Unum Group (NYSE:UNM) Stock Price Expected to Rise, BMO Capital Markets Analyst Says

Unum Group (NYSE:UNM) had its target price lifted by BMO Capital Markets from $95.00 to $102.00 in a research note issued to investors on Monday morning,Benzinga reports. The firm currently has an outperform rating on the financial services provider’s stock.

Several other analysts have also issued reports on UNM. Evercore ISI upgraded shares of Unum Group from an “in-line” rating to an “outperform” rating and increased their price target for the stock from $67.00 to $84.00 in a research report on Thursday, November 14th. Jefferies Financial Group increased their price target on shares of Unum Group from $91.00 to $96.00 and gave the stock a “buy” rating in a research report on Tuesday, December 10th. JPMorgan Chase & Co. reiterated a “neutral” rating and set a $79.00 price target (up previously from $74.00) on shares of Unum Group in a research report on Tuesday, January 7th. Keefe, Bruyette & Woods increased their price target on shares of Unum Group from $90.00 to $103.00 and gave the stock an “outperform” rating in a research report on Friday, February 28th. Finally, StockNews.com lowered shares of Unum Group from a “buy” rating to a “hold” rating in a research report on Monday, February 24th. Five research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $86.62.

Unum Group Stock Performance

Shares of NYSE:UNM opened at $81.34 on Monday. The company’s 50 day moving average price is $75.20 and its two-hundred day moving average price is $68.18. Unum Group has a 12-month low of $48.38 and a 12-month high of $83.96. The firm has a market cap of $14.85 billion, a PE ratio of 8.59, a PEG ratio of 1.14 and a beta of 0.80. The company has a quick ratio of 0.28, a current ratio of 0.29 and a debt-to-equity ratio of 0.32.

Unum Group (NYSE:UNM) last announced its earnings results on Tuesday, February 4th. The financial services provider reported $2.03 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.14 by ($0.11). Unum Group had a return on equity of 14.91% and a net margin of 13.81%. Equities research analysts predict that Unum Group will post 9.14 earnings per share for the current year.

Unum Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, February 14th. Shareholders of record on Friday, January 24th were given a $0.42 dividend. The ex-dividend date of this dividend was Friday, January 24th. This represents a $1.68 dividend on an annualized basis and a yield of 2.07%. Unum Group’s dividend payout ratio is currently 17.74%.

Unum Group declared that its board has initiated a stock buyback plan on Tuesday, February 18th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 7.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

Insider Activity

In other news, CEO Richard P. Mckenney sold 50,000 shares of the firm’s stock in a transaction on Monday, March 3rd. The shares were sold at an average price of $81.99, for a total transaction of $4,099,500.00. Following the completion of the transaction, the chief executive officer now owns 980,637 shares of the company’s stock, valued at approximately $80,402,427.63. This trade represents a 4.85 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Lisa G. Iglesias sold 7,000 shares of the firm’s stock in a transaction on Monday, March 3rd. The shares were sold at an average price of $82.75, for a total transaction of $579,250.00. Following the transaction, the executive vice president now directly owns 31,284 shares of the company’s stock, valued at $2,588,751. The trade was a 18.28 % decrease in their position. The disclosure for this sale can be found here. Insiders own 0.93% of the company’s stock.

Hedge Funds Weigh In On Unum Group

A number of hedge funds have recently bought and sold shares of UNM. Norges Bank bought a new position in Unum Group during the fourth quarter worth $1,003,918,000. Vanguard Group Inc. raised its stake in Unum Group by 8.4% during the fourth quarter. Vanguard Group Inc. now owns 20,497,586 shares of the financial services provider’s stock worth $1,496,939,000 after buying an additional 1,596,078 shares during the last quarter. Balyasny Asset Management L.P. bought a new position in Unum Group during the fourth quarter worth $113,962,000. Zurich Insurance Group Ltd FI bought a new position in Unum Group during the fourth quarter worth $105,199,000. Finally, Freestone Grove Partners LP bought a new position in Unum Group during the fourth quarter worth $65,096,000. Institutional investors own 86.57% of the company’s stock.

Unum Group Company Profile

Unum Group, together with its subsidiaries, provides financial protection benefit solutions primarily in the United States, the United Kingdom, Poland, and internationally. It operates through Unum US, Unum International, Colonial Life, and Closed Block segment. The company offers group long-term and short-term disability, group life, and accidental death and dismemberment products; supplemental and voluntary products, such as individual disability, voluntary benefits, and dental and vision products; and accident, sickness, disability, life, and cancer and critical illness products.