PRU.L - Prudential plc

LSE - LSE Delayed price. Currency in GBp
1,303.50
-8.00 (-0.61%)
As of 1:45PM GMT. Market open.
Stock chart is not supported by your current browser
Previous close1,311.50
Open1,311.50
Bid1,303.00 x 0
Ask1,304.00 x 0
Day's range1,293.50 - 1,320.00
52-week range12.37 - 1,795.00
Volume1,565,039
Avg. volume7,360,008
Market cap33.89B
Beta (3Y monthly)1.05
PE ratio (TTM)10.55
EPS (TTM)123.50
Earnings date14 Aug 2019
Forward dividend & yield0.50 (3.83%)
Ex-dividend date2019-08-22
1y target est2,079.18
  • Common Sense Wins in India Bankruptcy Case
    Bloomberg

    Common Sense Wins in India Bankruptcy Case

    (Bloomberg Opinion) -- Two- and-a-half years after the Indian central bank took the highly unusual step of directing banks to put 12 large corporate debtors into bankruptcy, the most closely watched of the “distressed dozen” cases has finally been resolved.With the Supreme Court in New Delhi clearing the decks for the sale of Essar Steel India Ltd., the Ruia family has accepted defeat. Control of the 10 million-tons-a-year integrated plant in western India will pass to ArcelorMittal, which will pay banks 420 billion rupees ($5.9 billion), or 90% of their claims.This final episode of a drawn-out legal saga, in which the Ruias made multiple attempts to hold on to their prized asset, was a nail-biter. At the last moment, the bankruptcy tribunal’s appellate authority had inexplicably jumped into the fray and ordered that more of ArcelorMittal’s money be given out to unsecured operational creditors and less to secured financial lenders.India’s $200-billion-plus bad debt mess is starting to attract serious global capital from pension and sovereign funds. Had expected recovery rates of 90% shriveled to 60%, private equity funds assembling this stock of patient money to take over secured lenders’ exposure would have fled. Thankfully, the court restored the power of the creditors’ committee to decide who gets what.It’s been a costly delay. When the Reserve Bank of India referred large cases to new bankruptcy tribunals, it was hoping to solve 25% of the country’s bad-loan problem in 270 days. There was interest among potential buyers, particularly for steel plants, because global metals demand was stabilizing. But with missed deadlines, lengthy litigation and suspected fraud holding back asset sales, liquidation has emerged as the default option, with only 15% of closed insolvency cases ending in a resolution plan. A lot has changed in India’s corporate distress landscape between 2016, when India promulgated its bankruptcy law, and now. For one thing, global demand for steel — and steel assets — is starting to sag. That isn’t all. With practically all sectors of India’s economy facing a demand funk, there’s trouble everywhere from real estate and roads to power and telecom.Each industry comes with its own unique challenges. In residential real estate, it’s the homeowners’ interest that makes creditor coordination difficult. In telecom, the difficulty comes from exorbitant government demands for spectrum fees. The danger of a voluntary bankruptcy filing by Vodafone Idea Ltd. has everyone from investors to the government worried. The mobile operator posted a $7.1 billion quarterly loss, the worst in India’s corporate history. A new complexity is that creditor institutions themselves — from shadow lenders to small deposit-taking banks — are becoming insolvent, prompting India to extend the bankruptcy law to nonbank lenders as well. This quick fix would further weigh on a system creaking under its case load. A steel plant can preserve value through a lengthy in-court bankruptcy by utilizing its fixed capacity. A lender has to continuously make new loans to stay in business. Without the trust of the financial markets, its enterprise value very rapidly falls to zero. Early liquidation is the best possible outcome for an insolvent lender’s creditors seeking to extract value, but it’s also the scenario that poses the biggest risk to stability of the existing financial system.The current law can’t solve this dichotomy. Rather than overburdening it, India must keep the bankruptcy tribunal focused on what it can actually handle. A recent example of overreach is the start of an insolvency petition against Aviva Plc’s local life insurance joint venture for not paying its landlord. Such things used to happen in Indonesia, where a Jakarta commercial court declared Canadian insurance firm Manulife Financial Corp.'s Indonesian unit bankrupt in 2002, and followed it up two years later by holding Prudential Plc’s local business insolvent. A higher court had to reverse those rulings. By setting right the balance between secured and unsecured lenders, the Essar judgment has scored a win above all for common sense. The verdict will rekindle hope in the integrity of India’s bankruptcy process, but it will take a lot more work to allay concerns about its effectiveness.To contact the author of this story: Andy Mukherjee at amukherjee@bloomberg.netTo contact the editor responsible for this story: Patrick McDowell at pmcdowell10@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andy Mukherjee is a Bloomberg Opinion columnist covering industrial companies and financial services. He previously was a columnist for Reuters Breakingviews. He has also worked for the Straits Times, ET NOW and Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Reuters - UK Focus

    UPDATE 2-Miners, Burberry drop as trade fears knock FTSE

    Falls for mining stocks and a 4% drop in Asia-exposed luxury brand Burberry led London's FTSE 100 lower on Friday, as doubts about a U.S.-China trade deal halted a five-day winning streak for European markets. The main index was down 0.6%, while the FTSE 250 , which hit a three-week high on Thursday after two Bank of England policymakers unexpectedly voted for lower interest rates, shed 0.5%.

