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Principal Financial GroupPFG +0.75%70 5-Year Yield-on-Cost % is 3.76 as of Jul. 19, 2026, which is 19% below its 10-year median of 4.63. GuruFocus rates PFG with a GF Score™ of 70/100 and a GF Value™ of $91.08 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 1,116 Asset Management companies, Principal Financial Group ranks worse than 72.31% on this metric.
The historical rank and industry rank for Principal Financial Group's 5-Year Yield-on-Cost % or its related term are showing as below:
PFG'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 3.35 Med: 4.63 Max: 11.42
Current: 3.76
During the past 13 years, Principal Financial Group's highest Yield on Cost was 11.42. The lowest was 3.35. And the median was 4.63.
PFG's 5-Year Yield-on-Cost % is ranked worse than 72.31% of 1116
companies
in the Asset Management industry
Industry Median: 6.45
vs PFG: 3.76
Principal Financial Group (NAS:PFG) 5-Year Yield-on-Cost % Explanation
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Principal Financial Group 5-Year Yield-on-Cost % Related Terms
PFG vs TROW, ARES, RJF: 5-Year Yield-on-Cost % Comparison
For the Asset Management subindustry, Principal Financial Group's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Principal Financial Group's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Principal Financial Group's 5-Year Yield-on-Cost % falls into.
Principal Financial Group 5-Year Yield-on-Cost % Calculation
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Principal Financial Group (PFG) has a 5-Year Yield-on-Cost % of 3.76 as of Jul. 19, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Principal Financial Group and its competitors. This is 19% below median its historical median of 4.63. Over the past decade, Principal Financial Group's 5-Year Yield-on-Cost % has ranged from 3.35 to 11.42. According to the industry distribution chart, Principal Financial Group ranks #807 out of 1116 companies in the Asset Management industry, placing it in the top 72.3%.
Is Principal Financial Group's 5-Year Yield-on-Cost % too high?
Principal Financial Group's current 5-Year Yield-on-Cost % of 3.76 is 19% below median its 10-year median of 4.63. Over the past 10 years, this metric has ranged from a low of 3.35 to a high of 11.42. The Asset Management industry median 5-Year Yield-on-Cost % is 6.45. Principal Financial Group's value of 3.76 is 41.7% below this industry median. Based on the distribution chart, Principal Financial Group ranks #807 out of 1116 companies in the Asset Management industry, which is below the industry midpoint. Overall, Principal Financial Group has a GF Score™ of 70/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Principal Financial Group's 5-Year Yield-on-Cost % compare to TROW and ARES?
According to the Asset Management industry distribution chart, Principal Financial Group ranks #807 out of 1116 companies for 5-Year Yield-on-Cost %. This places Principal Financial Group in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 6.45. Principal Financial Group's value of 3.76 is 41.7% below this benchmark. Historically, Principal Financial Group's own 5-Year Yield-on-Cost % has ranged from 3.35 to 11.42 over the past decade. While the company's 10-year median is 4.63 vs. the industry median of 6.45, 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 5-Year Yield-on-Cost % for an Asset Management company?
The median 5-Year Yield-on-Cost % among Asset Management companies is 6.45, based on 1,116 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Principal Financial Group's current 5-Year Yield-on-Cost % of 3.76 is 41.7% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Principal Financial Group and its competitors. For the Asset Management industry, the median 5-Year Yield-on-Cost % is 6.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Principal Financial Group's current 5-Year Yield-on-Cost % is 3.76, which is 19% below median its own 10-year median of 4.63. 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 $91.08, compared to a current price of $113.91 — trading 25.1% above its estimated fair value. The current 5-Year Yield-on-Cost % is 3.76, which is 19% below median its 10-year median of 4.63 and 41.7% below the Asset Management industry median of 6.45. Principal Financial Group's overall GF Score™ is 70/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Principal Financial Group (PFG), the current 5-Year Yield-on-Cost % is 3.76 as of Jul. 19, 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 $113.91 is trading 25.1% above its estimated GF Value™ of $91.08.
GuruFocus considers Principal Financial Group to be Modestly Overvalued.
Key valuation signals for PFG:
5-Year Yield-on-Cost %: 3.76 (19% below median its 10-year median of 4.63)
GF Value™: $91.08 vs. price of $113.91 (25.1% above fair value)
Industry Position: 41.7% below the Asset Management median (#807 of 1116)
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.
70GF Score
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