Unum Group (NYSE:UNM) Board Authorizes Share Buyback Plan

Unum Group (NYSE:UNM) declared that its Board of Directors has initiated a stock repurchase plan on Tuesday, February 18th, RTT News reports. The company plans to buyback $1.00 billion in outstanding shares. This buyback authorization permits the financial services provider to reacquire up to 7.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its stock is undervalued.

Unum Group Stock Down 0.3 %

UNM opened at $74.75 on Friday. Unum Group has a 1 year low of $48.38 and a 1 year high of $79.43. The firm has a 50 day moving average price of $74.28 and a 200 day moving average price of $66.61. The company has a debt-to-equity ratio of 0.32, a quick ratio of 0.28 and a current ratio of 0.29. The company has a market cap of $13.65 billion, a PE ratio of 7.89, a price-to-earnings-growth ratio of 1.12 and a beta of 0.80.

Unum Group (NYSE:UNM) last released its quarterly earnings data on Tuesday, February 4th. The financial services provider reported $2.03 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.14 by ($0.11). Unum Group had a return on equity of 14.91% and a net margin of 13.81%. Sell-side analysts expect that Unum Group will post 9.15 earnings per share for the current year.

Unum Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, February 14th. Stockholders of record on Friday, January 24th were given a $0.42 dividend. This represents a $1.68 annualized dividend and a dividend yield of 2.25%. The ex-dividend date of this dividend was Friday, January 24th. Unum Group’s payout ratio is 17.74%.

Wall Street Analyst Weigh In

Several analysts have commented on UNM shares. Keefe, Bruyette & Woods lifted their target price on shares of Unum Group from $88.00 to $90.00 and gave the stock an “outperform” rating in a research note on Wednesday, February 12th. Barclays upped their target price on Unum Group from $76.00 to $85.00 and gave the company an “overweight” rating in a research note on Monday, January 6th. Jefferies Financial Group raised their price target on Unum Group from $91.00 to $96.00 and gave the stock a “buy” rating in a research note on Tuesday, December 10th. JPMorgan Chase & Co. reaffirmed a “neutral” rating and set a $79.00 price objective (up previously from $74.00) on shares of Unum Group in a research note on Tuesday, January 7th. Finally, StockNews.com upgraded shares of Unum Group from a “hold” rating to a “buy” rating in a report on Friday, February 14th. Four equities research analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. According to data from MarketBeat, Unum Group presently has an average rating of “Moderate Buy” and a consensus target price of $81.17.

Insider Transactions at Unum Group

In related news, EVP Timothy Gerald Arnold sold 10,000 shares of the firm’s stock in a transaction on Wednesday, November 27th. The shares were sold at an average price of $76.92, for a total transaction of $769,200.00. Following the completion of the sale, 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 transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.93% of the company’s stock.

Unum Group Company Profile

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.