Wells Fargo & Company Forecasts Strong Price Appreciation for Unum Group (NYSE:UNM) Stock

Unum Group (NYSE:UNM) had its price target hoisted by Wells Fargo & Company from $81.00 to $91.00 in a research note released on Wednesday,Benzinga reports. The brokerage currently has an overweight rating on the financial services provider’s stock.

Other equities analysts have also recently issued reports about the stock. JPMorgan Chase & Co. reiterated a “neutral” rating and set a $79.00 price objective (up from $74.00) on shares of Unum Group in a research report on Tuesday, January 7th. Jefferies Financial Group raised their target price on Unum Group from $91.00 to $96.00 and gave the stock a “buy” rating in a research report on Tuesday, December 10th. StockNews.com raised Unum Group from a “hold” rating to a “buy” rating in a research report on Friday, February 14th. Morgan Stanley raised their price objective on Unum Group from $62.00 to $64.00 and gave the stock an “equal weight” rating in a research report on Wednesday, October 30th. Finally, Evercore ISI upgraded Unum Group from an “in-line” rating to an “outperform” rating and upped their target price for the company from $67.00 to $84.00 in a report on Thursday, November 14th. Four analysts have rated the stock with a hold rating and ten have given a buy rating to the stock. According to MarketBeat, Unum Group currently has a consensus rating of “Moderate Buy” and a consensus price target of $81.17.

Unum Group Stock Performance

Shares of NYSE UNM opened at $74.99 on Wednesday. The stock’s fifty day simple moving average is $74.25 and its 200 day simple moving average is $66.55. The stock has a market capitalization of $13.69 billion, a price-to-earnings ratio of 7.92, a PEG ratio of 1.13 and a beta of 0.80. The company has a quick ratio of 0.28, a current ratio of 0.29 and a debt-to-equity ratio of 0.32. Unum Group has a 52-week low of $48.38 and a 52-week high of $79.43.

Unum Group (NYSE:UNM) last issued its quarterly earnings results on Tuesday, February 4th. The financial services provider reported $2.03 earnings per share for the quarter, missing analysts’ consensus estimates of $2.14 by ($0.11). Unum Group had a return on equity of 14.91% and a net margin of 13.81%. As a group, sell-side analysts forecast that Unum Group will post 9.15 earnings per share for the current fiscal year.

Unum Group declared that its board has authorized a stock buyback plan on Tuesday, February 18th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the financial services provider to repurchase up to 7.4% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s board of directors believes its shares are undervalued.

Unum Group Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, February 14th. Investors of record on Friday, January 24th were paid a $0.42 dividend. This represents a $1.68 annualized dividend and a dividend yield of 2.24%. The ex-dividend date of this dividend was Friday, January 24th. Unum Group’s payout ratio is presently 17.74%.

Insiders Place Their Bets

In related news, EVP Timothy Gerald Arnold sold 10,000 shares of the firm’s stock in a transaction that occurred on Wednesday, November 27th. The stock was sold at an average price of $76.92, for a total value of $769,200.00. Following the transaction, the executive vice president now directly owns 54,827 shares of the company’s stock, valued at approximately $4,217,292.84. This trade represents a 15.43 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.93% of the company’s stock.

Hedge Funds Weigh In On Unum Group

Several hedge funds and other institutional investors have recently added to or reduced their stakes in UNM. Charles Schwab Investment Management Inc. lifted its stake in shares of Unum Group by 1.0% in the third quarter. Charles Schwab Investment Management Inc. now owns 5,500,508 shares of the financial services provider’s stock worth $326,950,000 after buying an additional 55,014 shares during the last quarter. Franklin Resources Inc. raised its holdings in Unum Group by 50.0% in the 3rd quarter. Franklin Resources Inc. now owns 469,342 shares of the financial services provider’s stock worth $29,554,000 after acquiring an additional 156,380 shares during the period. Blue Trust Inc. lifted its position in Unum Group by 44.1% during the 4th quarter. Blue Trust Inc. now owns 16,495 shares of the financial services provider’s stock worth $1,205,000 after acquiring an additional 5,047 shares during the last quarter. Thrivent Financial for Lutherans boosted its holdings in Unum Group by 89.5% during the third quarter. Thrivent Financial for Lutherans now owns 111,831 shares of the financial services provider’s stock valued at $6,647,000 after acquiring an additional 52,813 shares during the period. Finally, Kovitz Investment Group Partners LLC bought a new stake in Unum Group during the third quarter valued at about $1,074,000. Institutional investors and hedge funds own 86.57% of the company’s stock.

About Unum Group

Unum Group, together with its subsidiaries, provides financial protection benefit solutions primarily in the United States, the United Kingdom, Poland, and internationally. It operates through Unum US, Unum International, Colonial Life, and Closed Block segment. The company offers group long-term and short-term disability, group life, and accidental death and dismemberment products; supplemental and voluntary products, such as individual disability, voluntary benefits, and dental and vision products; and accident, sickness, disability, life, and cancer and critical illness products.