Aflac Stock: Is Wall Street Bullish or Bearish?

Neharika Jain Barchart Tue May 13, 7:00AM CDT
Aflac Inc_ corporate building- by Ken Wolter via Shutterstock

Columbus, Georgia-based Aflac Incorporated (AFL) provides supplemental health and life insurance products. Valued at a market cap of $57.1 billion, the company offers coverage for accidents, cancer, critical illness, dental, vision, and short-term disability and sells its products through individual, independent corporate, affiliated corporate agencies, banks, agents, and brokers. 

This insurance company has outpaced the broader market over the past 52 weeks. Shares of AFL have surged 22.6% over this time frame, while the broader S&P 500 Index ($SPX) has gained 11.9%. Moreover, on a YTD basis, the stock is up 2.1%, compared to SPX’s marginal decline. 

Zooming in further, AFL has also outperformed the SPDR S&P Insurance ETF’s (KIE) 15.1% uptick over the past 52 weeks. However, it has lagged behind the ETF’s 4.4% rise on a YTD basis. 

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On Apr. 30, AFL delivered weaker-than-expected Q1 results, prompting its share price to fall 4.8% in the following trading session. The company’s revenue declined 37.5% year-over-year to $3.4 billion, primarily due to net investment losses of $963 million recorded in this quarter compared to net investment gains of $951 million recorded in the first quarter of 2024. Meanwhile, its adjusted EPS of $1.66 remained flat year-over-year but fell short of the consensus estimates by 1.2%.

For the current fiscal year, ending in December, analysts expect AFL’s EPS to decline 6.4% year over year to $6.75. The company’s earnings surprise history is mixed. It topped the consensus estimates in two of the last four quarters, while missing on two other occasions. 

Among the 16 analysts covering the stock, the consensus rating is a “Hold” which is based on two “Strong Buy,” one “Moderate Buy,” 10 “Hold,” and three “Strong Sell” ratings. 

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The configuration has remained fairly stable over the past three months. 

On May 7, Keefe Bruyette maintained a “Market Perform” rating on AFL and raised its price target to $106, which indicates a marginal potential upside from the current levels. 

While AFL trades above its mean price target of $104.43, the Street-high price target of $120 suggests an upside potential of 13.7%.


On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.