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Aflac

LSE:0H68
Snowflake Description

Undervalued established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
0H68
LSE
$37B
Market Cap
  1. Home
  2. GB
  3. Insurance
Company description

Aflac Incorporated, through its subsidiaries, provides voluntary supplemental health and life insurance products. The last earnings update was 59 days ago. More info.


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0H68 Share Price and Events
7 Day Returns
-0.6%
LSE:0H68
-0.6%
GB Insurance
1.2%
GB Market
1 Year Returns
7.4%
LSE:0H68
-5.4%
GB Insurance
2.5%
GB Market
0H68 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Aflac (0H68) -0.6% -2.4% 2.9% 7.4% - -
GB Insurance -0.6% 7.9% 9.8% -5.4% 16.5% 21%
GB Market 1.2% 5.3% 9.8% 2.5% 16.9% 6.7%
1 Year Return vs Industry and Market
  • 0H68 outperformed the Insurance industry which returned -5.4% over the past year.
  • 0H68 outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 2.5% over the past year.
Price Volatility
0H68
Industry
5yr Volatility vs Market

0H68 Value

 Is Aflac undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Aflac to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Aflac.

LSE:0H68 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 6 analysts.
= Stable Book Value * Return on Equity
= $35.07 * 14%
$4.90
Book Value of Equity per Share Weighted future Book Value estimates from 7 analysts. $35.07
Discount Rate (Cost of Equity) See below 6.5%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:0H68
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.724 (1 + (1- 21%) (18.55%))
0.886
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.89
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.886 * 5.96%)
6.51%

Discounted Cash Flow Calculation for LSE:0H68 using Excess Returns Model Model

The calculations below outline how an intrinsic value for Aflac is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

LSE:0H68 Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (14% – 6.51%) * $35.07)
$2.62
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $2.62 / (6.51% - 1.23%)
$49.61
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $35.07 + $49.61
$84.68
LSE:0H68 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in LSE:0H68 represents 0.99209x of NYSE:AFL
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.99209x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 84.68 x 0.99209
$84.01
Value per share (USD) From above. $84.01
Current discount Discount to share price of $48.79
= -1 x ($48.79 - $84.01) / $84.01
41.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Aflac is available for.
Intrinsic value
42%
Share price is $48.79 vs Future cash flow value of $84.01
Current Discount Checks
For Aflac to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Aflac's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Aflac's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Aflac's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Aflac's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:0H68 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $3.79
NYSE:AFL Share Price ** NYSE (2019-04-23) in USD $49.18
United Kingdom of Great Britain and Northern Ireland Insurance Industry PE Ratio Median Figure of 19 Publicly-Listed Insurance Companies 16.15x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 797 Publicly-Listed Companies 16.3x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Aflac.

LSE:0H68 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:AFL Share Price ÷ EPS (both in USD)

= 49.18 ÷ 3.79

12.96x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aflac is good value based on earnings compared to the GB Insurance industry average.
  • Aflac is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Aflac's expected growth come at a high price?
Raw Data
LSE:0H68 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.96x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
2.3%per year
United Kingdom of Great Britain and Northern Ireland Insurance Industry PEG Ratio Median Figure of 16 Publicly-Listed Insurance Companies 1.55x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 566 Publicly-Listed Companies 1.5x

*Line of best fit is calculated by linear regression .

LSE:0H68 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.96x ÷ 2.3%

5.52x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aflac is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Aflac's assets?
Raw Data
LSE:0H68 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $31.06
NYSE:AFL Share Price * NYSE (2019-04-23) in USD $49.18
United Kingdom of Great Britain and Northern Ireland Insurance Industry PB Ratio Median Figure of 24 Publicly-Listed Insurance Companies 2.09x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,367 Publicly-Listed Companies 1.52x
LSE:0H68 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:AFL Share Price ÷ Book Value per Share (both in USD)

= 49.18 ÷ 31.06

1.58x

* Primary Listing of Aflac.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aflac is good value based on assets compared to the GB Insurance industry average.
X
Value checks
We assess Aflac's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Aflac has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

