AflacAFL -2.36%74 5-Year Yield-on-Cost % is 4.04 as of Jun. 30, 2026, which is 6% below its 10-year median of 4.32. GuruFocus rates AFL with a GF Score™ of 74/100 and a GF Value™ of $109.41 (Fairly Valued). The stock has 5 warning signs investors should review. Among 427 Insurance companies, Aflac ranks worse than 50.35% on this metric.
Aflac's yield on cost for the quarter that ended in Mar. 2026 was 4.04.
The historical rank and industry rank for Aflac's 5-Year Yield-on-Cost % or its related term are showing as below:
AFL'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 3.37 Med: 4.32 Max: 8.2
Current: 4.04
During the past 13 years, Aflac's highest Yield on Cost was 8.20. The lowest was 3.37. And the median was 4.32.
AFL's 5-Year Yield-on-Cost % is ranked worse than 50.35% of 427
companies
in the Insurance industry
Industry Median: 4.03
vs AFL: 4.04
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Aflac 5-Year Yield-on-Cost % Related Terms
AFL vs MET, PRU, UNM: 5-Year Yield-on-Cost % Comparison
For the Insurance - Life subindustry, Aflac's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Aflac 5-Year Yield-on-Cost % vs Insurance Industry
For the Insurance industry and Financial Services sector, Aflac's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Aflac's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Aflac is calculated as
Aflac (AFL) has a 5-Year Yield-on-Cost % of 4.04 as of Jun. 30, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Aflac and its competitors. This is near median its historical median of 4.32. Over the past decade, Aflac's 5-Year Yield-on-Cost % has ranged from 3.37 to 8.20. According to the industry distribution chart, Aflac ranks #215 out of 427 companies in the Insurance industry, placing it in the top 50.4%.
Is Aflac's 5-Year Yield-on-Cost % too high?
Aflac's current 5-Year Yield-on-Cost % of 4.04 is near median its 10-year median of 4.32. Over the past 10 years, this metric has ranged from a low of 3.37 to a high of 8.20. The Insurance industry median 5-Year Yield-on-Cost % is 4.03. Aflac's value of 4.04 is 0.2% above this industry median. Based on the distribution chart, Aflac ranks #215 out of 427 companies in the Insurance industry, which is below the industry midpoint. Overall, Aflac has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Aflac's 5-Year Yield-on-Cost % compare to MET and PRU?
According to the Insurance industry distribution chart, Aflac ranks #215 out of 427 companies for 5-Year Yield-on-Cost %. This places Aflac in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.03. Aflac's value of 4.04 is 0.2% above this benchmark. Historically, Aflac's own 5-Year Yield-on-Cost % has ranged from 3.37 to 8.20 over the past decade. While the company's 10-year median is 4.32 vs. the industry median of 4.03, Aflac has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for an Insurance company?
The median 5-Year Yield-on-Cost % among Insurance companies is 4.03, based on 427 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Aflac's current 5-Year Yield-on-Cost % of 4.04 is 0.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Aflac and its competitors. For the Insurance industry, the median 5-Year Yield-on-Cost % is 4.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aflac's current 5-Year Yield-on-Cost % is 4.04, which is near median its own 10-year median of 4.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aflac stock overvalued right now?
Based on GuruFocus' analysis, Aflac (AFL) is currently considered Fairly Valued. The stock's GF Value™ is $109.41, compared to a current price of $117.25 — trading 7.2% above its estimated fair value. The current 5-Year Yield-on-Cost % is 4.04, which is near median its 10-year median of 4.32 and 0.2% above the Insurance industry median of 4.03. Aflac's overall GF Score™ is 74/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Aflac (AFL), the current 5-Year Yield-on-Cost % is 4.04 as of Jun. 30, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Aflac (AFL) Overvalued in 2026?
Based on GuruFocus' analysis, Aflac stock appears to be overvalued.
The current stock price of $117.25 is trading 7.2% above its estimated GF Value™ of $109.41.
GuruFocus considers Aflac to be Fairly Valued.
Key valuation signals for AFL:
5-Year Yield-on-Cost %: 4.04 (near median its 10-year median of 4.32)
GF Value™: $109.41 vs. price of $117.25 (7.2% above fair value)
Industry Position: 0.2% above the Insurance median (#215 of 427)
No single metric tells the full story. See the AFL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aflac Inc offers supplemental health insurance and life insurance in the United States and Japan. In addition to its cancer policies, the company has broadened its product offerings to include accident, dental and vision, disability, and long-term-care insurance. It markets its products through independent distributors, selling the majority of its policies directly to consumers at their places of work, and also reaches out to its customers outside of their worksite through digital mediums. The company has two reportable business segments: Aflac Japan, which generates the maximum revenue, and Aflac U.S.
74GF Score
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5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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