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Is the Options Market Predicting a Spike in Horace Mann Educators (HMN) Stock?
HMNHorace Mann(HMN) ZACKS·2025-01-16 15:10

Company Overview - Horace Mann Educators Corporation (HMN) is experiencing significant attention from investors due to high implied volatility in its options market, particularly the Feb 21, 2025 35.00Calloption[1]ImpliedVolatilityInsights−Impliedvolatilityindicatesthemarket′sexpectationoffuturepricemovement,suggestingthatinvestorsanticipateasignificantpricechangeforHoraceMannEducatorsshares[2]−Highimpliedvolatilitymayalsosignalanupcomingeventthatcouldleadtoasubstantialrallyorsell−off[2]AnalystSentiment−Currently,HoraceMannEducatorsholdsaZacksRank2(Buy)withintheInsurance−Multilineindustry,whichisinthetop2835.00 Call option [1] Implied Volatility Insights - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a significant price change for Horace Mann Educators shares [2] - High implied volatility may also signal an upcoming event that could lead to a substantial rally or sell-off [2] Analyst Sentiment - Currently, Horace Mann Educators holds a Zacks Rank 2 (Buy) within the Insurance-Multi line industry, which is in the top 28% of the Zacks Industry Rank [3] - Over the past 60 days, no analysts have raised their earnings estimates for the current quarter, while two have lowered their estimates, resulting in a decrease of the Zacks Consensus Estimate from 1.10 to $0.99 per share [3] Trading Strategy Implications - The high implied volatility may indicate a developing trading opportunity, as options traders often seek to sell premium on options with elevated implied volatility to capture decay [4] - Seasoned traders typically hope that the underlying stock does not move as much as initially expected by expiration [4]