UNUM GROUP (UNM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:UNM - US91529Y1064 - Common Stock
76.09 USD
-1.3 (-1.68%)
76.09 USD
0 (0%)
Taking everything into account, UNM scores 4 out of 10 in our fundamental rating. UNM was compared to 146 industry peers in the Insurance industry. While UNM is still in line with the averages on profitability rating, there are concerns on its financial health. UNM has a correct valuation and a medium growth rate. Finally UNM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year UNM was profitable.
- UNM had a positive operating cash flow in the past year.
- In the past 5 years UNM has always been profitable.
- Each year in the past 5 years UNM had a positive operating cash flow.
1.2 Ratios
- UNM has a Return On Assets (1.43%) which is comparable to the rest of the industry.
- UNM has a Return On Equity of 8.37%. This is in the lower half of the industry: UNM underperforms 61.64% of its industry peers.
- The Return On Invested Capital of UNM (1.70%) is comparable to the rest of the industry.
- UNM had an Average Return On Invested Capital over the past 3 years of 2.64%. This is significantly below the industry average of 15.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.43% | ||
| ROE | 8.37% | ||
| ROIC | 1.7% |
ROA(3y)2.4%
ROA(5y)1.94%
ROE(3y)15.21%
ROE(5y)12.31%
ROIC(3y)2.64%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 6.99%, UNM is in line with its industry, outperforming 43.84% of the companies in the same industry.
- UNM's Profit Margin has improved in the last couple of years.
- UNM's Operating Margin of 10.48% is in line compared to the rest of the industry. UNM outperforms 41.78% of its industry peers.
- In the last couple of years the Operating Margin of UNM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.48% | ||
| PM (TTM) | 6.99% | ||
| GM | N/A |
OM growth 3Y14.4%
OM growth 5Y7.24%
PM growth 3Y19.13%
PM growth 5Y8.58%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- UNM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for UNM has been reduced compared to 1 year ago.
- Compared to 5 years ago, UNM has less shares outstanding
- The debt/assets ratio for UNM is higher compared to a year ago.
2.2 Solvency
- UNM has a debt to FCF ratio of 5.44. This is a neutral value as UNM would need 5.44 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.44, UNM is doing worse than 64.38% of the companies in the same industry.
- UNM has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
- UNM has a Debt to Equity ratio of 0.32. This is comparable to the rest of the industry: UNM outperforms 49.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.22
WACC7.85%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 0.37% over the past year.
- UNM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.18% yearly.
- The Revenue has been growing slightly by 2.13% in the past year.
- UNM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.40% yearly.
EPS 1Y (TTM)0.37%
EPS 3Y24.82%
EPS 5Y9.18%
EPS Q2Q%-1.88%
Revenue 1Y (TTM)2.13%
Revenue growth 3Y2.37%
Revenue growth 5Y1.4%
Sales Q2Q%5.02%
3.2 Future
- UNM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.87% yearly.
- The Revenue is expected to grow by 3.77% on average over the next years.
EPS Next Y-0.27%
EPS Next 2Y4.77%
EPS Next 3Y6.89%
EPS Next 5Y6.87%
Revenue Next Year1.89%
Revenue Next 2Y2.52%
Revenue Next 3Y3.18%
Revenue Next 5Y3.77%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 9.25, which indicates a very decent valuation of UNM.
- Compared to the rest of the industry, the Price/Earnings ratio of UNM indicates a somewhat cheap valuation: UNM is cheaper than 65.75% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of UNM to the average of the S&P500 Index (27.47), we can say UNM is valued rather cheaply.
- UNM is valuated reasonably with a Price/Forward Earnings ratio of 8.21.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of UNM indicates a somewhat cheap valuation: UNM is cheaper than 66.44% of the companies listed in the same industry.
- UNM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.25 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
- UNM's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, UNM is valued a bit more expensive than 61.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.48 | ||
| EV/EBITDA | 11 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.01
EPS Next 2Y4.77%
EPS Next 3Y6.89%
5. Dividend
5.1 Amount
- UNM has a Yearly Dividend Yield of 2.38%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.42, UNM pays a bit more dividend than its industry peers.
- UNM's Dividend Yield is a higher than the S&P500 average which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
- On average, the dividend of UNM grows each year by 7.77%, which is quite nice.
- UNM has paid a dividend for at least 10 years, which is a reliable track record.
- UNM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.77%
Div Incr Years16
Div Non Decr Years20
5.3 Sustainability
- 33.52% of the earnings are spent on dividend by UNM. This is a low number and sustainable payout ratio.
