UNUM GROUP (UNM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:UNM - US91529Y1064 - Common Stock
75.8175 USD
+1.56 (+2.1%)
We assign a fundamental rating of 4 out of 10 to UNM. UNM was compared to 147 industry peers in the Insurance industry. There are concerns on the financial health of UNM while its profitability can be described as average. UNM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
UNM had positive earnings in the past year.
In the past year UNM had a positive cash flow from operations.
UNM had positive earnings in each of the past 5 years.
UNM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of UNM (1.43%) is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 8.37%, UNM is doing worse than 62.59% of the companies in the same industry.
UNM has a Return On Invested Capital of 1.70%. This is comparable to the rest of the industry: UNM outperforms 42.18% of its industry peers.
UNM had an Average Return On Invested Capital over the past 3 years of 2.64%. This is significantly below the industry average of 14.90%.
| 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
UNM has a Profit Margin (6.99%) which is in line with its industry peers.
UNM's Profit Margin has improved in the last couple of years.
UNM has a Operating Margin (10.48%) which is in line with its industry peers.
UNM's Operating Margin has improved in the last couple of years.
| 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.
UNM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, UNM has less shares outstanding
Compared to 1 year ago, UNM has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of UNM is 5.44, which is a neutral value as it means it would take UNM, 5.44 years of fcf income to pay off all of its debts.
UNM's Debt to FCF ratio of 5.44 is on the low side compared to the rest of the industry. UNM is outperformed by 63.95% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that UNM is not too dependend on debt financing.
UNM has a Debt to Equity ratio (0.32) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.22
WACC7.78%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
UNM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.37%.
Measured over the past years, UNM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.18% on average per year.
UNM shows a small growth in Revenue. In the last year, the Revenue has grown by 2.13%.
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.
Based on estimates for the next years, UNM will show a small growth in Revenue. The Revenue will grow by 3.63% on average per year.
EPS Next Y-0.27%
EPS Next 2Y4.77%
EPS Next 3Y6.89%
EPS Next 5Y6.87%
Revenue Next Year1.92%
Revenue Next 2Y2.49%
Revenue Next 3Y3.16%
Revenue Next 5Y3.63%
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
Based on the Price/Earnings ratio of 9.21, the valuation of UNM can be described as reasonable.
Based on the Price/Earnings ratio, UNM is valued a bit cheaper than 66.67% of the companies in the same industry.
UNM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.59.
Based on the Price/Forward Earnings ratio of 8.18, the valuation of UNM can be described as reasonable.
69.39% of the companies in the same industry are more expensive than UNM, based on the Price/Forward Earnings ratio.
UNM is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.80, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.21 | ||
| Fwd PE | 8.18 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as UNM.
UNM's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. UNM is more expensive than 62.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.41 | ||
| EV/EBITDA | 10.65 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1
EPS Next 2Y4.77%
EPS Next 3Y6.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.51%, UNM has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.48, UNM has a dividend in line with its industry peers.
UNM's Dividend Yield is comparable with the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
The dividend of UNM is nicely growing with an annual growth rate of 7.77%!
UNM has paid a dividend for at least 10 years, which is a reliable track record.
UNM has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.77%
Div Incr Years16
Div Non Decr Years20
5.3 Sustainability
UNM pays out 33.52% of its income as dividend. This is a 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%
NYSE:UNM (12/11/2025, 11:38:04 AM)
75.8175
+1.56 (+2.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners90.57%
Inst Owner Change-3.4%
Ins Owners0.86%
Ins Owner Change-2.32%
Market Cap12.69B
Revenue(TTM)13.07B
Net Income(TTM)913.10M
Analysts78.89
Price Target95.44 (25.88%)
Short Float %1.41%
Short Ratio1.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
Yearly Dividend1.59
Dividend Growth(5Y)7.77%
DP33.52%
Div Incr Years16
Div Non Decr Years20
Ex-Date
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)0.28%
PT rev (3m)0.61%
EPS NQ rev (1m)-2.02%
EPS NQ rev (3m)-5.16%
EPS NY rev (1m)-1.57%
EPS NY rev (3m)-1.96%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)-1.37%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.21 | ||
| Fwd PE | 8.18 | ||
| P/S | 0.97 | ||
| P/FCF | 18.41 | ||
| P/OCF | 15.55 | ||
| P/B | 1.16 | ||
| P/tB | 1.2 | ||
| EV/EBITDA | 10.65 |
EPS(TTM)8.23
EY10.86%
EPS(NY)9.26
Fwd EY12.22%
FCF(TTM)4.12
FCFY5.43%
OCF(TTM)4.87
OCFY6.43%
SpS78.1
BVpS65.19
TBVpS63.08
PEG (NY)N/A
PEG (5Y)1
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
WACC7.78%
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 Year1.92%
Revenue Next 2Y2.49%
Revenue Next 3Y3.16%
Revenue Next 5Y3.63%
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
What is the fundamental rating for UNM stock?
ChartMill assigns a fundamental rating of 4 / 10 to UNM.
Can you provide the valuation status for UNUM GROUP?
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.
Can you provide the financial health for UNM stock?
The financial health rating of UNUM GROUP (UNM) is 2 / 10.
What is the earnings growth outlook for UNUM GROUP?
The Earnings per Share (EPS) of UNUM GROUP (UNM) is expected to decline by -0.27% in the next year.