Morgan Stanley Makes Quick Comment on Aflac
In a research report published this morning by Morgan Stanley, Aflac's (NYSE: AFL) management has been guiding to an acceleration in the pace of EPS growth from the current pace of 2-5%.
According to Morgan Stanley, “Following our review of recent statutory filings, we are now less confident this will occur. In addition to being under pressure to improve its Japan solvency margin ratio, we believe the company now also faces the risk of needing to build the capital supporting its US operations, which has been significantly drained in recent years.”
Morgan Stanley maintains its Equal-weight rating on Aflac, which is currently trading at $43.61.
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