PrudentialXTER:PRU -1.69%62 Net Margin % is 18.03% as of Dec. 2025, which is 240% above its 10-year median of 5.30. GuruFocus rates XTER:PRU with a GF Score™ of 62/100 and a GF Value™ of €15.40 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 501 Insurance companies, Prudential ranks better than 71.26% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Prudential's Net Income for the
six
months ended in Dec. 2025 was €2,301 Mil. Prudential's Revenue for the
six
months ended in Dec. 2025 was €12,762 Mil. Therefore, Prudential's net margin for the quarter that ended in Dec. 2025 was 18.03%.
The historical rank and industry rank for Prudential's Net Margin % or its related term are showing as below:
XTER:PRU'
s Net Margin % Range Over the Past 10 Years
Min: -7.71 Med: 5.3 Max: 14.55
Current: 14.55
XTER:PRU's Net Margin % is ranked better than 71.26% of 501
companies
in the Insurance industry
Industry Median: 9.29
vs XTER:PRU: 14.55
Prudential (XTER:PRU) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Prudential Net Margin % Related Terms
Prudential Net Margin % Historical Data
* Premium members only.
The historical data trend for Prudential's Net Margin % can be seen below:
* 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.
XTER:PRU vs AFL, MET, PRU: Net Margin % Comparison
For the Insurance - Life subindustry, Prudential's Net Margin %, along with its competitors' market caps and Net Margin % 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.
Prudential Net Margin % vs Insurance Industry
For the Insurance industry and Financial Services sector, Prudential's Net Margin % distribution charts can be found below:
* The bar in red indicates where Prudential's Net Margin % falls into.
* 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.
Prudential (XTER:PRU) has a Net Margin % of 18.03% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Prudential and its competitors. This is 240% above median its historical median of 5.30. According to the industry distribution chart, Prudential ranks #144 out of 501 companies in the Insurance industry, placing it in the top 28.7%.
Is Prudential's Net Margin % too high?
Prudential's current Net Margin % of 18.03% is 240% above median its 10-year median of 5.30. The Insurance industry median Net Margin % is 9.29. Prudential's value of 18.03% is 94.1% above this industry median. Based on the distribution chart, Prudential ranks #144 out of 501 companies in the Insurance industry, which is above the industry midpoint. Overall, Prudential has a GF Score™ of 62/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Prudential's Net Margin % compare to AFL and MET?
According to the Insurance industry distribution chart, Prudential ranks #144 out of 501 companies for Net Margin %. This puts Prudential in the upper half of its industry. The industry median Net Margin % is 9.29. Prudential's value of 18.03% is 94.1% above this benchmark. While the company's 10-year median is 5.30 vs. the industry median of 9.29, Prudential has consistently been above 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 Net Margin % for an Insurance company?
The median Net Margin % among Insurance companies is 9.29, based on 501 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Prudential's current Net Margin % of 18.03% is 94.1% above 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Prudential and its competitors. For the Insurance industry, the median Net Margin % is 9.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Prudential's current Net Margin % is 18.03%, which is 240% above median its own 10-year median of 5.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prudential stock overvalued right now?
Based on GuruFocus' analysis, Prudential (XTER:PRU) is currently considered Modestly Undervalued. The stock's GF Value™ is €15.40, compared to a current price of €11.64 — trading 24.4% below its estimated fair value. The current Net Margin % is 18.03%, which is 240% above median its 10-year median of 5.30 and 94.1% above the Insurance industry median of 9.29. Prudential's overall GF Score™ is 62/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Prudential (XTER:PRU), the current Net Margin % is 18.03% as of Dec. 2025. 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 Prudential (XTER:PRU) Overvalued in 2026?
Based on GuruFocus' analysis, Prudential stock appears to be undervalued.
The current stock price of €11.64 is trading 24.4% below its estimated GF Value™ of €15.40.
GuruFocus considers Prudential to be Modestly Undervalued.
Key valuation signals for XTER:PRU:
Net Margin %: 18.03% (240% above median its 10-year median of 5.30)
GF Value™: €15.40 vs. price of €11.64 (24.4% below fair value)
Industry Position: 94.1% above the Insurance median (#144 of 501)
No single metric tells the full story. See the XTER:PRU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Originally established in 1848 as the Prudential Mutual Assurance, Investment, and Loan Association, Prudential has changed a lot since. Set up to sell life insurance and loans to the middle class, the company subsequently diversified into Europe and then North America with the purchase of Jackson National Life around 1985. During its time as owner of Jackson, Prudential focused on building a simple chassis-style product portfolio that allowed customers to choose from a variety of add-ons. The company also became renowned for its focus on building the internal capabilities required to support its strong product offerings, including compelling technology and a large well-trained wholesale salesforce.
62GF Score
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