Aflac Incorporated (NYSE:AFL) Stock Now Rated "Hold" by Wall Street Brokerages

Key Points

• Analysts collectively rate Aflac “Hold.” Of 14 analysts, seven recommend holding, three recommend selling, two recommend buying, and two give a strong-buy rating; the average 12-month price target is $115.31.
• Aflac reported quarterly EPS of $1.75, slightly below the $1.76 consensus, while revenue of $4.22 billion exceeded estimates. Revenue declined 1% year over year, and analysts expect full-year EPS of approximately $7.04.
• The stock recently traded around $115.83 and pays a quarterly dividend of $0.61, equivalent to a 2.1% yield. Institutional investors own 67.44% of the company, while insiders have sold shares in recent months.

Aflac Incorporated (NYSE:AFL - Get Free Report) has earned an average recommendation of "Hold" from the fourteen analysts that are presently covering the stock, Marketbeat Ratings reports. Three analysts have rated the stock with a sell rating, seven have assigned a hold rating, two have issued a buy rating and two have issued a strong buy rating on the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $115.31.

AFL has been the topic of a number of research reports. UBS Group restated a "neutral" rating and set a $125.00 target price (up from $124.00) on shares of Aflac in a research report on Tuesday, October 6th. Piper Sandler reaffirmed an "overweight" rating and issued a $138.00 target price (up from $130.00) on shares of Aflac in a research note on Monday, August 10th. JPMorgan Chase & Co. lowered their price target on shares of Aflac from $117.00 to $116.00 and set a "neutral" rating for the company in a research report on Tuesday, August 11th. Wells Fargo & Company dropped their price target on shares of Aflac from $122.00 to $116.00 and set an "equal weight" rating for the company in a research note on Monday. Finally, Jefferies Financial Group reissued a "hold" rating and set a $108.00 price target (up from $100.00) on shares of Aflac in a research note on Friday, July 10th.

Insider Buying and Selling at Aflac

In other news, major shareholder Post Holdings Co. Ltd. Japan sold 20,000 shares of the firm's stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $118.49, for a total value of $2,369,800.00. Following the transaction, the insider directly owned 50,667,690 shares in the company, valued at $6,003,614,588.10. This trade represents a 0.04% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 465,851 shares of company stock valued at $54,213,397. Corporate insiders own 0.80% of the company's stock.

Hedge Funds Weigh In On Aflac

Several hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. bought a new position in Aflac during the second quarter worth about $4,093,787,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in Aflac by 27.8% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 5,201,217 shares of the financial services provider's stock worth $609,843,000 after buying an additional 1,132,091 shares during the last quarter. Dimensional Fund Advisors LP increased its position in Aflac by 1.5% during the first quarter. Dimensional Fund Advisors LP now owns 4,550,855 shares of the financial services provider's stock worth $499,216,000 after buying an additional 67,650 shares during the last quarter. Legal & General Group Plc acquired a new position in Aflac during the second quarter worth approximately $404,639,000. Finally, Amundi raised its stake in Aflac by 22.6% in the first quarter. Amundi now owns 3,268,209 shares of the financial services provider's stock valued at $358,555,000 after buying an additional 603,426 shares during the period. Institutional investors and hedge funds own 67.44% of the company's stock.

Aflac Trading Up 1.1%

AFL stock opened at $115.83 on Tuesday. The company has a market cap of $58.07 billion, a P/E ratio of 12.42, a PEG ratio of 1.85 and a beta of 0.56. Aflac has a twelve month low of $105.43 and a twelve month high of $130.22. The company has a quick ratio of 0.12, a current ratio of 0.12 and a debt-to-equity ratio of 0.29. The business has a fifty day moving average of $116.95 and a 200-day moving average of $116.97.

Aflac (NYSE:AFL - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The financial services provider reported $1.75 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.76 by ($0.01). The firm had revenue of $4.22 billion during the quarter, compared to the consensus estimate of $4.11 billion. Aflac had a net margin of 26.91% and a return on equity of 13.27%. Aflac's revenue was down 1.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.78 EPS. As a group, equities research analysts expect that Aflac will post 7.04 EPS for the current year.

Aflac Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Wednesday, August 19th were paid a $0.61 dividend. The ex-dividend date of this dividend was Wednesday, August 19th. This represents a $2.44 dividend on an annualized basis and a dividend yield of 2.1%. Aflac's dividend payout ratio is 26.15%.

Key Headlines Impacting Aflac

Here are the key news stories impacting Aflac this week:

• Neutral Sentiment: KBW reaffirmed its “Hold” rating on Aflac, signaling that the firm sees limited near-term reasons to materially change its view of the insurer. KBW Reaffirms Their Hold Rating on AFLAC
• Neutral Sentiment: Aflac was reported trading at approximately €102.45 in premarket activity. The indication provides limited insight into U.S. trading because of currency and market differences. Aflac Stock Premarket
• Negative Sentiment: Wells Fargo lowered its Aflac price target to $116 from $122 and assigned an “Equal Weight” rating. The revised target implies almost no upside from the referenced share price, suggesting limited expected near-term appreciation. Wells Fargo Adjusts Price Target on Aflac
• Negative Sentiment: Major shareholder Post Holdings Co. Ltd. Japan sold 13,050 shares for approximately $1.48 million. Additional reported sales totaled roughly $1.35 million and $1.48 million, including a preplanned 12,000-share transaction. These trades may weigh on sentiment, although their preplanned nature reduces their significance as a signal about Aflac’s business outlook. Aflac Insider Sale

Aflac Company Profile

Aflac Incorporated NYSE: AFL is an insurance company that provides supplemental health and life insurance products to individuals, employers and groups. Its coverage is designed to help policyholders manage expenses that may not be fully covered by major medical insurance, including costs associated with illness, injury and other qualifying events.

The company's products include accident, cancer, critical illness, hospital indemnity, disability, dental, vision and life insurance. Aflac distributes its policies through workplace benefits programs, independent agents, brokers and other distribution channels.

Founded in 1955 as American Family Life Assurance Company of Columbus, Aflac has its headquarters in Columbus, Georgia.

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