(UNM) Unum - Overview
Sector: Financial Services | Industry: Insurance - Life | Exchange: NYSE (USA) | Market Cap: 13.298m USD | Total Return: 7.8% in 12m
Avg Turnover: 87.4M
EPS Trend: -46.4%
Qual. Beats: -1
Rev. Trend: 97.7%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
Supp Ema20, Idiosyncratic Leader
Unum Group (UNM) is a global provider of financial protection benefit solutions, operating primarily in the United States, the United Kingdom, and Poland. The company specializes in group and individual disability insurance, life insurance, and supplemental voluntary benefits such as dental, vision, and critical illness coverage. Its business model focuses on the workplace benefits market, distributing products to employers via a mix of direct sales personnel, independent brokers, and consultants.
As a major player in the Life & Health Insurance sub-industry, Unum operates in a sector where profitability is heavily influenced by disability incidence rates and net investment income from fixed-income portfolios. The company manages a Closed Block segment, which includes legacy product lines no longer actively marketed but still requiring long-term capital management. Analyzing historical claims data and interest rate sensitivity on ValueRay can help clarify the companys long-term valuation.
Founded in 1848 and headquartered in Chattanooga, Tennessee, Unum Group maintains a diversified portfolio across four primary segments: Unum US, Unum International, Colonial Life, and Closed Block. This geographic and product diversification allows the firm to mitigate regional economic shifts while maintaining a dominant position in the voluntary benefits market.
- Higher interest rates boost investment income and reduce long-term care reserve requirements
- Employment levels and wage growth drive premium volume across core business segments
- Legacy long-term care block performance and reserve adequacy impact capital volatility
- Benefit utilization rates and claims frequency influence overall underwriting margins and profitability
- Expansion of voluntary benefits and digital enrollment platforms accelerates premium revenue growth
| Net Income: 781.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -1.16 > 1.0 |
| NWC/Revenue: 12.93% < 20% (prev 8.23%; Δ 4.69% < -1%) |
| CFO/TA 0.01 > 3% & CFO 674.9m > Net Income 781.4m |
| Net Debt (3.57b) to EBITDA (1.12b): 3.19 < 3 |
| Current Ratio: 20.63 > 1.5 & < 3 |
| Outstanding Shares: last quarter (164.4m) vs 12m ago -8.10% < -2% |
| Gross Margin: 33.89% > 18% (prev 48.74%; Δ -14.85% > 0.5%) |
| Asset Turnover: 21.25% > 50% (prev 20.31%; Δ 0.94% > 0%) |
| Interest Coverage Ratio: 4.73 > 6 (EBIT TTM 992.6m / Interest Expense TTM 209.9m) |
| A: 0.03 (Total Current Assets 1.81b - Total Current Liabilities 87.6m) / Total Assets 62.7b |
| B: 0.22 (Retained Earnings 13.5b / Total Assets 62.7b) |
| C: 0.02 (EBIT TTM 992.6m / Avg Total Assets 62.6b) |
| D: 0.21 (Book Value of Equity 10.9b / Total Liabilities 51.8b) |
| Altman-Z'' = 1.21 = BB |
| DSRI: 0.99 (Receivables 1.61b/1.56b, Revenue 13.3b/12.7b) |
| GMI: 1.44 (GM 48.74% / 33.89%) |
| AQI: 1.00 (AQ_t 0.96 / AQ_t-1 0.96) |
| SGI: 1.05 (Revenue 13.3b / 12.7b) |
| TATA: 0.00 (NI 781.4m - CFO 674.9m) / TA 62.7b) |
| Beneish M = -2.60 (Cap -4..+1) = A |
As of June 05, 2026, the stock is trading at USD 84.91 with a total of 963,287 shares traded.
Over the past week, the price has changed by +2.98%,
over one month by +5.82%,
over three months by +16.39% and
over the past year by +7.78%.
Unum has received a consensus analysts rating of 4.23. Therefore, it is recommended to buy UNM.
