Zacks Research Downgrades Unum Group (NYSE:UNM) to Strong Sell

Unum Group (NYSE:UNM) was downgraded by analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Wednesday,Zacks.com reports. Zacks Research also issued estimates for Unum Group’s Q1 2027 earnings at $2.51 EPS, Q2 2027 earnings at $2.53 EPS, Q3 2027 earnings at $2.46 EPS and FY2028 earnings at $10.58 EPS.

Other equities research analysts also recently issued research reports about the company. Morgan Stanley set a $85.00 target price on Unum Group in a report on Monday, December 15th. Jefferies Financial Group reiterated a “buy” rating and issued a $115.00 price objective on shares of Unum Group in a research note on Monday, January 5th. UBS Group cut their price objective on shares of Unum Group from $85.00 to $81.00 and set a “neutral” rating for the company in a report on Friday, February 20th. JPMorgan Chase & Co. decreased their target price on shares of Unum Group from $92.00 to $90.00 and set a “neutral” rating on the stock in a research report on Friday, February 6th. Finally, Weiss Ratings downgraded shares of Unum Group from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, February 11th. Two research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $96.58.

Unum Group Trading Up 1.9%

Shares of UNM stock opened at $73.85 on Wednesday. Unum Group has a 12-month low of $66.81 and a 12-month high of $84.48. The company has a market capitalization of $12.09 billion, a PE ratio of 17.38, a price-to-earnings-growth ratio of 1.62 and a beta of 0.20. The firm has a 50 day moving average price of $76.11 and a two-hundred day moving average price of $75.25. The company has a quick ratio of 0.37, a current ratio of 0.37 and a debt-to-equity ratio of 0.34.

Unum Group (NYSE:UNM) last announced its earnings results on Thursday, February 5th. The financial services provider reported $1.92 earnings per share for the quarter, missing analysts’ consensus estimates of $2.11 by ($0.19). The firm had revenue of $3.25 billion for the quarter, compared to the consensus estimate of $3.29 billion. Unum Group had a return on equity of 12.62% and a net margin of 5.65%.Unum Group’s revenue for the quarter was up .2% on a year-over-year basis. During the same quarter last year, the business posted $2.03 EPS. Unum Group has set its FY 2026 guidance at 8.600-8.900 EPS. As a group, analysts predict that Unum Group will post 9.14 earnings per share for the current year.

Unum Group declared that its Board of Directors has approved a stock repurchase plan on Thursday, December 4th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the financial services provider to purchase up to 8.2% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling

In related news, Director Timothy F. Keaney sold 4,500 shares of the stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $72.58, for a total transaction of $326,610.00. Following the sale, the director owned 38,592 shares in the company, valued at approximately $2,801,007.36. This trade represents a 10.44% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CAO Walter Lynn Rice, Jr. sold 900 shares of Unum Group stock in a transaction that occurred on Tuesday, December 9th. The shares were sold at an average price of $73.50, for a total transaction of $66,150.00. Following the completion of the transaction, the chief accounting officer directly owned 8,940 shares in the company, valued at $657,090. This trade represents a 9.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 14,400 shares of company stock worth $1,049,760. Corporate insiders own 0.92% of the company’s stock.

Institutional Trading of Unum Group

Institutional investors and hedge funds have recently modified their holdings of the business. Norges Bank bought a new position in Unum Group in the fourth quarter valued at about $1,108,919,000. First Trust Advisors LP lifted its holdings in shares of Unum Group by 4.0% in the third quarter. First Trust Advisors LP now owns 5,734,937 shares of the financial services provider’s stock worth $446,063,000 after acquiring an additional 223,095 shares during the last quarter. Charles Schwab Investment Management Inc. grew its holdings in shares of Unum Group by 0.5% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 5,653,246 shares of the financial services provider’s stock valued at $438,127,000 after purchasing an additional 26,753 shares during the last quarter. Dimensional Fund Advisors LP increased its position in Unum Group by 0.4% during the 4th quarter. Dimensional Fund Advisors LP now owns 3,791,712 shares of the financial services provider’s stock worth $293,868,000 after purchasing an additional 13,832 shares in the last quarter. Finally, Geode Capital Management LLC lifted its stake in Unum Group by 7.0% in the 2nd quarter. Geode Capital Management LLC now owns 3,341,589 shares of the financial services provider’s stock valued at $271,862,000 after purchasing an additional 219,076 shares during the last quarter. 86.57% of the stock is currently owned by institutional investors.

Unum Group Company Profile

Unum Group (NYSE: UNM) is a leading provider of employee benefits in the United States and selected international markets, specializing in disability, life, accident and critical illness insurance. Through both fully insured and self-funded arrangements, the company offers group coverage designed to protect income and mitigate financial hardship for employees and their families. Its portfolio includes short-term and long-term disability plans, group life and accidental death & dismemberment (AD&D) policies, as well as critical illness and hospital indemnity products.

In addition to its core product lines, Unum Group markets voluntary benefits under its Colonial Life brand, allowing employees to purchase supplemental insurance such as accident, cancer, and dental coverage directly through payroll deductions.