Evercore ISI analyst Thomas Gallagher maintained a Sell rating on AFLAC today and set a price target of $106.00.
TipRanks Cyber Monday Sale
- Claim 60% off TipRanks Premium for data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Thomas Gallagher has given his Sell rating due to a combination of factors. Despite AFLAC’s strong sales performance in Japan during the second quarter and better-than-expected net investment income, Gallagher anticipates challenges ahead. He notes that while there is a temporary boost in earnings estimates for the latter half of 2025, this is expected to diminish in 2026 due to potential declines in floating rate income and increased competition in the medical sales sector in Japan.
Furthermore, Gallagher expresses concerns about the sustainability of AFLAC’s new cancer product sales, which, despite a successful initial launch, may face a decline as the initial customer base is resold the enhanced product. The upcoming launch of a refreshed medical product in 2026 is also seen as potentially difficult, given the competitive nature of the market. These factors contribute to his cautious outlook and the Sell rating for AFLAC’s stock.
According to TipRanks, Gallagher is a 4-star analyst with an average return of 7.8% and a 61.61% success rate. Gallagher covers the Financial sector, focusing on stocks such as Metlife, Equitable Holdings, and Corebridge Financial, Inc..
In another report released on August 5, Barclays also maintained a Sell rating on the stock with a $100.00 price target.