AFL vs. ITUB: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AFL and ITUB, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AFL’s market capitalization stands at 56.54 billion USD, while ITUB’s is 70.93 billion USD, indicating their market valuations are broadly comparable.
AFL’s beta of 0.81 points to significantly higher volatility compared to ITUB (beta: 0.31), suggesting AFL has greater potential for both gains and losses relative to market movements.
ITUB is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AFL, on the other hand, is a domestic entity.
| Symbol | AFL | ITUB |
|---|---|---|
| Company Name | Aflac Incorporated | Itaú Unibanco Holding S.A. |
| Country | US | BR |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Life | Banks - Regional |
| CEO | Daniel Paul Amos | Milton Maluhy Filho |
| Price | 104.57 USD | 6.92 USD |
| Market Cap | 56.54 billion USD | 70.93 billion USD |
| Beta | 0.81 | 0.31 |
| Exchange | NYSE | NYSE |
| IPO Date | March 17, 1980 | February 25, 2002 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of AFL and ITUB by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AFL
13.91%
Insurance - Life Industry
- Max
- 23.38%
- Q3
- 14.56%
- Median
- 11.23%
- Q1
- 1.67%
- Min
- -5.23%
AFL’s Return on Equity of 13.91% is on par with the norm for the Insurance - Life industry, indicating its profitability relative to shareholder equity is typical for the sector.
ITUB
20.70%
Banks - Regional Industry
- Max
- 19.20%
- Q3
- 11.87%
- Median
- 9.48%
- Q1
- 6.66%
- Min
- -0.15%
ITUB’s Return on Equity of 20.70% is exceptionally high, placing it well beyond the typical range for the Banks - Regional industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Return on Invested Capital
AFL
2.99%
Insurance - Life Industry
- Max
- 6.30%
- Q3
- 3.33%
- Median
- 2.16%
- Q1
- 0.68%
- Min
- -0.10%
Return on Invested Capital is often not a primary measure of capital efficiency in the Insurance - Life industry.
ITUB
1.37%
Banks - Regional Industry
- Max
- 13.33%
- Q3
- 7.16%
- Median
- 5.31%
- Q1
- 2.87%
- Min
- -3.49%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Regional industry.
Net Profit Margin
AFL
21.03%
Insurance - Life Industry
- Max
- 21.20%
- Q3
- 11.59%
- Median
- 7.10%
- Q1
- 3.79%
- Min
- 2.14%
A Net Profit Margin of 21.03% places AFL in the upper quartile for the Insurance - Life industry, signifying strong profitability and more effective cost management than most of its peers.
ITUB
14.96%
Banks - Regional Industry
- Max
- 32.03%
- Q3
- 21.35%
- Median
- 16.99%
- Q1
- 12.69%
- Min
- 0.27%
ITUB’s Net Profit Margin of 14.96% is aligned with the median group of its peers in the Banks - Regional industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AFL
25.70%
Insurance - Life Industry
- Max
- 38.96%
- Q3
- 37.28%
- Median
- 14.06%
- Q1
- 8.95%
- Min
- -1.68%
In the Insurance - Life industry, Operating Profit Margin is often not the primary measure of operational efficiency.
ITUB
18.38%
Banks - Regional Industry
- Max
- 40.01%
- Q3
- 26.24%
- Median
- 21.14%
- Q1
- 15.85%
- Min
- 1.50%
ITUB’s Operating Profit Margin of 18.38% is around the midpoint for the Banks - Regional industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | AFL | ITUB |
|---|---|---|
| Return on Equity (TTM) | 13.91% | 20.70% |
| Return on Assets (TTM) | 2.99% | 1.49% |
| Return on Invested Capital (TTM) | 2.99% | 1.37% |
| Net Profit Margin (TTM) | 21.03% | 14.96% |
| Operating Profit Margin (TTM) | 25.70% | 18.38% |
| Gross Profit Margin (TTM) | 79.82% | 46.31% |
Financial Strength
Current Ratio
AFL
--
Insurance - Life Industry
- Max
- 843.97
- Q3
- 821.68
- Median
- 6.06
- Q1
- 3.15
- Min
- 0.47
Current Ratio data for AFL is currently unavailable.
ITUB
--
Banks - Regional Industry
- Max
- 0.39
- Q3
- 0.22
- Median
- 0.15
- Q1
- 0.10
- Min
- 0.01
For the Banks - Regional industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
AFL
0.29
Insurance - Life Industry
- Max
- 0.86
- Q3
- 0.83
- Median
- 0.55
- Q1
- 0.37
- Min
- 0.27
Falling into the lower quartile for the Insurance - Life industry, AFL’s Debt-to-Equity Ratio of 0.29 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
ITUB
1.89
Banks - Regional Industry
- Max
- 1.74
- Q3
- 0.81
- Median
- 0.42
- Q1
- 0.18
- Min
- 0.00
With a Debt-to-Equity Ratio of 1.89, ITUB operates with exceptionally high leverage compared to the Banks - Regional industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
AFL
21.96
Insurance - Life Industry
- Max
- 37.82
- Q3
- 19.50
- Median
- 6.25
- Q1
- 2.29
- Min
- -0.76
AFL’s Interest Coverage Ratio of 21.96 is in the upper quartile for the Insurance - Life industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
ITUB
0.40
Banks - Regional Industry
- Max
- 1.58
- Q3
- 0.84
- Median
- 0.59
- Q1
- 0.35
- Min
- -0.35
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Regional industry.
