Unum Group (NYSE:UNM) Stock Rated "Moderate Buy" by Wall Street Analysts

Key Points

• Wall Street rates Unum Group “Moderate Buy”: Eight of 14 analysts recommend buying the stock, while six rate it a hold. The average 12-month price target is $99.33, above the reported $91.71 opening price.
• Unum reported quarterly EPS of $2.16, matching consensus, while revenue of $3.39 billion exceeded estimates. Management issued fiscal 2026 EPS guidance of $8.60–$8.90.
• The company authorized a $1 billion share-buyback program, allowing repurchases of up to 7% of outstanding shares. Institutional investors own 86.57% of the stock, while insiders sold shares during the quarter.

Shares of Unum Group (NYSE:UNM - Get Free Report) have been given a consensus rating of "Moderate Buy" by the fourteen brokerages that are presently covering the stock, MarketBeat.com reports. Six equities research analysts have rated the stock with a hold recommendation and eight have given a buy recommendation to the company. The average 1-year target price among analysts that have issued a report on the stock in the last year is $99.33.

A number of equities research analysts have recently weighed in on the company. Atlantic Securities set a $88.00 price target on Unum Group in a research note on Wednesday, July 15th. Wells Fargo & Company increased their price objective on shares of Unum Group from $100.00 to $101.00 and gave the company an "overweight" rating in a research report on Thursday, July 9th. Keefe, Bruyette & Woods decreased their price objective on shares of Unum Group from $110.00 to $108.00 and set an "outperform" rating for the company in a research report on Thursday, July 30th. Weiss Ratings upgraded shares of Unum Group from a "buy (b-)" rating to a "buy (b)" rating in a research note on Tuesday, July 28th. Finally, Evercore reiterated an "outperform" rating and issued a $106.00 target price on shares of Unum Group in a research note on Tuesday, July 7th.

Unum Group Stock Up 0.0%

Unum Group stock opened at $91.71 on Monday. Unum Group has a 1-year low of $69.02 and a 1-year high of $96.77. The business has a fifty day moving average price of $91.90 and a 200-day moving average price of $86.57. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.34 and a quick ratio of 0.34. The stock has a market capitalization of $14.52 billion, a price-to-earnings ratio of 21.38, a PEG ratio of 0.97 and a beta of 0.25.

Unum Group (NYSE:UNM - Get Free Report) last announced its earnings results on Tuesday, July 28th. The financial services provider reported $2.16 earnings per share (EPS) for the quarter, meeting the consensus estimate of $2.16. Unum Group had a return on equity of 12.60% and a net margin of 5.26%. The company had revenue of $3.39 billion for the quarter, compared to analyst estimates of $2.90 billion. During the same period in the prior year, the company posted $1.92 EPS. The firm's quarterly revenue was up .3% compared to the same quarter last year. Unum Group has set its FY 2026 guidance at 8.600-8.900 EPS. Equities research analysts forecast that Unum Group will post 8.64 EPS for the current fiscal year.

Unum Group declared that its Board of Directors has initiated a share buyback plan on Wednesday, August 26th that authorizes the company to buy back $1.00 billion in outstanding shares. This buyback authorization authorizes the financial services provider to repurchase up to 7% of its stock through open market purchases. Stock buyback plans are often an indication that the company's board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other news, CAO Lynn Jr sold 2,188 shares of Unum Group stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $94.31, for a total transaction of $206,350.28. Following the completion of the sale, the chief accounting officer directly owned 8,154 shares in the company, valued at approximately $769,003.74. The trade was a 21.16% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Timothy F. Keaney sold 4,300 shares of the business's stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $94.02, for a total transaction of $404,286.00. Following the sale, the director directly owned 36,502 shares in the company, valued at $3,431,918.04. This trade represents a 10.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 10,488 shares of company stock valued at $988,396. Insiders own 1.00% of the company's stock.

Hedge Funds Weigh In On Unum Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Dimensional Fund Advisors LP boosted its holdings in Unum Group by 7.7% during the first quarter. Dimensional Fund Advisors LP now owns 4,084,382 shares of the financial services provider's stock worth $298,287,000 after buying an additional 292,670 shares in the last quarter. Canada Pension Plan Investment Board acquired a new stake in shares of Unum Group during the 2nd quarter valued at about $84,097,000. Donald Smith & CO. Inc. acquired a new stake in shares of Unum Group during the 2nd quarter valued at about $58,064,000. Bank of America Corp DE purchased a new position in shares of Unum Group in the 2nd quarter valued at about $55,273,000. Finally, Quantinno Capital Management LP increased its stake in shares of Unum Group by 14.6% in the 1st quarter. Quantinno Capital Management LP now owns 754,335 shares of the financial services provider's stock valued at $55,089,000 after purchasing an additional 96,123 shares in the last quarter. Hedge funds and other institutional investors own 86.57% of the company's stock.

Key Unum Group News

Here are the key news stories impacting Unum Group this week:

• Positive Sentiment: Colonial Life is reportedly benefiting from sales growth, favorable claims trends, higher investment income and strong profitability. These factors could support Unum’s earnings momentum and improve the risk profile of its core business. Can Unum Group's Colonial Life Sustain Its Earnings Momentum?
• Positive Sentiment: Recent commentary argues that Colonial Life’s strength may be lifting investor sentiment and that Unum could still appear inexpensive relative to its earnings potential. However, these are valuation and analysis pieces rather than new company guidance. Is Unum Group Still Cheap As Colonial Life Strength Lifts Sentiment?
• Neutral Sentiment: Morgan Stanley assigned Unum Group a Hold rating, suggesting limited near-term conviction despite the company’s recent operating momentum. Unum Group Receives a Hold from Morgan Stanley
• Neutral Sentiment: Other analysis focuses on whether Colonial Life’s technology gains are quietly reducing Unum’s risk profile, which could be strategically favorable but does not represent a new earnings or guidance announcement. Is Unum Group’s Colonial Life Tech Gains Quietly Rebalancing Its Core Risk Profile?
• Negative Sentiment: Zacks Research reduced its EPS forecasts for Q1 2027 to $2.15 from $2.17, Q2 2027 to $2.30 from $2.32, FY2027 to $9.33 from $9.36, Q1 2028 to $2.46 from $2.48, Q2 2028 to $2.51 from $2.58, and FY2028 to $10.13 from $10.23. The repeated downward revisions may be weighing on sentiment, even though FY2026 consensus remains $8.64 per share.

About Unum Group

Unum Group is an insurance company that provides employee benefits and related financial protection products to individuals, employers and their workforces. Its offerings include disability insurance, group and individual life insurance, accidental death and dismemberment coverage, long-term care insurance, and supplemental health benefits.

The company serves employers through workplace benefits programs, including absence-management and leave-administration services. Through its Colonial Life business, Unum also offers voluntary benefits such as accident, critical illness, hospital indemnity and dental insurance, which employees may obtain through the workplace.

Unum Group traces its history to 1848, when Union Mutual Life Insurance Company was established in Maine.

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