Aflac Incorporated $AFL is Japan Post Holdings Co. Ltd.'s Largest Position

Key Points

• Japan Post Holdings remains Aflac’s largest institutional shareholder, owning about 50.9 million shares, or roughly 10% of Aflac, despite reducing its stake by 2.1% in the second quarter.
• Aflac reported quarterly EPS of $1.75, slightly below the $1.76 consensus, while revenue of $4.22 billion exceeded estimates but declined 1% year over year.
• Aflac declared a quarterly dividend of $0.61 per share, equivalent to an annualized $2.44 dividend and a 2.0% yield; analysts maintain a cautious overall “Hold” view with an average price target of $117.58.

Japan Post Holdings Co. Ltd. lowered its stake in shares of Aflac Incorporated (NYSE:AFL - Free Report) by 2.1% during the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 50,898,490 shares of the financial services provider's stock after selling 1,076,010 shares during the period. Aflac makes up approximately 100.0% of Japan Post Holdings Co. Ltd.'s portfolio, making the stock its biggest holding. Japan Post Holdings Co. Ltd. owned approximately 10.00% of Aflac worth $5,967,848,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in AFL. Whipplewood Advisors LLC acquired a new stake in shares of Aflac during the 1st quarter worth $25,000. Groupe la Francaise acquired a new position in Aflac in the first quarter valued at $25,000. Quarry LP acquired a new position in Aflac in the fourth quarter valued at $25,000. Nalls Sherbakoff Group LLC purchased a new stake in Aflac during the fourth quarter valued at about $29,000. Finally, Evergreen Advisors LLC purchased a new stake in Aflac during the first quarter valued at about $29,000. Institutional investors and hedge funds own 67.44% of the company's stock.

Aflac Trading Down 0.7%

NYSE:AFL opened at $121.04 on Wednesday. The business's 50-day moving average is $121.06 and its two-hundred day moving average is $115.59. The firm has a market capitalization of $61.61 billion, a PE ratio of 12.97, a price-to-earnings-growth ratio of 1.96 and a beta of 0.60. Aflac Incorporated has a 12 month low of $103.51 and a 12 month high of $130.22. The company has a debt-to-equity ratio of 0.29, a current ratio of 0.12 and a quick ratio of 0.11.

Aflac (NYSE:AFL - Get Free Report) last issued its earnings results on Thursday, August 6th. The financial services provider reported $1.75 earnings per share for the quarter, missing the consensus estimate of $1.76 by ($0.01). The company had revenue of $4.22 billion during the quarter, compared to analysts' expectations of $4.11 billion. Aflac had a return on equity of 13.27% and a net margin of 26.91%.Aflac's quarterly revenue was down 1.0% on a year-over-year basis. During the same period in the previous year, the company earned $1.78 EPS. Research analysts predict that Aflac Incorporated will post 7.05 earnings per share for the current fiscal year.

Aflac Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Wednesday, August 19th will be given a dividend of $0.61 per share. This represents a $2.44 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend is Wednesday, August 19th. Aflac's payout ratio is presently 26.15%.

More Aflac News

Here are the key news stories impacting Aflac this week:

• Positive Sentiment: Accident and health insurers, including Aflac, could benefit from increased underwriting exposure and accelerated digitalization as demand for supplemental coverage grows. However, rising medical costs and inflation could limit the benefit through pricing pressure. 4 Accident & Health Insurers to Watch Amid Elevated Healthcare Costs
• Positive Sentiment: Keefe, Bruyette & Woods raised its Aflac price target from $120 to $125 while maintaining a “market perform” rating, suggesting modest upside based on its valuation assessment. Benzinga analyst note
• Neutral Sentiment: Aflac is expanding its support for children with cancer and blood disorders through a social-emotional learning initiative with educator Ron Clark and DonorsChoose. The program may strengthen the company’s brand, but it is unlikely to materially affect near-term earnings. Aflac, Ron Clark and DonorsChoose social-emotional learning initiative
• Neutral Sentiment: News about “AFL Integria,” a Canadian connectivity-services division, concerns a separate fiber-optics company also named AFL and does not relate to Aflac Incorporated or the NYSE:AFL stock. AFL Integria rebrand
• Negative Sentiment: JPMorgan lowered its Aflac price target from $117 to $116 and retained a “neutral” rating, indicating that the bank sees downside from current levels. Benzinga analyst note
• Negative Sentiment: Dowling & Partners reduced its fiscal 2026 EPS estimate to $7.00 from $7.05, adding to concerns about earnings momentum after Aflac’s latest quarterly EPS slightly missed consensus and revenue declined year over year.
• Negative Sentiment: Wall Street’s overall stance remains cautious because Aflac has lagged the broader S&P 500 over the past year, reinforcing investor concerns about limited near-term upside. Aflac Incorporated Stock Outlook

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on the company. Wall Street Zen upgraded Aflac from a "sell" rating to a "hold" rating in a report on Saturday, May 9th. UBS Group reiterated a "neutral" rating and set a $124.00 target price (up from $114.00) on shares of Aflac in a report on Wednesday, July 8th. JPMorgan Chase & Co. dropped their target price on shares of Aflac from $117.00 to $116.00 and set a "neutral" rating for the company in a research report on Tuesday. TD Cowen restated a "hold" rating and issued a $110.00 price target (up from $101.00) on shares of Aflac in a report on Wednesday, July 22nd. Finally, Morgan Stanley lifted their price target on shares of Aflac from $120.00 to $125.00 and gave the company an "equal weight" rating in a research report on Thursday, May 21st. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, seven have issued a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Aflac has an average rating of "Hold" and an average target price of $117.58.

Insider Activity at Aflac

In other news, major shareholder Post Holdings Co. Ltd. Japan sold 63,000 shares of the company's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $118.12, for a total value of $7,441,560.00. Following the completion of the transaction, the insider directly owned 51,169,435 shares in the company, valued at approximately $6,044,133,662.20. This represents a 0.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 671,473 shares of company stock worth $78,644,902 over the last 90 days. Insiders own 0.80% of the company's stock.

Aflac Profile

Aflac Incorporated (American Family Life Assurance Company of Columbus) is a provider of supplemental insurance products designed to help policyholders manage out-of-pocket health care and living expenses. The company underwrites a range of individual and group policies that typically pay cash benefits directly to insureds when covered events occur, enabling greater financial flexibility for medical treatment, hospital stays, critical illness, and related costs. Aflac's product mix includes supplemental health insurance, life insurance and other specialty coverages intended to complement primary medical plans.

Founded in the mid-20th century and headquartered in Columbus, Georgia, Aflac distributes its products through a combination of employer-sponsored programs, independent brokers and agents, and direct marketing.

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