Core Insights - Aflac Incorporated (AFL) is experiencing growth driven by a strong U.S. business, product launches, and upgrades, along with expanding cash reserves [1] Financial Performance - Aflac currently holds a Zacks Rank 2 (Buy) and has seen its stock price increase by 44.2% over the past year, outperforming the industry growth of 37.1% [2] - The Zacks Consensus Estimate for Aflac's 2024 earnings is $6.73 per share, reflecting an 8% increase from the previous year, with a 2025 estimate of $7.06 per share, indicating a 4.8% growth from 2024 [3] - The earnings estimate for 2024 has been revised upward by 4.5% in the last 30 days [4] - Aflac has outperformed earnings estimates in three of the last four quarters, with an average surprise of 8.24% [5] - The return on equity for Aflac is 16.2%, slightly above the industry average of 16.1%, indicating effective use of shareholders' funds [6] Business Growth Drivers - Aflac's revenue growth is supported by strong sales in its U.S. segment, strategic growth investments, high persistency rates, and improved productivity [7] - The company is actively launching new products and upgrading existing ones to meet customer needs, including a partnership with SKYGEN for dental and vision benefits management and collaboration with Empathy for grief support services [7] - Aflac is integrating digital solutions into its offerings, enhancing operational efficiencies and shifting towards digital sales channels, which is expected to support profit margins [8] Financial Stability - Aflac's cash and cash equivalents increased by 40.7% from the end of 2023, with $1.1 billion generated in operating cash flows in the first half of 2024 [8] - The company's leverage ratio stands at 22.2%, lower than the industry average of 22.5%, indicating a solid financial position [8]

Core Viewpoint - Aflac (NYSE:AFL) has demonstrated strong performance with a total return exceeding 27% since the last buy rating, driven by a growing number of cancer cases globally and a robust financial position that has allowed the company to navigate challenges effectively [2][4]. Financial Performance - Aflac reported Q2 earnings with earnings per share at $1.89, surpassing expectations by $0.29, and reflecting a 15.8% increase from the previous year [5]. - Revenue for the quarter was $5.1 billion, exceeding expectations by $830 million, although it showed a slight year-over-year decrease of 0.6% [5]. - Aflac Japan generated $3.2 billion in revenue for 2023, while Aflac US contributed $1.5 billion, with both segments experiencing increased sales volumes [5]. - Total net earned premiums decreased by 6.6% to $6.7 billion, but this was offset by a 7.9% increase in net investment income, leading to total revenues of $10.57 billion, up from $9.97 billion [6]. - Net earnings increased by 28.8% due to a decrease in benefits and claims, with total benefits and expenses down by 6.2% to $6.38 billion [6]. Investment Portfolio - Aflac's portfolio includes debt investments in middle-market loans and commercial real estate, which have been beneficial in the current high interest rate environment [7][9]. - The loan portfolio has a net book value of approximately $4.4 billion with a yield of 11.05%, focusing on companies with EBITDA below $50 million [9]. - The commercial real estate portfolio has a net book value of $7.2 billion with a yield of 7.7%, diversified across various property types, primarily multifamily properties [12]. Dividend Growth - Aflac has increased its dividend for over 41 consecutive years, with a current yield of 1.8% and a low payout ratio of 28%, indicating strong support for future dividend increases [4][15]. - The dividend has shown a compound annual growth rate (CAGR) of 14.77% over the last three years and 10% over the past decade, making it an attractive option for income-focused investors [15][17]. Market Outlook - The company is well-positioned to benefit from a prolonged high interest rate environment, which supports its income generation from debt investments [11]. - However, potential interest rate cuts could impact net investment income, and the portfolio's exposure to below-investment-grade borrowers may increase vulnerability to defaults [18][19]. - Despite these challenges, Aflac's strong financials and dividend growth potential make it a compelling investment opportunity [20].