0H68 Future Performance

 How is Aflac expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
2.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Aflac expected to grow at an attractive rate?
  • Aflac's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Aflac's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Aflac's revenues are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:0H68 Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:0H68 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 2.3%
LSE:0H68 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts -0%
United Kingdom of Great Britain and Northern Ireland Insurance Industry Earnings Growth Rate Market Cap Weighted Average 11.8%
United Kingdom of Great Britain and Northern Ireland Insurance Industry Revenue Growth Rate Market Cap Weighted Average 18.3%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:0H68 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:0H68 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 21,676 3,054 3
2020-12-31 21,812 3,104 6
2019-12-31 21,769 3,094 6
LSE:0H68 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 21,758 6,014 2,920
2018-09-30 22,197 6,191 4,978
2018-06-30 22,125 5,770 4,849
2018-03-31 21,963 5,609 4,729
2017-12-31 21,667 6,128 4,604
2017-09-30 22,161 6,463 2,772
2017-06-30 22,391 6,298 2,685
2017-03-31 22,446 6,413 2,520
2016-12-31 22,559 5,987 2,659
2016-09-30 22,025 6,126 2,638
2016-06-30 21,331 6,527 2,576
2016-03-31 21,101 6,647 2,601

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Aflac's earnings are expected to grow by 2.3% yearly, however this is not considered high growth (20% yearly).
  • Aflac's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:0H68 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from Aflac Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0H68 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 4.33 4.33 4.33 1.00
2020-12-31 4.30 4.50 4.15 6.00
2019-12-31 4.14 4.25 4.04 6.00
LSE:0H68 Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 3.79
2018-09-30 6.42
2018-06-30 6.21
2018-03-31 6.02
2017-12-31 5.81
2017-09-30 3.47
2017-06-30 3.33
2017-03-31 3.10
2016-12-31 3.23
2016-09-30 3.17
2016-06-30 3.06
2016-03-31 3.05

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Aflac is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Aflac's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Aflac has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

0H68 Past Performance

  How has Aflac performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Aflac's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Aflac's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • Aflac's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Aflac's 1-year earnings growth is negative, it can't be compared to the GB Insurance industry average.
Earnings and Revenue History
Aflac's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Aflac Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0H68 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 21,758.00 2,920.00 2,988.00
2018-09-30 22,197.00 4,978.00 2,948.00
2018-06-30 22,125.00 4,849.00 2,904.00
2018-03-31 21,963.00 4,729.00 2,838.00
2017-12-31 21,667.00 4,604.00 2,780.00
2017-09-30 22,161.00 2,772.00 2,873.00
2017-06-30 22,391.00 2,685.00 2,862.00
2017-03-31 22,446.00 2,520.00 2,908.00
2016-12-31 22,559.00 2,659.00 2,796.00
2016-09-30 22,025.00 2,638.00 2,528.00
2016-06-30 21,331.00 2,576.00 2,407.00
2016-03-31 21,101.00 2,601.00 2,247.00
2015-12-31 20,918.00 2,533.00 2,606.00
2015-09-30 20,999.00 2,506.00 2,258.00
2015-06-30 21,658.00 2,645.00 2,270.00
2015-03-31 22,221.00 2,882.00 2,257.00
2014-12-31 22,610.00 2,951.00 2,261.00
2014-09-30 22,874.00 2,923.00 2,228.00
2014-06-30 23,027.00 2,919.00 2,230.00
2014-03-31 23,153.00 2,998.00 2,222.00
2013-12-31 23,619.00 3,158.00 2,222.00
2013-09-30 24,263.00 3,064.00 2,301.00
2013-06-30 25,185.00 3,379.00 2,328.00
2013-03-31 25,203.00 2,973.00 2,385.00
2012-12-31 25,263.00 2,866.00 2,415.00
2012-09-30 24,889.00 2,823.00 2,403.00
2012-06-30 24,251.00 2,542.00 2,388.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Aflac has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Aflac used its assets more efficiently than the GB Insurance industry average last year based on Return on Assets.
  • Aflac's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Aflac's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Aflac has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

0H68 Health

 How is Aflac's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Aflac's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Aflac's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Aflac's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Aflac's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Aflac Company Filings, last reported 3 months ago.