- UNM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.52%
EPS Next 2Y4.77%
EPS Next 3Y6.89%
76.09
-1.3 (-1.68%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)02-05 2026-02-05/amc
Inst Owners90.64%
Inst Owner Change-0.16%
Ins Owners0.86%
Ins Owner Change-2.36%
Market Cap12.73B
Revenue(TTM)13.07B
Net Income(TTM)913.10M
Analysts78.82
Price Target96.27 (26.52%)
Short Float %1.62%
Short Ratio1.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Yearly Dividend1.59
Dividend Growth(5Y)7.77%
DP33.52%
Div Incr Years16
Div Non Decr Years20
Ex-Date01-30 2026-01-30 (0.46)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.43%
Min EPS beat(2)-7.26%
Max EPS beat(2)-3.6%
EPS beat(4)0
Avg EPS beat(4)-6.15%
Min EPS beat(4)-7.7%
Max EPS beat(4)-3.6%
EPS beat(8)3
Avg EPS beat(8)-2.09%
EPS beat(12)6
Avg EPS beat(12)0.11%
EPS beat(16)10
Avg EPS beat(16)8.56%
Revenue beat(2)1
Avg Revenue beat(2)0.16%
Min Revenue beat(2)-0.37%
Max Revenue beat(2)0.7%
Revenue beat(4)1
Avg Revenue beat(4)-2.64%
Min Revenue beat(4)-8.42%
Max Revenue beat(4)0.7%
Revenue beat(8)1
Avg Revenue beat(8)-1.99%
Revenue beat(12)1
Avg Revenue beat(12)-1.65%
Revenue beat(16)2
Avg Revenue beat(16)-1.52%
PT rev (1m)0.31%
PT rev (3m)1.09%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-5.1%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.37%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.25 | ||
| Fwd PE | 8.21 | ||
| P/S | 0.97 | ||
| P/FCF | 18.48 | ||
| P/OCF | 15.61 | ||
| P/B | 1.17 | ||
| P/tB | 1.21 | ||
| EV/EBITDA | 11 |
EPS(TTM)8.23
EY10.82%
EPS(NY)9.26
Fwd EY12.18%
FCF(TTM)4.12
FCFY5.41%
OCF(TTM)4.87
OCFY6.41%
SpS78.1
BVpS65.19
TBVpS63.08
PEG (NY)N/A
PEG (5Y)1.01
Graham Number109.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.43% | ||
| ROE | 8.37% | ||
| ROCE | 2.16% | ||
| ROIC | 1.7% | ||
| ROICexc | 1.71% | ||
| ROICexgc | 2.25% | ||
| OM | 10.48% | ||
| PM (TTM) | 6.99% | ||
| GM | N/A | ||
| FCFM | 5.27% |
ROA(3y)2.4%
ROA(5y)1.94%
ROE(3y)15.21%
ROE(5y)12.31%
ROIC(3y)2.64%
ROIC(5y)N/A
ROICexc(3y)2.65%
ROICexc(5y)N/A
ROICexgc(3y)3.26%
ROICexgc(5y)N/A
ROCE(3y)3.36%
ROCE(5y)N/A
ROICexgc growth 3Y21.47%
ROICexgc growth 5Y12.4%
ROICexc growth 3Y22.34%
ROICexc growth 5Y10.45%
OM growth 3Y14.4%
OM growth 5Y7.24%
PM growth 3Y19.13%
PM growth 5Y8.58%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.44 | ||
| Debt/EBITDA | 2.33 | ||
| Cap/Depr | 107.2% | ||
| Cap/Sales | 0.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 54.84% | ||
| Profit Quality | 75.47% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC7.85%
ROIC/WACC0.22
Cap/Depr(3y)108.22%
Cap/Depr(5y)104.31%
Cap/Sales(3y)0.97%
Cap/Sales(5y)0.95%
Profit Quality(3y)84.91%
Profit Quality(5y)89.05%
High Growth Momentum
Growth
EPS 1Y (TTM)0.37%
EPS 3Y24.82%
EPS 5Y9.18%
EPS Q2Q%-1.88%
EPS Next Y-0.27%
EPS Next 2Y4.77%
EPS Next 3Y6.89%
EPS Next 5Y6.87%
Revenue 1Y (TTM)2.13%
Revenue growth 3Y2.37%
Revenue growth 5Y1.4%
Sales Q2Q%5.02%
Revenue Next Year1.89%
Revenue Next 2Y2.52%
Revenue Next 3Y3.18%
Revenue Next 5Y3.77%
EBIT growth 1Y-43.7%
EBIT growth 3Y17.11%
EBIT growth 5Y8.74%
EBIT Next Year-0.37%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-37.11%
FCF growth 3Y2.8%
FCF growth 5Y-2.7%
OCF growth 1Y-32.94%
OCF growth 3Y2.93%
OCF growth 5Y-2.77%
UNUM GROUP / UNM FAQ
Can you provide the ChartMill fundamental rating for UNUM GROUP?
ChartMill assigns a fundamental rating of 4 / 10 to UNM.
What is the valuation status of UNUM GROUP (UNM) stock?
ChartMill assigns a valuation rating of 4 / 10 to UNUM GROUP (UNM). This can be considered as Fairly Valued.
How profitable is UNUM GROUP (UNM) stock?
UNUM GROUP (UNM) has a profitability rating of 4 / 10.
What is the valuation of UNUM GROUP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for UNUM GROUP (UNM) is 9.25 and the Price/Book (PB) ratio is 1.17.
How sustainable is the dividend of UNUM GROUP (UNM) stock?
The dividend rating of UNUM GROUP (UNM) is 7 / 10 and the dividend payout ratio is 33.52%.