Asset: 0.03 (40% below median its 10-year median of 0.05)
GF Value™: $92.36 vs. price of $114.88 (24.4% above fair value)
Industry Position: 96.4% below the Asset Management median (#1594 of 1630)
No single metric tells the full story. See the PFG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Principal Financial Group Inc is a financial services provider. It offers various financial products and services including retirement, asset management, and workplace benefits and protection solutions to individuals and institutional clients. The company, along with its subsidiaries, operates in the following reportable segments; Retirement and Income Solutions, Principal Asset Management, and Benefits and Protection. Maximum revenue is generated from the Retirement and Income Solutions segment which provides workplace savings and retirement solutions, banking, trust and custodial services, individual variable annuities (including RILAs), pension risk transfer, and investment services to businesses, their employees, and other individuals.
71GF Score
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