LSE:0H68 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 23,462.00 6,831.00 4,492.00
2018-09-30 23,234.00 7,250.00 3,431.00
2018-06-30 23,800.00 9,027.00 3,848.00
2018-03-31 24,287.00 10,740.00 4,080.00
2017-12-31 24,598.00 5,895.00 3,548.00
2017-09-30 21,977.00 5,770.00 4,984.00
2017-06-30 21,503.00 5,915.00 4,402.00
2017-03-31 20,340.00 6,732.00 4,346.00
2016-12-31 20,482.00 5,886.00 4,948.00
2016-09-30 22,785.00 6,818.00 5,270.00
2016-06-30 22,550.00 5,835.00 3,700.00
2016-03-31 20,021.00 5,814.00 3,449.00
2015-12-31 17,708.00 5,912.00 4,350.00
2015-09-30 17,255.00 5,916.00 3,520.00
2015-06-30 17,018.00 6,448.00 3,103.00
2015-03-31 18,637.00 8,923.00 4,367.00
2014-12-31 18,347.00 7,635.00 4,658.00
2014-09-30 17,853.00 11,648.00 2,680.00
2014-06-30 17,558.00 7,974.00 2,263.00
2014-03-31 15,676.00 8,287.00 2,006.00
2013-12-31 14,620.00 10,749.00 2,564.00
2013-09-30 14,658.00 5,690.00 2,788.00
2013-06-30 13,696.00 6,453.00 2,410.00
2013-03-31 15,535.00 4,491.00 2,622.00
2012-12-31 15,978.00 10,632.00 2,073.00
2012-09-30 15,985.00 10,997.00 3,024.00
2012-06-30 14,179.00 3,868.00 2,161.00
  • Aflac's level of debt (29.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (73.3% vs 29.1% today).
  • Debt is well covered by operating cash flow (88%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 18.9x coverage).
X
Financial health checks
We assess Aflac's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Aflac has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

0H68 Dividends

 What is Aflac's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.2%
Current annual income from Aflac dividends. Estimated to be 2.32% next year.
If you bought $2,000 of Aflac shares you are expected to receive $44 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Aflac's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.02%).
  • Aflac's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.1%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:0H68 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Insurance Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 4.5%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 705 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:0H68 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 1.20 4.00
2020-12-31 1.16 10.00
2019-12-31 1.09 10.00
LSE:0H68 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-01-31 1.080 2.201
2018-11-01 1.040 2.311
2018-10-24 1.040 2.444
2018-08-03 1.040 2.243
2018-07-26 1.040 2.253
2018-05-04 1.040 2.341
2018-04-25 1.040 2.297
2018-02-23 1.040 2.335
2018-01-31 1.040 2.382
2017-11-02 0.900 2.066
2017-10-25 0.900 2.143
2017-08-03 0.860 2.091
2017-07-27 0.860 2.154
2017-05-03 0.860 2.252
2017-04-27 0.860 2.299
2017-02-24 0.860 2.365
2017-01-31 0.860 2.453
2016-11-04 0.860 2.448
2016-10-27 0.860 2.499
2016-08-05 0.820 2.273
2016-07-28 0.820 2.270
2016-05-04 0.820 2.330
2016-04-26 0.820 2.383
2016-02-25 0.820 2.585
2016-02-01 0.820 2.817
2015-11-03 0.820 2.699
2015-10-27 0.820 2.564
2015-07-28 0.780 2.593
2015-05-01 0.780 2.496
2015-04-28 0.780 2.453
2014-10-28 0.780 2.558
2014-07-29 0.740 2.505
2014-04-29 0.740 2.363
2013-10-29 0.740 2.304
2013-07-30 0.700 2.261
2013-04-24 0.700 2.471
2013-02-05 0.700 2.776
2012-10-23 0.700 2.681
2012-07-24 0.660 2.821
2012-04-24 0.660 3.152
2012-01-31 0.660 2.864
2011-10-26 0.660 3.009
2011-07-27 0.600 3.203
2011-04-27 0.600 2.499
2011-02-01 0.600 2.187
2010-08-10 0.600 2.239
2010-08-02 0.560 2.201
2010-07-27 0.560 2.239
2010-02-02 0.560 2.315
2009-10-28 0.560 2.414
2009-07-29 0.560 2.694
2009-04-29 0.560 3.449

