(HMN) Horace Mann Educators - Overview
Stock: Auto, Home, Annuity, Life, Disability
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 3.20% |
| Yield on Cost 5y | 4.28% |
| Yield CAGR 5y | 3.08% |
| Payout Consistency | 97.4% |
| Payout Ratio | 40.1% |
| Risk 5d forecast | |
|---|---|
| Volatility | 24.8% |
| Relative Tail Risk | -0.90% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.32 |
| Alpha | 6.59 |
| Character TTM | |
|---|---|
| Beta | 0.354 |
| Beta Downside | 0.468 |
| Drawdowns 3y | |
|---|---|
| Max DD | 25.18% |
| CAGR/Max DD | 0.41 |
Description: HMN Horace Mann Educators January 16, 2026
Horace Mann Educators Corp. (HMN) is a U.S.-based insurance holding company operating through three segments: Property & Casualty (P&C), Life & Retirement, and Supplemental & Group Benefits. The P&C unit sells auto, homeowners, renters, and umbrella policies; the Life & Retirement arm offers a mix of annuities (fixed, fixed-indexed, variable), defined-contribution platforms, and a suite of life products tailored to educators (e.g., Life by Design, Life Select); the Supplemental & Group Benefits segment provides employer-sponsored accident, critical-illness, disability, and term-life coverage, plus worksite-direct health add-ons.
Key performance indicators from HMN’s 2023 filing show a P&C combined ratio of **93%**, indicating underwriting profitability, while the Life & Retirement segment reported **$10.2 bn** in annuity assets and a **10.4%** return on equity (ROE). Net income for the year was **$210 million**, up 7% YoY, driven by modest premium growth (~3% in P&C) and higher investment yields as interest rates rose.
Sector-wide drivers that will likely affect HMN include: (1) **Interest-rate sensitivity** – higher rates boost annuity margins but can pressure bond-heavy investment portfolios; (2) **Inflation-linked claim costs** – rising construction and auto repair prices can erode P&C loss ratios; and (3) **Regulatory environment** – state-level insurance reforms and potential changes to the 403(b) retirement landscape may alter product demand.
HMN distributes its offerings via a hybrid channel mix of independent agents, brokers, benefit specialists, and increasingly through direct digital platforms, reflecting the industry-wide shift toward online acquisition.
For a deeper quantitative dive, ValueRay’s platform offers granular financial metrics and scenario analysis for HMN.
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income: 164.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA 1.53 > 1.0 |
| NWC/Revenue: 356.7% < 20% (prev -833.4%; Δ 1190 % < -1%) |
| CFO/TA 0.04 > 3% & CFO 616.8m > Net Income 164.1m |
| Net Debt (796.2m) to EBITDA (266.1m): 2.99 < 3 |
| Current Ratio: error (cannot be calculated; needs correct Total Current Assets and Liabilities) |
| Outstanding Shares: last quarter (41.6m) vs 12m ago 0.48% < -2% |
| Gross Margin: 34.86% > 18% (prev 0.30%; Δ 3457 % > 0.5%) |
| Asset Turnover: 10.61% > 50% (prev 10.47%; Δ 0.14% > 0%) |
| Interest Coverage Ratio: 6.84 > 6 (EBITDA TTM 266.1m / Interest Expense TTM 34.9m) |
Altman Z'' 2.98
| A: 0.37 (Total Current Assets 5.71b - Total Current Liabilities 0.0) / Total Assets 15.49b |
| B: 0.11 (Retained Earnings 1.63b / Total Assets 15.49b) |
| C: 0.02 (EBIT TTM 238.7m / Avg Total Assets 15.10b) |
| D: 0.11 (Book Value of Equity 1.45b / Total Liabilities 13.43b) |
| Altman-Z'' Score: 2.98 = A |
Beneish M -3.43
| DSRI: 0.93 (Receivables 423.1m/438.6m, Revenue 1.60b/1.54b) |
| GMI: 0.86 (GM 34.86% / 29.95%) |
| AQI: 0.63 (AQ_t 0.63 / AQ_t-1 0.99) |
| SGI: 1.04 (Revenue 1.60b / 1.54b) |
| TATA: -0.03 (NI 164.1m - CFO 616.8m) / TA 15.49b) |
| Beneish M-Score: -3.43 (Cap -4..+1) = AA |
What is the price of HMN shares?