  • Reuters - UK Focus

    UPDATE 1-Phoenix to appoint Aviva exec as CEO Bannister steps down

    Insurer Phoenix Group Holdings Plc Chief Executive Officer Clive Bannister will retire next March after nine years in charge, and will be replaced by former Aviva Plc executive Andy Briggs, the company said on Friday. Briggs will join Phoenix as CEO-designate and board member on Jan. 1, 2020 and will be tasked with continuing the insurer's growth, led by the takeover of many closed pension schemes from UK companies anxious to offload the long-term risks. Bannister has steered the FTSE 100 company through a number of acquisitions, including the buyout of Standard Life Assurance last year.

  • Reuters - UK Focus

    Bank of England tells insurers to check capital as U.S. risks grow

    The Bank of England warned on Tuesday it will crack down on insurers that are overly optimistic about how much capital they need to cover growing risks from the United States and elsewhere. Gareth Truran, acting director for insurance supervision at the Bank's Prudential Regulation Authority, said the risk of reserving "deficiencies" was increasing in a sector that may be "optimistic" about its outlook. "For Lloyd's managing agents, we will continue to work closely with Lloyd's, taking into account in particular the work of Lloyd's Performance Management Directorate in approving and monitoring syndicate business plans," Truran said.

  • Over 50 and saving for retirement? I think you’ll love these dividend stocks
    Fool.co.uk

    Over 50 and saving for retirement? I think you’ll love these dividend stocks

    Looking to boost your wealth in the lead up to retirement? Edward Sheldon says he's found the perfect stocks.

  • Reuters - UK Focus

    UPDATE 2-FTSE hits one-month high on U.S.-China trade deal hopes

    London's FTSE 100 surged nearly 1% to a more than one-month high on Monday as heavyweight banks, miners and oil stocks were driven higher by hopes of a trade deal between the United States and China. The FTSE 100 added 0.9%, its best day in almost two weeks, boosted by BP and Shell as well as Asia-focussed HSBC and Prudential. Updates on Sino-U.S. trade talks have been a major source of volatility for the FTSE 100 this year.

  • Why I wouldn’t sell the MNG share price to buy more Prudential yet!
    Fool.co.uk

    Why I wouldn’t sell the MNG share price to buy more Prudential yet!

    G A Chester explains why it could pay Prudential investors to hang on to their M&G shares for 18 months.

  • I think this FTSE 100 dividend stock’s too cheap for ISA investors to miss!
    Fool.co.uk

    I think this FTSE 100 dividend stock’s too cheap for ISA investors to miss!

    Looking for bargains on the FTSE 100? This particular income hero is a terrific buy for any Stocks and Shares ISA, says Royston Wild.

  • Read This Before You Buy Prudential plc (LON:PRU) Because Of Its P/E Ratio
    Simply Wall St.

    Read This Before You Buy Prudential plc (LON:PRU) Because Of Its P/E Ratio

    Today, we'll introduce the concept of the P/E ratio for those who are learning about investing. We'll show how you can...

  • I’d buy these 2 FTSE 100 dividend growth stocks to access the world’s fastest-growing market
    Fool.co.uk

    I’d buy these 2 FTSE 100 dividend growth stocks to access the world’s fastest-growing market

    Harvey Jones picks out two FTSE 100 (INDEXFTSE:UKX) stocks give you direct exposure to action in Asia.

  • Former Prudential fund management and UK arm valued at £5.7bn
    The Guardian

    Former Prudential fund management and UK arm valued at £5.7bn

    The closing share price gives M&G a market value big enough to be eligible for the FTSE 100. Photograph: Chris J Ratcliffe/Getty ImagesThe fund management and UK arm of Prudential has been valued at £5.7bn on its first day of trading on the London Stock Exchange, following a demerger from the 171-year-old insurance group.M&G formally became a separate listed firm on Monday, focusing on what were Prudential’s UK and Europe operations. Prudential will now focus on the US, Africa and Asia.Shares in M&G closed the day slightly below the 220p opening price at 218p, giving it a market value big enough to be eligible for the FTSE 100 index.The decision to split Prudential, which was founded in 1848, was first announced last year, and came after the group combined its UK life insurance arm with its fund management division in 2017.M&G made its market debut with £341bn in assets under management, and with 6,331 staff worldwide. The company serves about 5.5 million retail customers and 800 institutional clients through 20 global office operating across 28 markets.Sign up to the daily Business Today email or follow Guardian Business on Twitter at @BusinessDeskBoth Prudential and M&G remain headquartered in London.The chief executive of M&G, John Foley, said the split was a significant milestone for his company.He said: “Our independence and unique business mix means we are well-positioned to benefit from long-term economic and social trends that offer growth opportunities for many years to come.”

