I'm shorting my shares Monday morning. More than 20K Japs have been killed in the Tusnami. Shares could easily fall under $ 50 this week. It will take AFLAC months if not years to recover from this. Timber.........
A news release yesterday regarding the dismissal of the duck voice idiot the company stated that about 5% of their current policies are in the 3 prefectures in and around the problem facility. Doesn't mean it won't have to pay big claim amount but may be mitigated by the low exposure(no pun) to the immediate area. Only an opinion based on what I read. btw, a very insensitive comment by HESS, a true jackass no doubt.
I would think Aflac will sell many policies in Japan to people there who didn't previously think they needed one, whose minds are now changed due to the disaster. So after some initial claims payouts they may see a big rise in sales after the dust settles.
in the short run aflac stock will be hit hard but in the long run, their cancer sales will increase as a result of this earthquake. As you probably all know, the japanese people are very paranoid when it comes to cancer. Their general insurance does not cover cancer surgery.
The basher vultures are poised to strike. I hope the stock does go down so I can buy more at lower price. AFLAC’s risk is minimal. They are a supplemental life and health carrier not casualty. They have more than adequate reserves to handle the claims they will receive. I have been long on this firm for years. They never run from their responsibility and normally gain more policyholders because of it. They will bounce back quickly.
In the meantime, U.S. demand for their products is growing.