0.59%
5.13%
-1.67%
13.52%
26.27%
72.32%
104.09%
AI Spotlight on AFL
Company Description
Aflac Incorporated, through its subsidiaries, provides supplemental health and life insurance products.It operates through two segments, Aflac Japan and Aflac U.S. The Aflac Japan segment offers cancer, medical, nursing care income support, GIFT, and whole and term life insurance products, as well as WAYS and child endowment plans under saving type insurance products in Japan.The Aflac U.S. segment provides cancer, accident, short-term disability, critical illness, hospital indemnity, dental, vision, long-term care and disability, and term and whole life insurance products in the United States.
It sells its products through sales associates, brokers, independent corporate agencies, individual agencies, and affiliated corporate agencies.The company was founded in 1955 and is based in Columbus, Georgia.
Market Data
| Last Price | 108.25 |
| Change Percentage | 0.59% |
| Open | 108.52 |
| Previous Close | 107.62 |
| Market Cap ( Millions) | 60136 |
| Volume | 1237114 |
| Year High | 115.5 |
| Year Low | 75.08 |
| M A 50 | 106.16 |
| M A 200 | 100.12 |
Financial Ratios
| FCF Yield | 5.33% |
| Dividend Yield | 1.85% |
| ROE | 15.81% |
| Debt / Equity | 32.13% |
| Net Debt / EBIDTA | 702.08% |
| Price To Book | 2.43 |
| Price Earnings Ratio | 15.86 |
| Price To FCF | 18.75 |
| Price To sales | 3.48 |
| EV / EBITDA | 185.47 |
News
- Jan -16 - Aflac Teams Up with SCAD Students to Create New TV Spot Through Innovative Agency Internship
- Jan -08 - Aflac's Shares Are Overvalued
- Jan -07 - Aflac Incorporated to Release Fourth Quarter Results and CFO Video Update on February 5, 2025 and Host Webcast on February 6, 2025
- Jan -03 - All 12 Dividend Aristocrats That Raised Their Dividends 10% or More in 2024
- Jan -02 - 4 Top Dividend Stocks to Buy in January
- Dec -30 - Aflac Stock Gains 16.1% in 6 Months: What Should Investors Do Now?
- Dec -26 - 4 Accident & Health Insurance Stocks to Watch as Exposure Increases
- Dec -03 - Aflac Approves a 16% Dividend Hike, Boosts Shareholder Value
- Dec -02 - Aflac Incorporated Announces 16.0% Increase in the First Quarter 2025 Dividend
- Nov -29 - Here's Why Investors Should Add Aflac Stock to Their Portfolio Now
- Nov -21 - My Special Aflac Duck® lands in the Sacramento Valley
- Nov -21 - Aflac Incorporated to Webcast 2024 Financial Analysts Briefing
- Nov -21 - Aflac (AFL) Upgraded to Buy: Here's Why
- Nov -12 - American workforce burnout reaches tipping point
- Nov -11 - Aflac hires JR Shamley as senior vice president, National Account Business Development and Growth Solutions
- Nov -05 - Down -6.55% in 4 Weeks, Here's Why Aflac (AFL) Looks Ripe for a Turnaround
- Nov -02 - Insurer Aflac Quacks Away At Policy Growth And Low Debt Risk
- Oct -31 - Aflac Q3 Earnings Top Estimates on Lower Benefits & Expenses
- Oct -31 - 3 Insurance Stocks Making Moves After Earnings
- Oct -31 - Aflac Incorporated (AFL) Q3 2024 Earnings Call Transcript
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Aflac Japan
Expected Growth : 4.85 %
What the company do ?
Aflac Japan is a subsidiary of Aflac Incorporated, providing supplemental insurance products to individuals and groups in Japan, offering financial protection and peace of mind.
Why we expect these perspectives ?
Aflac Japan's 4.85% growth is driven by increasing demand for supplemental insurance, a growing middle class, and a aging population. Strong brand recognition, strategic partnerships, and effective distribution channels also contribute to growth. Additionally, Aflac Japan's focus on cancer and medical insurance products, which are in high demand, further supports its growth momentum.
Segment n°2 -> Aflac United States
Expected Growth : 4.78 %
What the company do ?
Aflac United States is a leading provider of supplemental insurance products, offering accident, disability, and life insurance to individuals and groups through its network of independent agents and brokers.
Why we expect these perspectives ?
Aflac United States' 4.78% growth is driven by increasing demand for supplemental insurance products, expansion of distribution channels, and strategic partnerships. Additionally, the company's focus on digital transformation, enhanced customer experience, and cost savings initiatives have contributed to its growth momentum.
Segment n°3 -> Reconciling Items
Expected Growth : 4.65 %
What the company do ?
