Unum Group (UNM) closed at $77.33 on March 10, 2025, with a slight decline in both pre-market (-1.18%) and regular trading (-2.16%). The stock is currently trading at $76.86 as of the latest update.

Positive News and Analyst Upgrades:

UNM recently announced a $3.4 billion long-term care reinsurance transaction with Fortitude Re, which has been well-received by the market. This deal could improve the company's risk profile and excess capital position, making it more attractive to investors.

Several analysts have upgraded their ratings on UNM. Raymond James upgraded the stock to Strong Buy with a $108 price target, citing attractive group insurance businesses and expectations of continued de-risking of its long-term care insurance block. BMO Capital also raised its price target to $102, highlighting the company's excess capital and favorable risk/reward for LTC.

Insider and Institutional Activity:

There has been some insider selling, with a director selling 4,423 shares (13.9% of their holdings). However, this is a single transaction and may not indicate a broader trend. Institutional investors are mixed, with 307 adding shares and 325 reducing their positions in the latest quarter.

Technical Analysis:

UNM's stock is trading near its 50-day moving average of $77.16, with an RSI of 50.11, indicating a neutral position in the short term.

Valuation Metrics:

UNM's valuation appears reasonable, with a forward P/E ratio of 9.1 and a dividend yield of 2.20%.

Analyst Sentiment:

The average analyst price target for UNM is $89.25, with a high of $108 and a low of $79. This suggests a potential upside of 16.3% from current levels.

Conclusion:

Given the positive news, analyst upgrades, and reasonable valuation, UNM stock appears to be a good buy at current levels. The recent insider selling is a minor concern but does not outweigh the positive fundamentals.

What is price prediction 2025 for UNM Stock?

UNM stock is expected to reach $85-$108 in 2025, driven by strong analyst upgrades and positive business developments. The stock closed at $77.33 on March 10, 2025, with a $3.4 billion reinsurance transaction and a $1 billion buyback program announced recently. Analysts have set an average price target of $89.25, with a high of $108 due to improving fundamentals and de-risking efforts.

What is surpport and resistant level for UNM Stock?

The S1 support level for UNM Stock is $76.89 ,The R1 resistant level for UNM Stock is $82.25.

What is the current price of UNM Stock?

As of the end of day on 2025-03-14, the price of UNM Stock was $76.81.

What is the target price of UNM Stock?

The target price for UNM Stock according to analyst rating is 92.00, with the highest price target at 108.00 and the lowest at 75.00. Analysts have a Moderate Buy rating on UNM Stock overall.

What is the market cap of Unum Group?

The market cap of UNM is $13.6B.

Is Unum Group (UNM) overvalued?

Analysis and Insights

Valuation Metrics:

Unum Group (UNM) currently exhibits moderate valuation levels. The price-to-earnings (P/E) ratio ranges between 12.35% and 17.26%, which is relatively in line with industry averages. The enterprise value-to-EBITDA (EV/EBITDA) ratio is between 6.75 and 7.72, indicating a reasonable valuation relative to earnings. The price-to-sales (P/S) ratio of 0.84 to 1.19 suggests the stock is fairly priced relative to revenue. The price-to-book (P/B) ratio of 2.72 to 2.96 is slightly above average but not excessively high. The dividend yield of 2.23% to 2.96% is attractive for income-focused investors.

Recent News and Events:

Unum Group recently announced a $3.4 billion long-term care reinsurance transaction with Fortitude Re, which positively impacted the stock price, leading to an 11.11% gain. However, insider trading activity shows that a director sold 4,423 shares, representing 13.9% of their holdings, which may indicate some insider cautiousness. Institutional investors have mixed sentiment, with 307 increasing their positions and 325 reducing theirs in the latest quarter.

Market Trends and Analyst Sentiment:

The stock closed at $77.33 on March 10, with a slight decline of 2.16% during regular market hours. Despite this, Raymond James upgraded UNM to Strong Buy with a $108 price target, reflecting positive analyst sentiment. Recent financial results show stable revenue growth and improving margins, supporting the stock's valuation.

Conclusion:

Based on the analysis, UNM does not appear to be overvalued. The stock's valuation metrics are reasonable, and recent positive developments, such as the reinsurance transaction and analyst upgrades, support its current price. While insider selling and mixed institutional sentiment warrant caution, the overall outlook remains stable.

What is Unum Group (UNM)'s business?

Unum Group is a provider of workplace benefits and services. The Company provides financial protection benefits in the United States and the United Kingdom (UK). Its products include disability, life, accident, critical illness, dental and vision, and other related services. The Company has three segments: Unum US, Unum International, and Colonial Life. Its Unum US segment comprises group disability, group life and accidental death and dismemberment, and supplemental and voluntary lines of business. Its Unum International segment includes its operations in the UK and Poland. Unum UK's business includes insurance for group long-term disability, group life, and supplemental lines of business which include dental, individual disability, and others. Unum Poland's business includes insurance for individual and group life with accident and health riders. Its Colonial Life segment includes accident, sickness, and disability products, life products, and cancer and critical illness products.

What is price prediction 2030 for UNM Stock?

The price prediction for UNM Stock by 2030 is $108. This forecast is supported by analyst upgrades, such as Raymond James raising the target to $108, citing attractive insurance businesses and expected earnings growth of 8-10% annually.