Aflac Incorporated Net Income vs. Return On Equity
| AFL Stock | USD 113.20 0.81 0.72% |
Net Income | First Reported 1985-09-30 | Previous Quarter 1.8 B | Current Value -93 M | Quarterly Volatility 458.2 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 1.09 | 1.13 |
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| Net Profit Margin | 0.26 | 0.2491 |
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| Operating Profit Margin | 0.87 | 0.8308 |
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| Pretax Profit Margin | 0.3 | 0.2814 |
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| Return On Assets | 0.0386 | 0.0368 |
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| Return On Equity | 0.13 | 0.2119 |
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For Aflac Incorporated profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Aflac Incorporated to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Aflac Incorporated utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Aflac Incorporated's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Aflac Incorporated over time as well as its relative position and ranking within its peers.
Aflac |
Aflac Incorporated's Revenue Breakdown by Earning Segment
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Is Life & Health Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Aflac Incorporated. If investors know Aflac will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Aflac Incorporated listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.144 | Dividend Share 1.92 | Earnings Share 6.73 | Revenue Per Share 30.368 | Quarterly Revenue Growth (0.40) |
The market value of Aflac Incorporated is measured differently than its book value, which is the value of Aflac that is recorded on the company's balance sheet. Investors also form their own opinion of Aflac Incorporated's value that differs from its market value or its book value, called intrinsic value, which is Aflac Incorporated's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Aflac Incorporated's market value can be influenced by many factors that don't directly affect Aflac Incorporated's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Aflac Incorporated's value and its price as these two are different measures arrived at by different means. Investors typically determine if Aflac Incorporated is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Aflac Incorporated's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Aflac Incorporated Return On Equity vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Aflac Incorporated's current stock value. Our valuation model uses many indicators to compare Aflac Incorporated value to that of its competitors to determine the firm's financial worth. Aflac Incorporated is number one stock in net income category among its peers. It is rated second in return on equity category among its peers . The ratio of Net Income to Return On Equity for Aflac Incorporated is about 29,046,134,663 . At this time, Aflac Incorporated's Net Income is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Aflac Incorporated by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Aflac Return On Equity vs. Net Income
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Aflac Incorporated |
| = | 4.66 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Aflac Incorporated |
| = | 0.16 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Aflac Return On Equity Comparison
Aflac Incorporated is currently under evaluation in return on equity category among its peers.
Aflac Incorporated Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Aflac Incorporated, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Aflac Incorporated will eventually generate negative long term returns. The profitability progress is the general direction of Aflac Incorporated's change in net profit over the period of time. It can combine multiple indicators of Aflac Incorporated, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -5.5 B | -5.2 B | |
| Operating Income | 15.5 B | 16.3 B | |
| Net Income | 4.7 B | 4.9 B | |
| Income Tax Expense | 603 M | 584.8 M | |
| Income Before Tax | 5.3 B | 2.7 B | |
| Total Other Income Expense Net | -10.3 B | -9.8 B | |
| Net Income Applicable To Common Shares | 4.8 B | 2.6 B | |
| Net Income From Continuing Ops | 4.4 B | 3.8 B | |
| Interest Income | 203.4 M | 195.3 M | |
| Non Operating Income Net Other | -14.9 M | -15.7 M | |
| Net Interest Income | -203 M | -213.2 M | |
| Change To Netincome | -472.5 M | -448.9 M | |
| Net Income Per Share | 7.81 | 8.21 | |
| Income Quality | 0.68 | 0.65 | |
| Net Income Per E B T | 0.89 | 0.51 |
Aflac Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Aflac Incorporated. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Aflac Incorporated position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Aflac Incorporated's important profitability drivers and their relationship over time.
Use Aflac Incorporated in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Aflac Incorporated position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Aflac Incorporated will appreciate offsetting losses from the drop in the long position's value.Aflac Incorporated Pair Trading
Aflac Incorporated Pair Trading Analysis
The ability to find closely correlated positions to Aflac Incorporated could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Aflac Incorporated when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Aflac Incorporated - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Aflac Incorporated to buy it.
The correlation of Aflac Incorporated is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Aflac Incorporated moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Aflac Incorporated moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Aflac Incorporated can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Aflac Incorporated position
In addition to having Aflac Incorporated in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Trending Equities. For more information on how to buy Aflac Stock please use our How to buy in Aflac Stock guide.You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
To fully project Aflac Incorporated's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Aflac Incorporated at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Aflac Incorporated's income statement, its balance sheet, and the statement of cash flows.