AFLAC INC (AFL.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:AFL - US0010551028 - Common Stock
93.72 EUR
+0.22 (+0.24%)
AFL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 50 industry peers in the Insurance industry. While AFL has a great profitability rating, there are quite some concerns on its financial health. While showing a medium growth rate, AFL is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year AFL was profitable.
AFL had a positive operating cash flow in the past year.
In the past 5 years AFL has always been profitable.
AFL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.41%, AFL is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 14.53%, AFL is in line with its industry, outperforming 50.00% of the companies in the same industry.
AFL has a better Return On Invested Capital (3.81%) than 84.00% of its industry peers.
AFL had an Average Return On Invested Capital over the past 3 years of 3.95%. This is in line with the industry average of 2.66%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 14.53% | ||
| ROIC | 3.81% |
ROA(3y)3.83%
ROA(5y)3.43%
ROE(3y)20.97%
ROE(5y)18.03%
ROIC(3y)3.95%
ROIC(5y)3.48%
1.3 Margins
With an excellent Profit Margin value of 23.55%, AFL belongs to the best of the industry, outperforming 94.00% of the companies in the same industry.
In the last couple of years the Profit Margin of AFL has grown nicely.
With an excellent Operating Margin value of 29.97%, AFL belongs to the best of the industry, outperforming 92.00% of the companies in the same industry.
AFL's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.97% | ||
| PM (TTM) | 23.55% | ||
| GM | N/A |
OM growth 3Y11.49%
OM growth 5Y10.66%
PM growth 3Y13.73%
PM growth 5Y14.22%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AFL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
AFL has less shares outstanding than it did 1 year ago.
AFL has less shares outstanding than it did 5 years ago.
The debt/assets ratio for AFL is higher compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of AFL is 3.34, which is a good value as it means it would take AFL, 3.34 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AFL (3.34) is comparable to the rest of the industry.
AFL has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
AFL's Debt to Equity ratio of 0.30 is fine compared to the rest of the industry. AFL outperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.34 | ||
| Altman-Z | N/A |
ROIC/WACC0.48
WACC7.94%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
AFL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.70%, which is quite good.
Measured over the past years, AFL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.21% on average per year.
Looking at the last year, AFL shows a small growth in Revenue. The Revenue has grown by 2.32% in the last year.
AFL shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.26% yearly.
EPS 1Y (TTM)8.7%
EPS 3Y6.78%
EPS 5Y10.21%
EPS Q2Q%15.28%
Revenue 1Y (TTM)2.32%
Revenue growth 3Y-5.07%
Revenue growth 5Y-3.26%
Sales Q2Q%60.73%
3.2 Future
Based on estimates for the next years, AFL will show a small growth in Earnings Per Share. The EPS will grow by 4.12% on average per year.
AFL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.93% yearly.
EPS Next Y5.15%
EPS Next 2Y1.48%
EPS Next 3Y2.89%
EPS Next 5Y4.12%
Revenue Next Year0.58%
Revenue Next 2Y0.75%
Revenue Next 3Y0.94%
Revenue Next 5Y1.93%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.55 indicates a correct valuation of AFL.
AFL's Price/Earnings ratio is a bit more expensive when compared to the industry. AFL is more expensive than 60.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.28, AFL is valued a bit cheaper.
The Price/Forward Earnings ratio is 14.69, which indicates a correct valuation of AFL.
70.00% of the companies in the same industry are cheaper than AFL, based on the Price/Forward Earnings ratio.
AFL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.55 | ||
| Fwd PE | 14.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AFL is valued a bit cheaper than 70.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AFL is valued a bit more expensive than 68.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.25 | ||
| EV/EBITDA | 9.54 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AFL does not grow enough to justify the current Price/Earnings ratio.
AFL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.83
PEG (5Y)1.42
EPS Next 2Y1.48%
EPS Next 3Y2.89%
5. Dividend
5.1 Amount
AFL has a Yearly Dividend Yield of 2.23%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.38, AFL's dividend is way lower than its industry peers. On top of this 82.00% of the companies listed in the same industry pay a better dividend than AFL!
Compared to an average S&P500 Dividend Yield of 2.31, AFL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
5.2 History
On average, the dividend of AFL grows each year by 13.11%, which is quite nice.
Dividend Growth(5Y)13.11%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
AFL pays out 28.14% of its income as dividend. This is a sustainable payout ratio.