Over the past week, the price has changed by -3.64%, over one month by -4.74%, over three months by -3.93% and over the past year by +9.19%.
Is HMN a buy, sell or hold?
- StrongBuy: 1
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the HMN price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 50.7 | 17.3% |
| Analysts Target Price | 50.7 | 17.3% |
| ValueRay Target Price | 45 | 4.3% |
HMN Fundamental Data Overview February 04, 2026
P/S = 1.09
P/B = 1.2649
P/EG = 2.52
Revenue TTM = 1.60b USD
EBIT TTM = 238.7m USD
EBITDA TTM = 266.1m USD
Long Term Debt = 842.9m USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 842.9m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 796.2m USD (from netDebt column, last quarter)
Enterprise Value = 1.99b USD (1.83b + Debt 842.9m - CCE 674.9m)
Interest Coverage Ratio = 6.84 (Ebit TTM 238.7m / Interest Expense TTM 34.9m)
EV/FCF = 3.23x (Enterprise Value 1.99b / FCF TTM 616.8m)
FCF Yield = 30.93% (FCF TTM 616.8m / Enterprise Value 1.99b)
FCF Margin = 38.50% (FCF TTM 616.8m / Revenue TTM 1.60b)
Net Margin = 10.24% (Net Income TTM 164.1m / Revenue TTM 1.60b)
Gross Margin = 34.86% ((Revenue TTM 1.60b - Cost of Revenue TTM 1.04b) / Revenue TTM)
Gross Margin QoQ = 38.10% (prev 32.05%)
Tobins Q-Ratio = 0.13 (Enterprise Value 1.99b / Total Assets 15.49b)
Interest Expense / Debt = 1.06% (Interest Expense 8.90m / Debt 842.9m)
Taxrate = 18.46% (13.2m / 71.5m)
NOPAT = 194.6m (EBIT 238.7m * (1 - 18.46%))
Current Ratio = unknown (Total Current Assets 5.71b / Total Current Liabilities 0.0)
Debt / Equity = 0.58 (Debt 842.9m / totalStockholderEquity, last quarter 1.44b)
Debt / EBITDA = 2.99 (Net Debt 796.2m / EBITDA 266.1m)
Debt / FCF = 1.29 (Net Debt 796.2m / FCF TTM 616.8m)
Total Stockholder Equity = 1.36b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.09% (Net Income 164.1m / Total Assets 15.49b)
RoE = 12.08% (Net Income TTM 164.1m / Total Stockholder Equity 1.36b)
RoCE = 10.85% (EBIT 238.7m / Capital Employed (Equity 1.36b + L.T.Debt 842.9m))
RoIC = 9.83% (NOPAT 194.6m / Invested Capital 1.98b)
WACC = 5.21% (E(1.83b)/V(2.67b) * Re(7.22%) + D(842.9m)/V(2.67b) * Rd(1.06%) * (1-Tc(0.18)))
Discount Rate = 7.22% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: 81.65 | Cagr: 0.12%
[DCF Debug] Terminal Value 88.43% ; FCFF base≈514.7m ; Y1≈634.9m ; Y5≈1.08b
Fair Price DCF = 754.3 (EV 31.49b - Net Debt 796.2m = Equity 30.69b / Shares 40.7m; r=5.90% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: 47.40 | EPS CAGR: -34.18% | SUE: -4.0 | # QB: 0
Revenue Correlation: 95.75 | Revenue CAGR: 8.85% | SUE: -0.80 | # QB: 0
EPS next Quarter (2026-03-31): EPS=1.23 | Chg30d=+0.005 | Revisions Net=+2 | Analysts=2
EPS next Year (2026-12-31): EPS=4.68 | Chg30d=+0.015 | Revisions Net=+2 | Growth EPS=+0.3% | Growth Revenue=+6.8%