Prudential shares close lower on Thursday, insurer plans to reshuffle US businesses

According to a July 20th statement by Prudential Financial Inc (PRU), it intends to introduce changes to its businesses in the United States. Five units are to be placed into three business groups, with each group serving particular client needs. The changes are expected to come into force during the last quarter of 2017.

Prudential shares closed lower for the fourth time in the past five trading sessions on Thursday. The stock edged down 0.22% ($0.24) to $111.06, after touching an intraday high at $111.96, or a price level not seen since July 13th ($112.14). In the week ended on July 16th the shares of the life insurer added a mere 0.04% compared to a week ago, which marked their third consecutive period of gains. The stock has pared its advance to 2.70% so far during the current month, following a 3.14% surge in June. The latter has been the stock’s best monthly performance since February, when a 5.17% increase was registered. For the entire past year, the shares of the NYSE-listed insurer rose 27.82%.

The three business groups are to include individual solutions, investment management and workplace solutions.

The individual solutions unit is to encompass Prudentials annuities and individual life insurance businesses. Lori Fouché, the current executive of Prudentials annuity business, is to head the new unit.

At the same time, the investment management unit is to continue with its focus on all businesses under Prudential Financials asset management arm, PGIM. The group is to be headed by PGIMs current executive, David Hunt.

Meanwhile, the workplace solutions unit is to encompass Prudentials retirement and group insurance businesses. Andy Sullivan, the current executive of Prudentials group insurance business, is to head the third unit.

According to CNN Money, the 15 analysts, offering 12-month forecasts regarding Prudential Financial Inc’s stock price, have a median target of $113.00, with a high estimate of $129.00 and a low estimate of $100.00. The median estimate is a 1.75% surge compared to the closing price of $111.06 on July 20th.

The same media also reported that 12 out of 19 surveyed investment analysts had rated Prudential Financial Inc’s stock as “Hold”, while 6 – as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Prudential stock are presented as follows:

R1 – $111.16
R2 – $111.27
R3 (Range Resistance – Sell) – $111.37
R4 (Long Breakout) – $111.68
R5 (Breakout Target 1) – $112.04
R6 (Breakout Target 2) – $112.19

S1 – $110.96
S2 – $110.85
S3 (Range Support – Buy) – $110.75
S4 (Short Breakout) – $110.44
S5 (Breakout Target 1) – $110.08
S6 (Breakout Target 2) – $109.93

By using the traditional method of calculation, the weekly levels of importance for Prudential Financial Inc (PRU) are presented as follows:

Central Pivot Point – $111.15
R1 – $112.40
R2 – $113.38
R3 – $114.63
R4 – $115.87

S1 – $110.17
S2 – $108.92
S3 – $107.94
S4 – $106.95