Unum Group Intrinsic Stock Value – UNUM GROUP Reports Second Quarter FY2023 Earnings on August 1 2023
August 9, 2023
🌥️Earnings Overview
UNUM GROUP ($NYSE:UNM) reported that their earnings results for the second quarter of fiscal year 2023, ending June 30 2023, on August 1 2023 showed total revenue of USD 3112.2 million, a 2.3% increase from the same period in the previous year. Net income for the quarter was reported to be USD 392.9 million, representing a 6.1% year-over-year rise.
Stock Price
The stock opened at $48.7, and closed at $48.6, down slightly from the previous day’s close of $48.7. The earnings report detailed the financial performance of UNUM GROUP during the second quarter of the fiscal year. It highlighted the organization’s improvement in revenue, profitability, and cash flow.
In addition, the report showed that UNUM GROUP had a strong balance sheet, with adequate liquidity and capital resources to support current operations. The financial results were further supported by a decrease in operating expenses when compared to the same quarter last year. This enabled UNUM GROUP to increase net income and generate positive returns for its shareholders. Overall, the results of UNUM GROUP’s second quarter fiscal year 2023 showed strong financial performance and sound management practices. The company’s continued focus on generating sustainable long-term returns will help it to remain competitive in the market. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Unum Group. More…
| Total Revenues | Net Income | Net Margin |
| 12.01k | 1.44k | 12.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Unum Group. More…
| Operations | Investing | Financing |
| 1.24k | -955.9 | -418.6 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Unum Group. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 61.9k | 52.66k | 47.06 |
Key Ratios Snapshot
Some of the financial key ratios for Unum Group are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 0.1% | – | 16.8% |
| FCF Margin | ROE | ROA |
| 9.4% | 13.6% | 2.0% |
Analysis – Unum Group Intrinsic Stock Value
At GoodWhale, we recently conducted an analysis of the basic components of UNUM GROUP. Our proprietary Valuation Line found that the fair value of a UNUM GROUP share is around $32.6. However, UNUM GROUP stock is currently trading at $48.6, making it overvalued by 48.9%. This potential mispricing of UNUM GROUP shares suggests that there may be potential for investors to benefit from the current market inefficiencies. More…
Peers
The company offers a variety of products and services to its customers. The Unum Group has a number of competitors, including Kansas City Life Insurance Company, National Western Life Group, Inc., and Citizens, Inc.
– Kansas City Life Insurance Co ($OTCPK:KCLI)
Kansas City Life Insurance Company has a market cap of 283.24M as of 2022. The company offers a wide range of life insurance products, including whole life, term life, and universal life insurance. Kansas City Life Insurance also offers annuities and long-term care insurance.
– National Western Life Group Inc ($NASDAQ:NWLI)
National Western Life Group, Inc. is a holding company, which engages in the provision of life insurance and annuity products. It operates through the following segments: Domestic Life Insurance, International Life Insurance, and Annuities. The Domestic Life Insurance segment offers whole life, term life, and universal life products. The International Life Insurance segment provides whole life, term life, and universal life products. The Annuities segment offers fixed and variable annuities. The company was founded by Oliver W. Isbell and H.C. Waggoner in 1906 and is headquartered in Austin, TX.
– Citizens Inc ($NYSE:CIA)
Citizens Inc is a Texas-based insurance holding company that offers life insurance, annuity, and property and casualty insurance products. The company’s market cap as of 2022 is $142.93M. Citizens Inc was founded in 1866 and has been publicly traded on the New York Stock Exchange since 1986. The company employs over 1,000 people and has over $5 billion in assets.
Summary
UNUM GROUP‘s second quarter of FY2023 was a positive one, with total revenue up 2.3% year-on-year to USD 3112.2 million and net income up 6.1% to USD 392.9 million. The increase in both top and bottom line due to robust performance in its core businesses drove a positive outlook for investors, indicating strong market fundamentals and continued potential for growth. Given that UNUM GROUP is well-positioned to capitalize on future growth opportunities, an investment in the company could lead to strong returns over the long term.
