Growth & Assumptions

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Market & Balance Sheet Data

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Cash Flow Projection

Year2027202820292030203120322033203420352036
Free Cash Flow8,227.5510,794.5514,162.4518,581.1324,378.4427,859.6931,838.0536,384.5241,580.2347,517.89
Terminal Value---------611,792.81
Cumulated PVRunning Sum7,412.2116,173.3126,528.7738,768.7353,236.1568,131.0883,466.1499,254.35115,509.09347,708.09
* Scroll horizontally for more yearsAll figures in USD Millions

Valuation Breakdown

Enterprise Value (EV)$347,708.09
(+) Cash & Investments$40,995
(-) Total Debt$44,292
Equity Value$344,411.09
Shares Outstanding348
Fair Value Per Share$989.69
All figures in USD Millions

Calculated Fair Value

$989.69
Current Price$99.95
Margin of Safety+890.18%
Buy

PRU (PRU) DCF Valuation Analysis

Independent intrinsic value calculation based on latest financial reports.

Potentially Undervalued

Our PRU DCF calculator utilizes a two-stage Discounted Cash Flow model to estimate the true value of PRU stock. As of the most recent quarterly report (12/31/2025), PRU generated $6,271,000,000 in Trailing Twelve Month (TTM) Free Cash Flow.

Key Valuation Metrics for PRU

Forward P/E
6.45
Price to Book
1.07
Margin of Safety
890.2%
Intrinsic Value
$989.69

By discounting PRU's future cash flows using an expected return of 11%, we can determine if the stock is currently trading at a margin of safety. A positive margin of safety suggests that market expectations may be too low relative to the company's historical cash flow productivity.

Final Verdict

For PRU to be considered a fair investment at current levels, it would need to sustain a cash flow growth rate of approximately 31.20% for the next five years. This valuation model accounts for PRU's current cash position of $40,995,000,320 and total debt of $44,292,001,792. With a fair value of $989.69, PRU shows potential upside for long-term investors.

Why use DCF for PRU?

Discounted Cash Flow is widely considered the most accurate method for valuing mature companies like PRU. Using our Free DCF Calculator, you can customize every assumption in this model to see how it affects the intrinsic value.

Based on Owner Earnings (FCF)
Includes Balance Sheet adjustments
Customizable growth assumptions

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