Unum Group Stock Fair Value Calculation – UNUM GROUP Reports Earnings Results for Q2 of Fiscal Year 2023
August 4, 2023
🌥️Earnings Overview
UNUM GROUP ($NYSE:UNM) announced its earnings results for the second quarter of the fiscal year 2023 on June 30th 2023, with total revenue of USD 3112.2 million, a 2.3% rise from the same period in the previous year. Net income for the quarter totaled USD 392.9 million, a 6.1% increase from the year before.
Market Price
UNUM GROUP stock opened at $48.7 and closed at $48.6, indicating a slight decline in market sentiment. Despite the small dip in stock price, UNUM GROUP reported strong financial performance. The improved financial results were attributed to the company’s focus on cost-cutting and efficiency initiatives. UNUM GROUP has been making strategic investments in its business, such as developing new product lines and expanding its customer base. These efforts have led to increased revenue and market share for the company.
Overall, UNUM GROUP’s second quarter of the 2023 fiscal year was a success. The company demonstrated its commitment to financial discipline and strategic investments, which resulted in improved performance and strong financial results. Investors were pleased with the results and are optimistic about the company’s future prospects. 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 Stock Fair Value Calculation
At GoodWhale, we conducted a financial analysis of UNUM GROUP. Using our proprietary Valuation Line, we calculated the fair value of UNUM GROUP’s share to be $32.2. Comparing this result to the current market price of $48.6, we found that UNUM GROUP is currently overvalued by 51%. This means that investors should not expect to obtain a return that exceeds the market rate, and should be wary of overpaying for UNUM GROUP stock. More…
Peers
The company offers a variety of products and services to its customers. The Unum Group has a number of competitors, including Kansas City Life Insurance Company, National Western Life Group, Inc., and Citizens, Inc.
– Kansas City Life Insurance Co ($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 has experienced a positive financial outlook for Q2 in the 2023 fiscal year, with total revenue increasing by 2.3% and net income increasing by 6.1%. Investors should be encouraged by the company’s increased profits and be confident that the company is well-positioned for future growth. Analysts should consider UNUM GROUP’s long-term potential in the markets they are invested in. With further analysis, investors can have an informed view of their investment in the company and make decisions accordingly.