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to capitalize on established price movements for profitable trades [1] Company Overview: Aflac (AFL) - Aflac currently holds a Momentum Style Score of B and a Zacks Rank of 2 (Buy), indicating strong potential for outperformance in the market [2][6] - The stock has shown a 1.99% increase over the past week, contrasting with a 0.47% decline in the Zacks Insurance - Accident and Health industry during the same period [3] - Over the past month, Aflac's shares have risen by 8.38%, significantly outperforming the industry's 0.85% [3] Long-term Performance - Aflac's shares have increased by 15.4% over the past quarter and 32.03% over the last year, while the S&P 500 has only moved 2.74% and 21.26%, respectively [4] - The average 20-day trading volume for Aflac is 2,433,990 shares, indicating a bullish trend as the stock rises with above-average volume [4] Earnings Outlook - In the past two months, 7 earnings estimates for Aflac have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $6.46 to $6.73 [5] - For the next fiscal year, 7 estimates have also moved upwards without any declines, suggesting a positive earnings outlook [5]

Investors interested in Finance stocks should always be looking to find the best-performing companies in the group. Has Aflac (AFL) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Finance peers, we might be able to answer that question.Aflac is a member of the Finance sector. This group includes 860 individual stocks and currently holds a Zacks Sector Rank of #1. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Ra ...

Board-certified family medicine physician addresses his social media audience — 25 million strong — to discuss common mistakes young people make with health care and how to fix themCOLUMBUS, Ga., Aug. 12, 2024 /PRNewswire/ -- When it comes to taking care of their health, there are a few simple things that young people may be missing: making and keeping appointments with their primary care physicians, and leaning too heavily on urgent care and the emergency room for their primary care. This, according to Doc ...

Foundry's CIO 100 Award recognizes enterprise excellence and innovation in ITCOLUMBUS, Ga., Aug. 7, 2024 /PRNewswire/ -- Aflac has been selected as a 2024 CIO 100 award winner by Foundry's CIO. For more than 25 years, the CIO 100 Awards have recognized innovative organizations around the world that exemplify the highest level of strategic and operational excellence in IT.Aflac is recognized for its ongoing commitment to improving the ease of doing business by simplifying customer service, empowering agents ...

When investing in the stock market, you don’t need much money to get started. Consistently investing small amounts like $100 per month can be a smart strategy, especially if you focus on high-quality, blue-chip stocks with a history of weathering market storms and delivering compounding returns over the long term.While the current market sell-off may cause short-term losses, these proven businesses have the power to recover and reward patient investors who steadily build positions over time. By spreading ou ...

Aflac's Wellness Matters survey uncovers the prevalent use of urgent care and emergency rooms, barriers to preventive care, and vital aspects of health care for Hispanics and younger generationsCOLUMBUS, Ga., Aug. 5, 2024 /PRNewswire/ -- Many Hispanic Americans are not taking personal charge of their health journeys through preventive care, routine wellness checkups and important screenings that could help detect and support early treatment of serious illnesses. These are some of the findings from the secon ...

Aflac's Wellness Matters Survey reveals 84% of millennials delay health and wellness screenings; Language is a barrier to understanding health care needs for 42% of Hispanic Americans COLUMBUS, Ga., Aug. 5, 2024 /PRNewswire/ -- August is National Wellness Month, a time to emphasize the importance of prioritizing personal health care; yet, the second annual Wellness Matters survey1 released by Aflac, a leading provider of supplemental health insurance in the U.S.,2 shows many Americans are not taking charge ...

Aflac Incorporated (AFL) reported second-quarter 2024 adjusted earnings per share of $1.83, which beat the Zacks Consensus Estimate by 15.1%. Also, the bottom line increased 15.8% year over year.Aflac’s revenues decreased from $5.2 billion in the year-ago quarter to $5.1 billion in the quarter under review. However, the top line beat the consensus mark by 17.4%.The better-than-expected quarterly results were supported by lower benefits and claims, operating expenses and higher investment income, signaling i ...