- StrongBuy: 7
- Buy: 2
- Hold: 4
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 97.6 | 15% |
P/E Trailing = 18.0152
P/E Forward = 8.2169
P/S = 0.9969
P/B = 1.2209
P/EG = 1.0285
Revenue TTM = 13.3b USD
EBIT TTM = 992.6m USD
EBITDA TTM = 1.12b USD
Long Term Debt = 3.76b USD (from longTermDebt, last quarter)
Short Term Debt = 22.4m USD (from shortTermDebt, last fiscal year)
Debt = 3.76b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.57b USD (calculated: Debt 3.76b - CCE 192.6m)
Enterprise Value = 16.9b USD (13.3b + Debt 3.76b - CCE 192.6m)
Interest Coverage Ratio = 4.73 (Ebit TTM 992.6m / Interest Expense TTM 209.9m)
EV/FCF = 21.90x (Enterprise Value 16.9b / FCF TTM 770.1m)
FCF Yield = 4.57% (FCF TTM 770.1m / Enterprise Value 16.9b)
FCF Margin = 5.79% (FCF TTM 770.1m / Revenue TTM 13.3b)
Net Margin = 5.87% (Net Income TTM 781.4m / Revenue TTM 13.3b)
Gross Margin = 33.89% ((Revenue TTM 13.3b - Cost of Revenue TTM 8.79b) / Revenue TTM)
Gross Margin QoQ = 40.27% (prev 41.62%)
Tobins Q-Ratio = 0.27 (Enterprise Value 16.9b / Total Assets 62.7b)
Interest Expense / Debt = 5.58% (Interest Expense 209.9m / Debt 3.76b)
Taxrate = 21.28% (211.2m / 992.6m)
NOPAT = 781.4m (EBIT 992.6m * (1 - 21.28%))
Current Ratio = 6.78 (Total Current Assets 1.81b / Total Current Liabilities 266.7m)
Debt / Equity = 0.35 (Debt 3.76b / totalStockholderEquity, last quarter 10.9b)
Debt / EBITDA = 3.19 (Net Debt 3.57b / EBITDA 1.12b)
Debt / FCF = 4.63 (Net Debt 3.57b / FCF TTM 770.1m)
Total Stockholder Equity = 11.1b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.25% (Net Income 781.4m / Total Assets 62.7b)
RoE = 7.07% (Net Income TTM 781.4m / Total Stockholder Equity 11.1b)
RoCE = 6.70% (EBIT 992.6m / Capital Employed (Equity 11.1b + L.T.Debt 3.76b))
RoIC = 1.25% (NOPAT 781.4m / Invested Capital 62.5b)
WACC = 6.89% (E(13.3b)/V(17.1b) * Re(7.60%) + D(3.76b)/V(17.1b) * Rd(5.58%) * (1-Tc(0.21)))
Discount Rate = 7.60% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -7.41%
[DCF] Terminal Value 73.10% ; FCFF base≈1.06b ; Y1≈928.5m ; Y5≈750.1m
[DCF] Fair Price = 53.02 (EV 12.0b - Net Debt 3.57b = Equity 8.47b / Shares 159.8m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -46.37 | EPS CAGR: -7.09% | SUE: -1.10 | # QB: -1
Revenue Correlation: 97.67 | Revenue CAGR: 3.18% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-06-30): EPS=2.16 | Chg30d=-0.12% | Revisions=+9% | Analysts=11
EPS next Quarter (2026-09-30): EPS=2.24 | Chg30d=-0.02% | Revisions=+0% | Analysts=11
EPS current Year (2026-12-31): EPS=8.77 | Chg30d=+0.69% | Revisions=+60% | GrowthEPS=+7.9% | GrowthRev=-9.5%
EPS next Year (2027-12-31): EPS=9.74 | Chg30d=+0.53% | Revisions=+20% | GrowthEPS=+11.0% | GrowthRev=+4.2%
[Analyst] Revisions Ratio: +60%