Aflac Inc. provides supplemental health and life insurance products. It operates through two segments, Aflac Japan and Aflac U.S. The company was founded in 1955 and is based in Columbus, Georgia.
AFL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for AFL, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Aflac Inc ranked in the 57th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 28.83% on a DCF basis. As for the metrics that stood out in our discounted cash flow analysis of Aflac Inc, consider:
In the past 5.5 years, Aflac Inc has a compound free cash flow growth rate of -0.02%; that's better than only 24.75% of cash flow producing equities in the Financial Services sector, where it is classified.
Aflac Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than merely 17.43% of tickers in our DCF set.
Aflac Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
HCAP, JHG, GBLI, TSLX, and AMG can be thought of as valuation peers to AFL, in the sense that they are in the Financial Services sector and have a similar price forecast based on DCF valuation.
Aflac Incorporated (NYSE: AFL) announced today that it will release fourth quarter financial results after the market closes on February 3, 2021. At that time, earnings materials, including the fourth quarter 2020 earnings release and Financial Analysts Briefing supplement, will be available on the company's Investor Relations website, investors.aflac.com.
Aflac ([[AFL]] +3.3%) expands into dental and vision insurance nationally, adding to the benefits that businesses can offer to attract and retain talent.U.S. employs rank dental insurance as the second most important benefit after health insurance with vision insurance cited as the fourth most valued benefit after life insurance, according...
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COLUMBUS, Ga., Jan. 12, 2021 /PRNewswire/ -- Aflac, a leading provider of supplemental insurance products in the U.S., today announced the national launch of Aflac Dental and Vision Insurance, the company's expansion into offering products based on a provider network. As a component of…