Shares of Unum Group ( UNM ) have been a mixed performer over the past year, trading down slightly. Concerns about reserve adequacy have weighed on shares, but last year, Unum undertook reinsurance transactions that significantly reduced its exposureOver fifteen years of experience making contrarian bets based on my macro view and stock-specific turnaround stories to garner outsized returns with a favorable risk/reward profile. If you want me to cover a specific stock or have a question for an article, just ...

Financial Performance - Premium income for Q4 2025 was $2,692.1 million, a slight increase from $2,631.1 million in Q4 2024, while total revenue reached $3,244.1 million compared to $3,236.6 million in the previous year[5]. - Net income for the year ended December 31, 2025, was $738.5 million, a significant decrease from $1,779.1 million in 2024, resulting in a net income per share of $4.28 compared to $9.49[5]. - Adjusted operating revenue for the year was $13,173.1 million, up from $12,921.9 million in 2024, indicating a growth of approximately 1.95%[5]. - Total sales for Unum Group increased by 2.3% to $639.9 million in Q4 2025 compared to $625.4 million in Q4 2024[12]. - Total operating revenue for Q4 2025 was $3,254.2 million, a slight increase of 0.2% compared to Q4 2024, and for the year it was $13,182.1 million, up 2.0%[28]. - The net income for Q4 2025 was $174.1 million, compared to $39.7 million in Q4 2024, with net income per common share increasing to $1.04 from $0.23 year-over-year[33]. - The total after-tax adjusted operating income for the year ended December 31, 2025, was $1,406.0 million, compared to $1,588.2 million in 2024, representing a decline of 11.4%[78]. Equity and Assets - Total stockholders' equity increased to $11,119.1 million as of December 31, 2025, compared to $10,961.1 million in 2024, reflecting a growth of 1.44%[6]. - The company’s total assets reached $63,519.4 million as of December 31, 2025, compared to $61,959.3 million in 2024, showing an increase of approximately 2.52%[5]. - Allocated stockholders' equity was reported at $12,471.1 million, compared to $10,961.1 million, reflecting a growth of approximately 14%[22][25]. - Total assets increased to $63,519.4 million, up from $61,959.3 million year-over-year, reflecting a growth of approximately 2.5%[22][25]. - Total liabilities rose to $52,400.3 million, compared to $50,998.2 million, indicating an increase of about 2.8%[22][25]. - The total adjusted capital for the company was $16,317.6 million in 2025, slightly down from $16,610.8 million in 2024[82]. Investment Performance - The company reported a net investment loss of $106.6 million for the year, compared to a loss of $34.6 million in 2024, highlighting challenges in investment performance[5]. - Unum US net investment income decreased by 5.0% to $148.3 million for Q4 2025, and by 4.4% to $604.2 million for the year[28]. - Unum International's net investment income increased by 13.0% to $145.6 million for the year, reflecting strong performance in the segment[28]. - The company reported a net unrealized loss on securities and derivatives of $2,281.9 million, an increase from $3,025.9 million, indicating a decrease in losses[22][25]. - Net investment income for the year ended December 31, 2025, was $81.6 million, down from $88.3 million in 2024[39]. - Net investment losses totaled $83.5 million for 2025, impacting the overall financial results[87]. Segment Performance - Group Long-term Disability sales decreased by 17.7% to $127.2 million in Q4 2025 from $154.5 million in Q4 2024[12]. - Group Short-term Disability sales increased by 45.3% to $177.9 million in Q4 2025 compared to $122.4 million in Q4 2024[12]. - Colonial Life segment total sales increased by 10.0% to $203.9 million in Q4 2025 compared to $185.4 million in Q4 2024[15]. - Life insurance sales in Colonial Life segment rose by 22.1% to $54.7 million in Q4 2025 from $44.8 million in Q4 2024[15]. - The Closed Block segment reported a 15.9% decline in total operating revenue for Q4 2025, totaling $445.6 million, and a 9.1% decline for the year to $1,892.0 million[28]. - The Voluntary Benefits segment achieved premium income of $227.2 million for Q4 2025, a 6.5% increase from $214.1 million in Q4 2024[41]. Operational Efficiency - The adjusted operating return on equity for Unum US was 22.6% for the year ended December 31, 2025, down from 25.2% in 2024[70]. - Adjusted operating income for Unum US was $289.7 million in Q4 2025, down from $333.2 million in Q4 2024, with an adjusted operating income ratio of 16.6% compared to 19.4% in the previous year[35]. - The benefit ratio for Unum US was 61.1% in Q4 2025, slightly higher than 59.5% in Q4 2024, indicating an increase in policy benefits relative to premium income[35]. - The benefit ratio for Group Life was 64.8% for Q4 2025, a slight improvement from 66.7% in Q4 2024[39]. - The Adjusted Operating Income Ratio for the year ended December 31, 2025, was 15.5%, down from 17.5% in 2024[41]. Future Outlook - The company plans to continue focusing on market expansion and new product development to drive future growth[27]. - The company plans to exclude the results of the Closed Block segment from future after-tax adjusted operating income calculations starting in 2026[86]. - A reinsurance agreement with Fortitude Re, effective January 2025, reinsures approximately 21% of total Closed Block long-term care future policy benefits and 15% of Unum US individual disability future policy benefits[59].

