Northwestern Mutual Wealth Management Co. Takes Position in Aflac Incorporated $AFL

Key Points

• Northwestern Mutual Wealth Management purchased 94,764 Aflac shares worth approximately $11.1 million, while institutional investors collectively own 67.44% of the company.
• Aflac reported mixed quarterly results: revenue of $4.22 billion exceeded estimates, but EPS of $1.75 narrowly missed consensus and revenue declined 1% year over year.
• Aflac declared a quarterly dividend of $0.61 per share, equivalent to a 2.1% yield and a $2.44 annualized payout. Analysts remain cautious overall, assigning the stock a consensus “Hold” rating and an average price target of $116.62.

Northwestern Mutual Wealth Management Co. purchased a new position in shares of Aflac Incorporated (NYSE:AFL - Free Report) during the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm purchased 94,764 shares of the financial services provider's stock, valued at approximately $11,111,000.

Several other hedge funds and other institutional investors have also bought and sold shares of AFL. Vanguard Group Inc. lifted its stake in shares of Aflac by 13.4% during the 4th quarter. Vanguard Group Inc. now owns 57,142,072 shares of the financial services provider's stock valued at $6,301,056,000 after buying an additional 6,759,169 shares in the last quarter. BlackRock Inc. bought a new position in shares of Aflac in the second quarter worth $4,093,787,000. Dimensional Fund Advisors LP boosted its holdings in shares of Aflac by 1.5% in 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 acquiring an additional 67,650 shares during the period. Norges Bank purchased a new position in shares of Aflac in the fourth quarter valued at $420,078,000. Finally, Amundi raised its stake in shares of Aflac by 22.6% during the 1st quarter. Amundi now owns 3,268,209 shares of the financial services provider's stock valued at $358,555,000 after purchasing an additional 603,426 shares during the period. Hedge funds and other institutional investors own 67.44% of the company's stock.

Aflac Price Performance

Shares of NYSE:AFL opened at $116.12 on Friday. 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 stock has a market cap of $58.22 billion, a PE ratio of 12.45, a PEG ratio of 1.87 and a beta of 0.60. The company's fifty day moving average is $121.55 and its 200 day moving average is $116.12. Aflac Incorporated has a 52 week low of $104.66 and a 52 week high of $130.22.

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). Aflac had a net margin of 26.91% and a return on equity of 13.27%. The business had revenue of $4.22 billion for the quarter, compared to analysts' expectations of $4.11 billion. During the same quarter in the previous year, the company earned $1.78 earnings per share. The business's quarterly revenue was down 1.0% on a year-over-year basis. Research analysts anticipate that Aflac Incorporated will post 7.04 earnings per share for the current year.

Aflac Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Wednesday, August 19th will be issued a dividend of $0.61 per share. The ex-dividend date is Wednesday, August 19th. This represents a $2.44 annualized dividend and a yield of 2.1%. Aflac's dividend payout ratio is currently 26.15%.

Insider Transactions at Aflac

In related news, major shareholder Post Holdings Co. Ltd. Japan sold 63,000 shares of the firm's stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $118.12, for a total transaction of $7,441,560.00. Following the transaction, the insider directly owned 51,169,435 shares in the company, valued at $6,044,133,662.20. This trade represents a 0.12% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 497,625 shares of company stock worth $58,356,483. 0.80% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

AFL has been the subject of a number of recent analyst reports. Jefferies Financial Group reaffirmed a "hold" rating and set a $108.00 target price (up from $100.00) on shares of Aflac in a report on Friday, July 10th. Piper Sandler reaffirmed an "overweight" rating and set a $138.00 target price (up from $130.00) on shares of Aflac in a report on Monday, August 10th. Keefe, Bruyette & Woods increased their target price on shares of Aflac from $120.00 to $125.00 and gave the stock a "market perform" rating in a research note on Tuesday, August 11th. Barclays restated an "underweight" rating and set a $99.00 price target (up from $98.00) on shares of Aflac in a research report on Friday, August 7th. Finally, Wells Fargo & Company set a $122.00 price target on shares of Aflac and gave the stock an "equal weight" rating in a report on Wednesday. Two analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, seven have given a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, Aflac has an average rating of "Hold" and a consensus target price of $116.62.

More Aflac News

Here are the key news stories impacting Aflac this week:

• Positive Sentiment: Aflac’s quarterly dividend is $0.61 per share, or $2.44 annualized, providing a yield of roughly 2.1%. The company has a long record of dividend growth and a relatively low payout ratio of about 26%, supporting its appeal as a defensive income stock.
• Neutral Sentiment: Recent earnings were mixed: quarterly revenue of $4.22 billion exceeded analyst expectations of $4.11 billion, but earnings per share of $1.75 narrowly missed the $1.76 consensus. Revenue declined 1% year over year and EPS fell from $1.78 in the prior-year quarter, limiting fundamental momentum.
• Neutral Sentiment: Wall Street’s overall view remains cautious, with a consensus rating of “Hold” and an average price target near $116.62. Some analysts remain constructive, including Piper Sandler with a $138 target, while others maintain neutral or underweight ratings.
• Negative Sentiment: Wolfe Research initiated coverage with an “underperform” rating and a $103 price target, implying meaningful downside from recent trading levels. The call adds to existing concerns from Barclays and JPMorgan, which also have cautious ratings or targets. Wolfe Research Starts Aflac at Underperform
• Negative Sentiment: Japan Post Holdings, Aflac’s major shareholder, sold another 12,700 shares on August 19 for approximately $1.49 million, following sales of 14,200 shares on August 18 and 13,900 shares on August 17. The transactions were conducted under a pre-arranged Rule 10b5-1 plan and represent only a small reduction in its stake, but the repeated selling may weigh on investor sentiment. Aflac SEC Insider Filing

About Aflac

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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