The financial analyst that first raised concerns about Aflac's investment portfolio has now upgraded the stock.
Morgan Stanley's Nigel Dally upgraded the Columbus-based supplemental insurance company to "overweight" from "underweight."
"Absent a capital offering, we believe the stock price could more than double," Dally wrote.
The reasoning behind Dally's upgrade is Aflac will likely not have to raise capital -- sell shares -- to cover investment losses.
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At 11 a.m. Friday, Aflac's stock was about even for the day, trading at $16.31 per share. The stock traded at a high of $17.20 earlier in the day.
Last month, Dally raised concerns about Aflac's investments in some European banks. It set off a storm that saw the company's stock lose nearly half of its value.