Reconciling Items from Aflac Incorporated refers to the differences between the company's reported financial statements and the actual financial records, requiring adjustments to reconcile the two.
Why we expect these perspectives ?
Aflac Incorporated's 4.65% growth is driven by increasing demand for supplemental insurance products, expansion in the Japanese market, and a growing presence in the U.S. Benefits from cost-saving initiatives, favorable investment returns, and a strong capital position also contribute to this growth.
Segment n°4 -> Corporate and Other
Expected Growth : 4.85 %
What the company do ?
Corporate and Other from Aflac Incorporated refers to the company's headquarters and other non-insurance operations, including investments and eliminations.
Why we expect these perspectives ?
Aflac's Corporate and Other segment growth of 4.85% is driven by increased capital management, disciplined expense management, and a strong balance sheet. Additionally, the company's strategic investments in digital transformation and customer experience enhancements have contributed to this growth. Furthermore, Aflac's diversified revenue streams and effective risk management practices have also supported this segment's expansion.
Aflac Incorporated Products
| Product Range | What is it ? |
|---|---|
| Supplemental Insurance | Aflac offers supplemental insurance policies that provide additional financial protection to individuals and families in the event of unexpected medical expenses, accidents, or illnesses. |
| Life Insurance | Aflac provides life insurance policies that offer a financial safety net for families in the event of a loved one's passing. |
| Disability Insurance | Aflac's disability insurance policies provide income replacement benefits to individuals who become unable to work due to illness or injury. |
| Hospital Indemnity Insurance | Aflac's hospital indemnity insurance policies provide a cash benefit to help cover unexpected medical expenses related to hospital stays. |
| Accident Insurance | Aflac's accident insurance policies provide a cash benefit to help cover unexpected medical expenses related to accidents. |
| Critical Illness Insurance | Aflac's critical illness insurance policies provide a lump-sum payment to help cover expenses related to a critical illness diagnosis. |
| Vision Insurance | Aflac's vision insurance policies provide coverage for eye exams, glasses, and contact lenses. |
| Dental Insurance | Aflac's dental insurance policies provide coverage for routine dental care, including cleanings, fillings, and extractions. |
Aflac Incorporated's Porter Forces
Threat Of Substitutes
Aflac Incorporated operates in the insurance industry, which has a moderate level of substitutes. While there are many insurance providers, Aflac's supplemental insurance products are designed to fill specific gaps in traditional insurance coverage, making them less substitutable.
Bargaining Power Of Customers
Aflac Incorporated's customers are primarily individuals and businesses seeking supplemental insurance coverage. While customers have some bargaining power, Aflac's strong brand recognition and diverse product offerings limit their ability to negotiate prices or terms.
Bargaining Power Of Suppliers
Aflac Incorporated's suppliers are primarily reinsurance companies and other business partners. Aflac's large size and diversified operations give it significant bargaining power over its suppliers, allowing it to negotiate favorable terms and prices.
Threat Of New Entrants
The insurance industry has significant barriers to entry, including regulatory hurdles, capital requirements, and the need for established distribution networks. These barriers limit the threat of new entrants and give Aflac Incorporated a competitive advantage.
Intensity Of Rivalry
The insurance industry is highly competitive, with many established players vying for market share. Aflac Incorporated faces intense competition from other supplemental insurance providers, which can lead to pricing pressure and marketing expenses.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 24.97% |
| Debt Cost | 3.95% |
| Equity Weight | 75.03% |
| Equity Cost | 8.50% |
| WACC | 7.36% |
| Leverage | 33.28% |
Aflac Incorporated : Quality Control
Aflac Incorporated passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| JXN | Jackson Financial Inc., through its subsidiaries, primarily provides a suite of annuities to retail investors in the United States. The company operates through three segments: Retail Annuities, Institutional Products, and … |
| MFC.TO | Manulife Financial Corporation, together with its subsidiaries, provides financial products and services in Asia, Canada, the United States, and internationally. The company operates through Wealth and Asset Management Businesses; Insurance … |
| PRU | Prudential Financial, Inc., together with its subsidiaries, provides insurance, investment management, and other financial products and services in the United States and internationally. It operates through eight segments: PGIM, Retirement, … |
| MET | MetLife, Inc., a financial services company, provides insurance, annuities, employee benefits, and asset management services worldwide. It operates through five segments: U.S.; Asia; Latin America; Europe, the Middle East and … |
| TFC | Truist Financial Corporation, a holding company, provides banking and trust services in the Southeastern and Mid-Atlantic United States. The company operates through three segments: Consumer Banking and Wealth, Corporate and … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Manulife
A-Score
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Truist
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Jackson Financial
A-Score
1-Year Total Return ->
4
MetLife
A-Score
1-Year Total Return ->
5
Prudential Financial
A-Score
1-Year Total Return ->
6