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Aflac's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.9x coverage).
X
Income/ dividend checks
We assess Aflac's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Aflac afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Aflac has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

0H68 Management

 What is the CEO of Aflac's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Dan Amos
COMPENSATION $17,535,398
AGE 66
TENURE AS CEO 29.3 years
CEO Bio

Mr. Daniel Paul Amos, also known as Dan, has been the Chief Executive Officer of AFLAC Inc. since 1990 and served as its President since February 13, 2018. Mr. Amos serves as the Chief Executive Officer of American Family Life Assurance Company of New York, principal subsidiary of AFLAC since August 1990. He serves as President of Aflac Life Insurance Japan Ltd. since July 1, 2017. He has been the Executive Chairman and Chief Executive Officer of Aflac Incorporated since May 2001 and 1990 respectively. He has been the President of Aflac Incorporated since 2019. He has been with Aflac Incorporated full time since 1973. He serves as the Chief Executive Officer of Aflac Life Insurance Japan Ltd. Mr. Amos served as President of AFLAC until May 2001. Mr. Amos serves as Chairman of American Family Life Assurance Company of New York since May 2001 and Aflac Life Insurance Japan Ltd. Mr. Amos has been the Chairman of AFLAC since May 2001 and its Director since 1983. He has been a Director of Aflac Incorporated since 1983. He serves as a Director of American Family Life Assurance Company of New York. He served as Director of Synovus Financial Corp., since 2001 and previously served as its Director from 1991 to 1998. He served as a Director of Southern Co. from 2000 to February 2006. He served as a Director of CIT Group Inc., since January 1998 and Georgia Power Co. since May 1997. He was Chairman of the board of The Japan America Society of Georgia and was the Chairman of the University of Georgia Foundation. He is a Member of the Board of Trustees of Children's Healthcare of Atlanta and House of Mercy of Columbus. Mr. Amos has received the Dr. Martin Luther King Jr. Unity Award and the Anti-Defamation League's Torch of Liberty Award. In January 2005, Mr. Amos was named as one of the Best CEOs within the insurance/life category by Institutional Investor Magazine for the third consecutive year. Mr. Amos holds a Bachelor's Degree from University of Georgia in Risk Management and Insurance.

CEO Compensation
  • Dan's compensation has been consistent with company performance over the past year.
  • Dan's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Aflac management team in years:

5.8
Average Tenure
54
Average Age
  • The average tenure for the Aflac management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Dan Amos

TITLE
Chairman
COMPENSATION
$18M
AGE
66
TENURE
29.3 yrs

Fred Crawford

TITLE
Executive VP & CFO
COMPENSATION
$7M
AGE
54
TENURE
3.8 yrs

Eric Kirsch

TITLE
Executive VP
COMPENSATION
$5M
AGE
57
TENURE
7.3 yrs

Audrey Tillman

TITLE
Executive VP & General Counsel
COMPENSATION
$4M
AGE
53
TENURE
4.9 yrs

Charles Lake

TITLE
President of Aflac International & Chairman of Aflac Life Insurance Japan
COMPENSATION
$4M
AGE
56
TENURE
5.3 yrs

June Howard

TITLE
Senior VP of Financial Services & Chief Accounting Officer
AGE
51
TENURE
8.4 yrs

Julia Davis

TITLE
Senior VP & Chief Information Officer
TENURE
5.8 yrs

David Young

TITLE
Vice President of Investor & Rating Agency Relations

Drew Niziak

TITLE
Senior Vice President of Broker Sales
TENURE
6.3 yrs

Virgil Miller

TITLE
Executive VP
AGE
49
TENURE
1.3 yrs
Board of Directors Tenure

Average tenure and age of the Aflac board of directors in years:

10.8
Average Tenure
65.5
Average Age
  • The average tenure for the Aflac board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Dan Amos

