Traders Purchase High Volume of Unum Group Call Options (NYSE:UNM)

Unum Group (NYSE:UNM) was the target of unusually large options trading activity on Tuesday. Stock traders purchased 11,016 call options on the stock. This is an increase of 303% compared to the typical daily volume of 2,733 call options.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on UNM shares. Weiss Ratings raised Unum Group from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, July 28th. Morgan Stanley increased their target price on shares of Unum Group from $87.00 to $92.00 and gave the stock an “equal weight” rating in a research report on Monday, August 24th. Evercore restated an “outperform” rating and issued a $106.00 price target on shares of Unum Group in a report on Tuesday, July 7th. Keefe, Bruyette & Woods reduced their price target on shares of Unum Group from $110.00 to $108.00 and set an “outperform” rating on the stock in a research report on Thursday, July 30th. Finally, Wolfe Research decreased their price objective on shares of Unum Group from $102.00 to $100.00 and set an “outperform” rating for the company in a research note on Monday, July 6th. Eight equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $99.42.

Unum Group Stock Up 3.1%

Shares of UNM traded up $2.83 during trading on Tuesday, reaching $92.75. The company’s stock had a trading volume of 383,631 shares, compared to its average volume of 1,544,317. The company has a market cap of $14.68 billion, a price-to-earnings ratio of 21.60, a P/E/G ratio of 0.94 and a beta of 0.25. The company has a quick ratio of 0.34, a current ratio of 0.34 and a debt-to-equity ratio of 0.35. The company has a fifty day moving average of $91.41 and a two-hundred day moving average of $86.04. Unum Group has a twelve month low of $69.02 and a twelve month high of $96.77.

Unum Group (NYSE:UNM) last issued its earnings results on Tuesday, July 28th. The financial services provider reported $2.16 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $2.16. Unum Group had a net margin of 5.26% and a return on equity of 12.60%. The business had revenue of $3.39 billion for the quarter, compared to analyst estimates of $2.90 billion. During the same quarter in the prior year, the business posted $1.92 EPS. The company’s revenue for the quarter was up .3% on a year-over-year basis. Unum Group has set its FY 2026 guidance at 8.600-8.900 EPS. On average, sell-side analysts predict that Unum Group will post 8.64 EPS for the current fiscal year.

Unum Group Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Friday, July 24th were given a dividend of $0.5050 per share. The ex-dividend date was Friday, July 24th. This represents a $2.02 dividend on an annualized basis and a yield of 2.2%. This is an increase from Unum Group’s previous quarterly dividend of $0.46. Unum Group’s payout ratio is presently 47.09%.

Unum Group declared that its board has initiated a share buyback plan on Wednesday, August 26th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the financial services provider to reacquire up to 7% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Insider Transactions at Unum Group

In related news, EVP Lisa G. Iglesias sold 4,000 shares of Unum Group stock in a transaction on Wednesday, September 9th. The stock was sold at an average price of $94.44, for a total value of $377,760.00. Following the transaction, the executive vice president owned 25,453 shares in the company, valued at approximately $2,403,781.32. This trade represents a 13.58% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Walter Lynn Rice, Jr. sold 2,188 shares of the business’s stock in a transaction dated Thursday, September 10th. The shares were sold at an average price of $94.31, for a total value of $206,350.28. Following the sale, the chief accounting officer directly owned 8,154 shares of the company’s stock, valued at approximately $769,003.74. This trade represents a 21.16% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 10,488 shares of company stock worth $988,396 in the last ninety days. Insiders own 1.00% of the company’s stock.

Institutional Investors Weigh In On Unum Group

Several large investors have recently added to or reduced their stakes in UNM. CX Institutional boosted its stake in Unum Group by 57.8% during the 3rd quarter. CX Institutional now owns 352 shares of the financial services provider’s stock valued at $31,000 after purchasing an additional 129 shares during the period. Versant Capital Management Inc increased its stake in shares of Unum Group by 6.0% in the third quarter. Versant Capital Management Inc now owns 3,166 shares of the financial services provider’s stock valued at $278,000 after purchasing an additional 180 shares during the period. QRG Capital Management Inc. boosted its position in shares of Unum Group by 10.8% during the second quarter. QRG Capital Management Inc. now owns 14,359 shares of the financial services provider’s stock worth $1,284,000 after buying an additional 1,404 shares during the period. Envestnet Portfolio Solutions Inc. grew its holdings in Unum Group by 1.6% in the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 18,806 shares of the financial services provider’s stock worth $1,681,000 after buying an additional 289 shares in the last quarter. Finally, Envestnet Asset Management Inc. grew its holdings in Unum Group by 977.7% in the 2nd quarter. Envestnet Asset Management Inc. now owns 167,607 shares of the financial services provider’s stock worth $14,984,000 after buying an additional 152,055 shares in the last quarter. 86.57% of the stock is owned by institutional investors and hedge funds.

Unum Group Company Profile

Unum Group is an insurance company that provides employee benefits and related financial protection products to individuals, employers and their workforces. Its offerings include disability insurance, group and individual life insurance, accidental death and dismemberment coverage, long-term care insurance, and supplemental health benefits.

The company serves employers through workplace benefits programs, including absence-management and leave-administration services. Through its Colonial Life business, Unum also offers voluntary benefits such as accident, critical illness, hospital indemnity and dental insurance, which employees may obtain through the workplace.

Unum Group traces its history to 1848, when Union Mutual Life Insurance Company was established in Maine.