5 Undervalued Insurance Stocks to Buy Now

4. Aflac Incorporated (NYSE:AFL)

Number of Hedge Fund holders: 34

Aflac Incorporated (NYSE:AFL) is the largest provider of supplemental insurance in the US. It is headquartered in Georgia. The company works in Japan and the United States. Despite opening near its 52-week high at a stock price of $71.88 on December 13, the company still seems undervalued and is trading at a PE ratio of 9.02.

On November 18, Piper Sandler analyst John Barnidge maintained an Overweight rating on Aflac Incorporated (NYSE:AFL)’s shares and raised the price target to $80 from $73. The analyst told investors that the company “strikes us as the natural evolution in the capital optimization that has been occurring at the company for much of the last half-decade.”

Aflac Incorporated (NYSE:AFL) has been raising its dividend for the past 39 years. In November, Aflac Incorporated (NYSE:AFL) raised its dividend by 5% to $0.42, payable by March 1, 2023, to the shareholders of record on February 15, 2023.

In addition, Aflac Incorporated (NYSE:AFL) had previously authorized share repurchases of 25.6 million shares of its common stock at the end of September. However, the company management authorized the repurchase of 100 million additional shares on November 8.