Financial Strength at a Glance
| Symbol | AFL | ITUB |
|---|---|---|
| Current Ratio (TTM) | -- | -- |
| Quick Ratio (TTM) | -- | -- |
| Debt-to-Equity Ratio (TTM) | 0.29 | 1.89 |
| Debt-to-Asset Ratio (TTM) | 0.06 | 0.14 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.57 | 7.67 |
| Interest Coverage Ratio (TTM) | 21.95 | 0.40 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AFL and ITUB. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AFL
2.07%
Insurance - Life Industry
- Max
- 10.36%
- Q3
- 4.76%
- Median
- 2.40%
- Q1
- 1.51%
- Min
- 0.00%
AFL’s Dividend Yield of 2.07% is consistent with its peers in the Insurance - Life industry, providing a dividend return that is standard for its sector.
ITUB
10.58%
Banks - Regional Industry
- Max
- 11.72%
- Q3
- 4.07%
- Median
- 3.00%
- Q1
- 1.68%
- Min
- 0.00%
With a Dividend Yield of 10.58%, ITUB offers a more attractive income stream than most of its peers in the Banks - Regional industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
AFL
31.03%
Insurance - Life Industry
- Max
- 203.94%
- Q3
- 64.38%
- Median
- 29.88%
- Q1
- 19.14%
- Min
- 0.00%
AFL’s Dividend Payout Ratio of 31.03% is within the typical range for the Insurance - Life industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
ITUB
61.96%
Banks - Regional Industry
- Max
- 155.35%
- Q3
- 50.05%
- Median
- 34.14%
- Q1
- 18.61%
- Min
- 0.00%
ITUB’s Dividend Payout Ratio of 61.96% is in the upper quartile for the Banks - Regional industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | AFL | ITUB |
|---|---|---|
| Dividend Yield (TTM) | 2.07% | 10.58% |
| Dividend Payout Ratio (TTM) | 31.03% | 61.96% |
Valuation
Price-to-Earnings Ratio
AFL
15.85
Insurance - Life Industry
- Max
- 17.82
- Q3
- 16.08
- Median
- 12.43
- Q1
- 7.33
- Min
- 3.69
AFL’s P/E Ratio of 15.85 is within the middle range for the Insurance - Life industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
ITUB
9,211.91
Banks - Regional Industry
- Max
- 22.32
- Q3
- 15.38
- Median
- 12.31
- Q1
- 10.72
- Min
- 4.30
At 9,211.91, ITUB’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Banks - Regional industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Forward P/E to Growth Ratio
AFL
2.40
Insurance - Life Industry
- Max
- 3.81
- Q3
- 1.95
- Median
- 0.97
- Q1
- 0.53
- Min
- 0.24
A Forward PEG Ratio of 2.40 places AFL in the upper quartile for the Insurance - Life industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
ITUB
1,307.13
Banks - Regional Industry
- Max
- 4.03
- Q3
- 2.13
- Median
- 1.25
- Q1
- 0.71
- Min
- 0.02
ITUB’s Forward PEG Ratio of 1,307.13 is exceptionally high for the Banks - Regional industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
Price-to-Sales Ratio
AFL
3.31
Insurance - Life Industry
- Max
- 3.84
- Q3
- 2.89
- Median
- 1.06
- Q1
- 0.63
- Min
- 0.31
AFL’s P/S Ratio of 3.31 is in the upper echelon for the Insurance - Life industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
ITUB
1.34
Banks - Regional Industry
- Max
- 4.28
- Q3
- 2.76
- Median
- 2.17
- Q1
- 1.71
- Min
- 0.55
The P/S Ratio is often not a primary valuation tool in the Banks - Regional industry.
Price-to-Book Ratio
AFL
2.16
Insurance - Life Industry
- Max
- 3.87
- Q3
- 2.13
- Median
- 1.49
- Q1
- 0.95
- Min
- 0.38
AFL’s P/B Ratio of 2.16 is in the upper tier for the Insurance - Life industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
ITUB
1,913.51
Banks - Regional Industry
- Max
- 1.99
- Q3
- 1.35
- Median
- 1.09
- Q1
- 0.92
- Min
- 0.33
At 1,913.51, ITUB’s P/B Ratio is at an extreme premium to the Banks - Regional industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | AFL | ITUB |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 15.85 | 9211.91 |
| Forward PEG Ratio (TTM) | 2.40 | 1307.13 |
| Price-to-Sales Ratio (P/S, TTM) | 3.31 | 1.34 |
| Price-to-Book Ratio (P/B, TTM) | 2.16 | 1913.51 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 23.10 | -16.01 |
| EV-to-EBITDA (TTM) | 13.45 | 16.99 |
| EV-to-Sales (TTM) | 3.46 | 2.45 |