The dividend of AFL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP28.14%
EPS Next 2Y1.48%
EPS Next 3Y2.89%
FRA:AFL (12/9/2025, 7:00:00 PM)
93.72
+0.22 (+0.24%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners58.96%
Inst Owner ChangeN/A
Ins Owners0.81%
Ins Owner ChangeN/A
Market Cap49.12B
Revenue(TTM)17.70B
Net Income(TTM)4.17B
Analysts66.67
Price Target97.4 (3.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
Yearly Dividend1.65
Dividend Growth(5Y)13.11%
DP28.14%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.27%
Min EPS beat(2)3.7%
Max EPS beat(2)38.84%
EPS beat(4)2
Avg EPS beat(4)9.18%
Min EPS beat(4)-4.02%
Max EPS beat(4)38.84%
EPS beat(8)5
Avg EPS beat(8)8.24%
EPS beat(12)9
Avg EPS beat(12)10.33%
EPS beat(16)11
Avg EPS beat(16)8.31%
Revenue beat(2)1
Avg Revenue beat(2)1.13%
Min Revenue beat(2)-4.81%
Max Revenue beat(2)7.07%
Revenue beat(4)2
Avg Revenue beat(4)2.34%
Min Revenue beat(4)-21.36%
Max Revenue beat(4)28.46%
Revenue beat(8)4
Avg Revenue beat(8)0.43%
Revenue beat(12)7
Avg Revenue beat(12)1.66%
Revenue beat(16)11
Avg Revenue beat(16)2.22%
PT rev (1m)0.49%
PT rev (3m)2.64%
EPS NQ rev (1m)0.37%
EPS NQ rev (3m)1.51%
EPS NY rev (1m)9.02%
EPS NY rev (3m)10.05%
Revenue NQ rev (1m)-1.34%
Revenue NQ rev (3m)-1.45%
Revenue NY rev (1m)-2.67%
Revenue NY rev (3m)-2.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.55 | ||
| Fwd PE | 14.69 | ||
| P/S | 3.23 | ||
| P/FCF | 22.25 | ||
| P/OCF | 22.25 | ||
| P/B | 2 | ||
| P/tB | 2 | ||
| EV/EBITDA | 9.54 |
EPS(TTM)6.44
EY6.87%
EPS(NY)6.38
Fwd EY6.81%
FCF(TTM)4.21
FCFY4.49%
OCF(TTM)4.21
OCFY4.49%
SpS28.98
BVpS46.96
TBVpS46.96
PEG (NY)2.83
PEG (5Y)1.42
Graham Number82.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 14.53% | ||
| ROCE | 4.39% | ||
| ROIC | 3.81% | ||
| ROICexc | 4.03% | ||
| ROICexgc | 4.12% | ||
| OM | 29.97% | ||
| PM (TTM) | 23.55% | ||
| GM | N/A | ||
| FCFM | 14.54% |
ROA(3y)3.83%
ROA(5y)3.43%
ROE(3y)20.97%
ROE(5y)18.03%
ROIC(3y)3.95%
ROIC(5y)3.48%
ROICexc(3y)4.12%
ROICexc(5y)3.62%
ROICexgc(3y)4.23%
ROICexgc(5y)3.71%
ROCE(3y)4.56%
ROCE(5y)4.02%
ROICexgc growth 3Y16.53%
ROICexgc growth 5Y12.62%
ROICexc growth 3Y16.64%
ROICexc growth 5Y12.6%
OM growth 3Y11.49%
OM growth 5Y10.66%
PM growth 3Y13.73%
PM growth 5Y14.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.34 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 28.52 | ||
| Cash Conversion | 41.68% | ||
| Profit Quality | 61.72% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.94%
ROIC/WACC0.48
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)70.18%
Profit Quality(5y)90.4%
High Growth Momentum
Growth
EPS 1Y (TTM)8.7%
EPS 3Y6.78%
EPS 5Y10.21%
EPS Q2Q%15.28%
EPS Next Y5.15%
EPS Next 2Y1.48%
EPS Next 3Y2.89%
EPS Next 5Y4.12%
Revenue 1Y (TTM)2.32%
Revenue growth 3Y-5.07%
Revenue growth 5Y-3.26%
Sales Q2Q%60.73%
Revenue Next Year0.58%
Revenue Next 2Y0.75%
Revenue Next 3Y0.94%
Revenue Next 5Y1.93%
EBIT growth 1Y11.33%
EBIT growth 3Y5.83%
EBIT growth 5Y7.05%
EBIT Next Year-7.19%
EBIT Next 3Y-1.6%
EBIT Next 5YN/A
FCF growth 1Y-24.1%
FCF growth 3Y-18.77%
FCF growth 5Y-13.08%
OCF growth 1Y-24.1%
OCF growth 3Y-18.77%
OCF growth 5Y-13.08%
AFLAC INC / AFL.DE FAQ
What is the ChartMill fundamental rating of AFLAC INC (AFL.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to AFL.DE.
What is the valuation status of AFLAC INC (AFL.DE) stock?
ChartMill assigns a valuation rating of 3 / 10 to AFLAC INC (AFL.DE). This can be considered as Overvalued.
What is the profitability of AFL stock?
AFLAC INC (AFL.DE) has a profitability rating of 7 / 10.
What are the PE and PB ratios of AFLAC INC (AFL.DE) stock?
The Price/Earnings (PE) ratio for AFLAC INC (AFL.DE) is 14.55 and the Price/Book (PB) ratio is 2.
What is the earnings growth outlook for AFLAC INC?
The Earnings per Share (EPS) of AFLAC INC (AFL.DE) is expected to grow by 5.15% in the next year.