Unum Group (NYSE:UNM) Cut to “Strong Sell” at Zacks Research

Unum Group (NYSE:UNM) was downgraded by analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research report issued on Wednesday, Zacks reports.

A number of other equities research analysts have also recently commented on UNM. Keefe, Bruyette & Woods reduced their target price on shares of Unum Group from $108.00 to $97.00 and set an “outperform” rating for the company in a research report on Thursday, November 5th. Morgan Stanley lowered their price target on shares of Unum Group from $92.00 to $85.00 and set an “equal weight” rating on the stock in a research report on Tuesday. Barclays dropped their price objective on shares of Unum Group from $109.00 to $101.00 and set an “overweight” rating for the company in a research note on Wednesday, November 4th. Atlantic Securities set a $88.00 price objective on shares of Unum Group in a report on Wednesday, July 15th. Finally, Wells Fargo & Company decreased their target price on shares of Unum Group from $102.00 to $91.00 and set an “overweight” rating on the stock in a research note on Thursday. Eight equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Unum Group currently has a consensus rating of “Moderate Buy” and an average price target of $94.75.

Unum Group Price Performance

Shares of Unum Group stock opened at $79.11 on Wednesday. The stock has a market capitalization of $12.26 billion, a P/E ratio of 56.11, a PEG ratio of 0.88 and a beta of 0.25. The business has a 50 day simple moving average of $90.34 and a two-hundred day simple moving average of $84.13. Unum Group has a 12 month low of $69.02 and a 12 month high of $96.77. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.34 and a quick ratio of 0.34.

Unum Group (NYSE:UNM) last issued its quarterly earnings results on Tuesday, November 3rd. The financial services provider reported $2.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.16 by $0.04. Unum Group had a return on equity of 12.57% and a net margin of 1.94%. The firm had revenue of $3.40 billion for the quarter, compared to analyst estimates of $2.97 billion. During the same period in the previous year, the company posted $2.09 earnings per share. As a group, analysts predict that Unum Group will post 8.37 EPS for the current fiscal year.

Unum Group declared that its Board of Directors has authorized a stock repurchase plan on Wednesday, August 26th that permits the company to buy back $1 billion in outstanding shares. This buyback authorization permits the financial services provider to reacquire up to 7% of its stock through open market purchases. Share buyback plans are often an indication that the company’s management believes its shares are undervalued.

Insider Activity at Unum Group

In related news, CAO Lynn Jr sold 2,188 shares of the firm’s stock in a transaction dated 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. This trade represents a 21.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Timothy F. Keaney sold 4,300 shares of Unum Group stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $94.02, for a total transaction of $404,286.00. Following the transaction, 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. 1.00% of the stock is owned by company insiders.

Institutional Trading of Unum Group

Hedge funds and other institutional investors have recently modified their holdings of the business. Bleakley Financial Group LLC boosted its stake in Unum Group by 11.8% during the third quarter. Bleakley Financial Group LLC now owns 21,654 shares of the financial services provider’s stock worth $1,900,000 after buying an additional 2,282 shares during the period. AlphaGrep UK Ltd acquired a new stake in shares of Unum Group during the third quarter valued at about $333,000. Advisors Asset Management Inc. purchased a new stake in shares of Unum Group in the 3rd quarter valued at approximately $20,751,000. Private Advisor Group LLC raised its stake in shares of Unum Group by 12.2% in the 3rd quarter. Private Advisor Group LLC now owns 13,114 shares of the financial services provider’s stock valued at $1,150,000 after acquiring an additional 1,426 shares during the period. Finally, Focus Advisor Solutions LLC raised its stake in shares of Unum Group by 51.9% in the 3rd quarter. Focus Advisor Solutions LLC now owns 7,300 shares of the financial services provider’s stock valued at $640,000 after acquiring an additional 2,494 shares during the period. 86.57% of the stock is owned by institutional investors and hedge funds.

Unum Group Company Profile

Unum Group is an insurance holding company that provides employee benefits and related services, primarily to employers and their workers. Its offerings include group disability and life insurance, accident and critical illness coverage, and services that help employers manage employee leave and workplace absence. Through its Unum and Colonial Life businesses, the company also provides voluntary benefits that employees can elect through their workplaces. In the United Kingdom, Unum offers workplace benefits including income protection, life insurance and critical illness coverage.