2024-04-08 23:05:49 ET
Summary
- Aflac remains a strong dividend-growth company, with a history of increasing dividends for 41 consecutive years.
- Cancer insurance sales are expected to be a major catalyst for long-term growth in both the Japanese and US markets.
- Despite missing revenue expectations in the latest earnings report, AFL's financials and outlook remain positive, with a focus on reducing expenses and increasing margins to mitigate short-term decreases.
- The dividend has grown at a double-digit CAGR over the last five-year period.
Overview
Aflac ( AFL ) remains a strong dividend growth company, despite the price underperforming the S&P 500 ( SPY ). I previously covered Aflac in December of 2023 and since then the total return has been a bit underwhelming at approximately 6%. This is in comparison to the S&P's total return of nearly 10%. However, if you zoom out to a larger three year time frame, AFL has severely outperformed in total return. The dividend growth remains strong due to the company's profitability metrics. Therefore, I still believe AFL to be an attractive pick for a dividend growth investor....
Read the full article on Seeking Alpha
For further details see:
Aflac: Growing Cancer Cases Will Lead To Higher Revenues