TITLE
Chairman
COMPENSATION
$18M
AGE
66
TENURE
17.9 yrs

Charles Lake

TITLE
President of Aflac International & Chairman of Aflac Life Insurance Japan
COMPENSATION
$4M
AGE
56
TENURE
10.8 yrs

John Moorefield

TITLE
Chief Transformation Officer of IT
AGE
56
TENURE
2.3 yrs

Masatoshi Koide

TITLE
President
AGE
57

Koji Ariyoshi

TITLE
Executive VP
AGE
65

Barbara Rimer

TITLE
Director
COMPENSATION
$305K
AGE
69
TENURE
24.3 yrs

Bob Johnson

TITLE
Director
COMPENSATION
$290K
AGE
73
TENURE
17.3 yrs

Douglas Johnson

TITLE
Lead Non-Management Director
COMPENSATION
$603K
AGE
74

Mel Stith

TITLE
Director
COMPENSATION
$306K
AGE
71
TENURE
6.9 yrs

William Bowers

TITLE
Director
COMPENSATION
$300K
AGE
62
TENURE
5.9 yrs
Who owns this company?
Recent Insider Trading
  • Aflac insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
27. Mar 19 Sell Masatoshi Koide Individual 26. Mar 19 26. Mar 19 -13,741 $49.76 $-683,686
26. Mar 19 Buy Karole Lloyd Individual 22. Mar 19 22. Mar 19 2,000 $49.83 $99,659
13. Mar 19 Sell Douglas Johnson Individual 12. Mar 19 12. Mar 19 -3,000 $49.24 $-147,711
25. Feb 19 Sell Audrey Tillman Individual 22. Feb 19 22. Feb 19 -2,100 $48.71 $-102,290
19. Feb 19 Sell Teresa White Individual 13. Feb 19 13. Feb 19 -12,338 $49.06 $-605,302
21. Dec 18 Sell James Daniels Individual 21. Dec 18 21. Dec 18 -2,653 $44.14 $-117,113
21. Dec 18 Sell Richard Williams Individual 20. Dec 18 20. Dec 18 -1,129 $43.97 $-49,647
13. Sep 18 Sell Douglas Johnson Individual 13. Sep 18 13. Sep 18 -2,000 $46.52 $-93,030
12. Sep 18 Sell Joseph Moskowitz Individual 11. Sep 18 11. Sep 18 -1,500 $46.39 $-69,574
X
Management checks
We assess Aflac's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Aflac has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

0H68 News

Simply Wall St News

0H68 Company Info

Description

Aflac Incorporated, through its subsidiaries, provides voluntary supplemental health and life insurance products. It operates through two segments, Aflac Japan and Aflac U.S. The Aflac Japan segment offers voluntary supplemental insurance products, including cancer plans, general medical indemnity plans, medical/sickness riders, care plans, living benefit life plans, ordinary life insurance plans, and annuities in Japan. The Aflac U.S. segment provides products designed to protect individuals from depletion of assets comprising accident, cancer, critical illness/care, hospital indemnity, fixed-benefit dental, and vision care plans; and loss-of-income products, such as life and short-term disability plans in the United States. The company sells its products through sales associates and brokers, independent corporate agencies, individual agencies, and affiliated corporate agencies. Aflac Incorporated was founded in 1955 and is headquartered in Columbus, Georgia.

Details
Name: Aflac Incorporated
0H68
Exchange: LSE
Founded: 1955
$36,828,434,786
748,849,833
Website: http://www.aflac.com
Address: Aflac Incorporated
1932 Wynnton Road,
Columbus,
Georgia, 31999,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE AFL Common Stock New York Stock Exchange US USD 23. Aug 1973
DB AFL Common Stock Deutsche Boerse AG DE EUR 23. Aug 1973
LSE 0H68 Common Stock London Stock Exchange GB USD 23. Aug 1973
TSE 8686 Common Stock The Tokyo Stock Exchange JP JPY 23. Aug 1973
Number of employees
Current staff
Staff numbers
11,390
Aflac employees.
Industry
Life and Health Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/25 23:13
End of day share price update: 2019/04/23 00:00
Last estimates confirmation: 2019/04/22
Last earnings filing: 2019/02/25
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.