  • Reuters - UK Focus

    LIVE MARKETS-Closing snapshot: Brexit bliss

    * European shares close higher * Wall Street rises * Pound stable after Brexit vote denied * FTSE 100 and FTSE 250 lock gains Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net CLOSING SNAPSHOT: BREXIT BLISS (1550 GMT) Markets seem to have found some kind of serenity in the belief that whatever happens with Brexit, it won't be a chaotic exit anytime soon which makes it somehow all is good. Here's your closing snapshot: (Julien Ponthus) ***** NO BREXIT VOTE: THE BIG MOMENT THAT WASN'T (1515 GMT) This was supposed to be one of the highlight of the trading session, an intra day cliff-hanger of sorts but it ended out to be, well, nothing really.

  • Reuters - UK Focus

    LIVE MARKETS-No Brexit vote: The big moment that wasn't

    * European shares higher * Wall Street opens higher * Pound edges stable after Brexit vote denied Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Speaker Bercow denied Johnson a meaningful vote on his Brexit deal and the pound barely budged, hovering quite comfortably close to the $1.30 benchmark as if not much happened. The assumption of course is that Bercow's decision was expected, priced in and that real price action will come tomorrow when the Brexit deal continues its legislative path with opponents plotting to wreck with amendments.

  • Reuters - UK Focus

    LIVE MARKETS-Fiscal stimulus: Be careful what you wish for

    * European shares higher * Wall Street opens higher * Pound edges stable after Brexit vote denied Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. The spat between the U.S. and China has been the single biggest source of uncertainty for the global economy over the past 18 months, says Morgan Stanley.

  • Here’s why the Prudential share price is down 10% today
    Fool.co.uk

    Here’s why the Prudential share price is down 10% today

    Roland head explains the Prudential-M&G split and gives his verdict on each stock.

  • Reuters - UK Focus

    LIVE MARKETS-What is keeping global investors awake? (tip: it isn't Brexit)

    * European shares higher * Wall Street opens higher * Pound edges as Brexit vote looms Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. The spat between the U.S. and China has been the single biggest source of uncertainty for the global economy over the past 18 months, says Morgan Stanley. Despite the efforts of 20 central banks across the world to take a central stage on the growth outlook scene with more accommodating monetary policy, trade tensions will determine if the global economy can recorver from 1Q20, adds Morgan Stanley.

  • Reuters - UK Focus

    LIVE MARKETS-Brexit: Welcome to Groundhog Year

    * European shares higher in morning trading * Pound edges as Brexit vote looms * U.S. futures trade on the upside Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net BREXIT: WELCOME TO GROUNDHOG YEAR (1139 GMT) Pound's up, FTSE's up, FTSE 250's up: all is hunky dory as we wait to see whether we'll get a meaningful Brexit vote this afternoon. There is indeed fresh speculation of another extension deadline to February or even June 2020 should Boris Johnson not have his way.

  • Reuters - UK Focus

    LIVE MARKETS-A big problem with 2020 forecasts

    * European shares higher in morning trading * Pound edges as Brexit vote looms * U.S. futures trade on the upside Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net A BIG PROBLEM WITH 2020 FORECASTS (1056 GMT) The unfolding Brexit saga may have given investors reasons to cheer about (chances of a no deal Brexit have really slimmed down) but European earnings are likely to provide food for thought on the state of the region's economy.

  • Reuters

    FTSE debutant M&G still in shadow of glitzier Prudential

    Shares in UK and Europe-focused asset manager and insurer M&G fell slightly on its first day of trading after being demerged from Asia-focused Prudential , which soared to the top of Britain's top share index. Faced with tougher European capital and solvency rules after the financial crisis, many insurers have looked to simplify their operations by breaking up, among them Standard Life Aberdeen and Old Mutual . "The Board believes the demerger will help Prudential and M&G to become more closely aligned to the interests of their customers and shareholders," Prudential Chairman Paul Manduca said.

  • Reuters - UK Focus

    UPDATE 2-UK stocks hold firm as no-deal Brexit fears fade

    UK midcaps closed the session with modest gains on Monday on hopes that a no-deal Brexit will be avoided, even though uncertainties persisted as lawmakers forced Prime Minister Boris Johnson to seek another extension from the European Union. The domestically focused FTSE 250 added 0.4% on Monday, while the exporter-heavy FTSE 100 edged 0.2% higher, lagging its European counterpart as the pound strengthened.

  • Prudential demerger: here’s what you need to know
    Fool.co.uk

    Prudential demerger: here’s what you need to know

    The Prudential demerger will take place on October 21. Here are answers to questions you may have.

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