Ticker: PRU, Buy below $100.
Prudential Financial a Fortune 500 company providing insurance, financial management and other financial products.
Why I Would Buy
1. Cheap – Prudential’s stock is currently selling for < 6x earnings.
2. Strong Buy rating – Sports a 5 star buy rating from S&P
3. Low Payout Ratio – The dividend is a respectable 3%, with a payout ratio below 30%.
4. Good Credit Ratings – Long term debt of the company is rated investment grade by all three rating agencies.
What Could Go Wrong
1. Uneven Performance – During the past decade, Prudential has had 2 years of negative earnings.
Disclosure: I am long PRU, please read additional disclosures here before taking any action based on this post.