Core Viewpoint - Unum Group (NYSE:UNM) is set to release its quarterly earnings on February 5, 2026, with analysts closely monitoring its financial performance, particularly in light of projected earnings growth despite challenges in investment income [1][2]. Financial Performance Estimates - Analysts estimate that UNM will report earnings per share (EPS) of $2.11, reflecting a 3.9% increase from the previous year [2][6]. - Revenue for the quarter is projected to be approximately $3.29 billion, marking a 1.4% rise compared to the same period last year, supported by a 1.7% increase in premium income due to favorable persistency and improved sales trends [2]. Consensus and Market Reactions - There has been a slight downward revision of 0.4% in the consensus EPS estimate over the past month, which may influence investor reactions and impact short-term stock price performance [3]. Valuation Metrics - UNM's price-to-earnings (P/E) ratio is approximately 14.35, indicating the market's valuation of its earnings [4][6]. - The price-to-sales ratio stands at about 0.99, suggesting that investors are paying less than one dollar for every dollar of sales [4]. - The enterprise value to sales ratio is around 1.26, reflecting the company's total valuation relative to its sales [4]. Cash Flow and Debt Metrics - The enterprise value to operating cash flow ratio is approximately 19.98, providing insight into how the market values UNM's cash-generating ability [5]. - The earnings yield is about 6.97%, indicating the return on investment for shareholders [5]. - UNM maintains a relatively low debt-to-equity ratio of approximately 0.34, and the current ratio is around 2.33, indicating that the company has more than twice the current assets needed to cover its current liabilities [5].

Wall Street analysts forecast that Unum (UNM) will report quarterly earnings of $2.11 per share in its upcoming release, pointing to a year-over-year increase of 3.9%. It is anticipated that revenues will amount to $3.27 billion, exhibiting an increase of 1.4% compared to the year-ago quarter.Over the last 30 days, there has been a downward revision of 0.4% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their i ...

Key Takeaways UNM is expected to post higher Q4 revenues and earnings, with sales expected to rise 1.4% year over year.Premium income is projected to grow 1.7%, supported by favorable persistency and better sales trends.Stronger results at Unum U.S., Colonial Life and International may offset lower net investment income.Unum Group (UNM) is expected to register an improvement in its top and bottom lines when it reports fourth-quarter 2025 results on Feb. 5, after the closing bell.The Zacks Consensus Estimate ...

CHATTANOOGA, Tenn.--(BUSINESS WIRE)--Unum Group's (NYSE: UNM) President & CEO, Rick McKenney, along with EVP and CFO, Steve Zabel, will represent the company at the UBS Financial Services Conference. ABOUT UNUM Unum Group (NYSE: UNM), a leading international provider of workplace benefits and services, has been helping workers and their families thrive for more than 175 years. Through its Unum and Colonial Life brands, the company offers disability, life, accident, critical illness, dental, and vision insur ...

Unum Group (NYSE:UNM) is included among the 14 Best Mid Cap Dividend Aristocrat Stocks to Buy Now. Barclays Boosts UNM Price Target, Sees Life Insurers Supported by Consolidation On January 8, Barclays raised its price target on Unum Group (NYSE:UNM) to $96 from $94 and maintained an Overweight rating. The firm said it remains “cautiously optimistic” on life insurers as the industry heads into 2026. Barclays pointed to strong capital positions, solid cash flow generation, and continued consolidation as p ...

