Aflac Incorporated (AFL) vs Globe Life Inc. (GL)

Aflac Incorporated and Globe Life Inc. are both Insurance Life companies. Aflac Incorporated is the larger, with a market value of $57.2B against $12.9B — 4.4× the size. Globe Life Inc. trades at the lower P/E: 10.9× against 12.1×. Aflac Incorporated grew revenue faster over the last twelve months: 13.6% against 5.24%. Aflac Incorporated has the higher net margin (26.9% vs 19.6%) and the lower return on invested capital (11.0% vs 11.6%). Both pay a dividend; Aflac Incorporated yields more (2.48% vs 0.76%). Across the 23 metrics below, Globe Life Inc. leads on 12 and Aflac Incorporated on 11.

Valuation

Metric AFL GL Insurance Life median
P/E 12.15 10.90 12.15
P/S 3.18 2.09 0.75
P/B 1.89 2.10 1.12
Price to free cash flow 21.67 10.50 7.78
EV/EBITDA 8.69 9.54 8.42
EV/Sales 3.32 2.52 0.80
Earnings yield 8.23% 9.17% 8.23%
Free cash flow yield 4.61% 9.52% 11.12%

Profitability

Metric AFL GL Insurance Life median
Gross margin 55.74% 41.38% 32.44%
Operating margin 33.36% 26.44% 11.31%
Net margin 26.91% 19.58% 6.61%
Free cash flow margin 14.65% 19.90% 15.04%
Return on equity 16.91% 20.95% 8.67%
Return on assets 4.04% 3.95% 0.67%
Return on invested capital 10.98% 11.57% 8.20%

Growth

Metric AFL GL Insurance Life median
Revenue growth (TTM) 13.56% 5.24% 7.91%
EPS growth (last fiscal year) (29.18%) 17.84% —
Revenue growth, 5-year CAGR (4.97%) 4.82% 1.08%
Net income growth, 5-year CAGR (5.26%) 9.68% 0.00%

Health

Metric AFL GL Insurance Life median
Debt to equity 0.29 0.48 0.48
Current ratio 0.11 0.05 0.21
Net debt to EBITDA 0.38 1.23 0.12

Dividend

Metric AFL GL Insurance Life median
Dividend yield 2.48% 0.76% 2.41%
Payout ratio 0.22 0.12 0.17

Size

Metric AFL GL Insurance Life median
Market cap 57.16b 12.86b 7.92b

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