Analysts Upgrade Unum Group (NYSE:UNM) After Strong 2024 Results

Unum Group (NYSE: UNM) has received a wave of positive analyst ratings and price target adjustments following the release of its 2024 annual results. The company's strong performance has led analysts to upgrade their estimates and increase their price targets, reflecting a bullish outlook on the company's long-term growth potential.

Unum Group reported net income of $348.7 million ($1.92 per diluted common share) for the fourth quarter of 2024, compared to net income of $330.6 million ($1.69 per diluted common share) for the fourth quarter of 2023. The company's full-year results reflected solid growth and sustained margins, with core operations premium growth of 5.0 percent on a constant currency basis and after-tax adjusted operating earnings per share growth of 10.2 percent compared to 2023.

The company's robust balance sheet and liquidity, with holding company liquidity of $2.0 billion and a weighted average risk-based capital ratio of approximately 430 percent, further bolstered analysts' confidence in Unum Group's financial health and growth prospects. Additionally, the company's book value per common share increased by 23.0 percent compared to the year-ago quarter, reaching $61.38, while book value per common share excluding accumulated other comprehensive income (loss) (AOCI) grew by 12.7 percent to $75.51.



Analysts have taken note of Unum Group's strong performance and have updated their ratings and price targets accordingly. Within the last 30 days, 9 analysts have evaluated Unum Group, with 3 assigning a bullish rating and 6 assigning a somewhat bullish rating. The average price target for Unum Group has risen by 5.77 percent from the previous average price target of $62.71 to the current average of $66.33.

Several analysts have recently raised their ratings and price targets for Unum Group, indicating their confidence in the company's long-term prospects. For example:

* John Barnidge from Piper Sandler raised his rating from Overweight to Buy and increased his price target from $64.00 to $66.00.
* Alex Scott from Barclays announced an Overweight rating with a price target of $73.00.
* Elyse Greenspan from Wells Fargo raised her rating from Overweight to Buy and increased her price target from $66.00 to $69.00.
* Mark Hughes from Truist Securities raised his rating from Buy to Overweight and increased his price target from $62.00 to $70.00.
* Jimmy Bhullar from JP Morgan raised his rating from Overweight to Buy and increased his price target from $64.00 to $65.00.
* Michael Ward from Citigroup raised his rating from Buy to Overweight and increased his price target from $62.00 to $69.00.

These analyst actions and price target adjustments demonstrate the market's positive perception of Unum Group's long-term growth potential. The majority of analysts have a bullish or somewhat bullish outlook on the company, and they are increasingly optimistic about its future performance, as evidenced by the rising average price targets.

In conclusion, Unum Group's strong 2024 results have led analysts to upgrade their estimates and increase their price targets, reflecting a bullish outlook on the company's long-term growth potential. The company's robust financial health, solid growth, and positive business trends have contributed to this positive market perception. Investors should consider these analyst evaluations alongside crucial financial indicators when making informed investment decisions.