Core Viewpoint - Unum Group is set to release its fourth quarter 2025 results on February 5, 2026, at approximately 4:15 p.m. ET, with a subsequent conference call scheduled for February 6, 2026, at 8:00 a.m. ET to discuss the results and outlook for 2026 [1]. Financial Information - The earnings release and financial supplement will be accessible in the investors section of Unum Group's website [1].

Core Insights - Unum Group (UNM) shares are trading at a discount compared to the Zacks Accident and Health Insurance industry, with a forward price-to-book value of 1.2X, lower than the industry average of 1.75X, the Finance sector's 4.28X, and the Zacks S&P 500 Composite's 8.49X [1] - The company has a market capitalization of $13.13 billion and an average trading volume of 1.3 million shares over the last three months [1] Price Performance - Unum Group shares have increased by 4.8% over the past year, while the industry has grown by 6.3% [3] - The stock closed at $77.12, near its 52-week high of $84.48, indicating strong investor confidence and upward momentum as it trades above the 50-day and 200-day simple moving averages of $75.95 and $77.10, respectively [4] Growth Projections - The Zacks Consensus Estimate for Unum Group's 2025 revenues is $13.19 billion, reflecting a year-over-year improvement of 2.3% [5] - The company anticipates premium growth of 3-6% in 2025, with an operating return on equity (ROE) of 21-23% and earnings per share (EPS) of approximately $8.50 [8][13] Analyst Sentiment - The average price target from 15 analysts for UNM is $93.93 per share, suggesting a potential upside of 22.7% from the last closing price [10] - However, three of the seven analysts have lowered their estimates for 2025, and the Zacks Consensus Estimate for 2025 earnings has decreased by 0.7% over the past 30 days [12] Operational Strength - Unum Group is expected to benefit from strong sales trends, particularly in its Unum U.S. and Colonial Life segments, with a healthy pipeline for group sales and expectations of 5-10% growth for 2025 [14] - The Colonial Life segment has seen rising operating income due to improving premium income and favorable risk results, with management focusing on a mix of higher growth and stable margin businesses [15] Dividend and Capital Return - Unum Group has a strong history of enhancing shareholder value, with a 10% dividend increase effective in Q2 2025, marking the 17th dividend hike in the last 16 years, and a dividend yield of 2.12% [17] - The company plans to repurchase shares within a range of $500 million to $1 billion and return approximately $300 million to shareholders through dividends, aiming for a total capital return of about $1.3 billion in 2025 [18] Conclusion - Favorable sales trends, strong persistency, an improving rate environment, and effective capital deployment are expected to support Unum Group's long-term growth [19]

Core Insights - Unum Group (NYSE:UNM) is recognized as one of the best life insurance stocks to invest in currently [1] Group and Individual Income Protection - Unum Group provides group and individual income protection insurance solutions across the United States, the United Kingdom, Poland, and other countries [5] Shareholder Returns and Financial Performance - The company plans to return approximately $1.3 billion to shareholders in 2025, supported by strong premiums, a nearly 20% return on equity (ROE), and over $2 billion in holding-company liquidity [4] - Management reported reserve actions totaling $478.5 million pretax, a 4% adjusted premium growth, and robust contributions from Unum US, Colonial Life, and International [4] - The company aims to finish 2025 with a risk-based capital (RBC) ratio above 425% and premium growth similar to the previous year [4] Share Repurchase Program - On December 4, 2025, Unum Group announced a new $1 billion share repurchase program, effective January 1, 2026, with buybacks transitioning from the current program upon its expiration [2] - The repurchases may occur through private agreements, open-market transactions, or predetermined trading strategies, depending on market conditions [2] Debt Issuance - On November 14, 2025, Unum Group completed a $300 million senior notes offering due in 2035 with a 5.250% annual coupon, using net proceeds to repay $275 million in senior notes maturing on November 5, 2025 [3] - The issuance is intended to enhance liquidity and provide balance-sheet flexibility for long-term capital needs [3]