Latest Ratios: P/E Ratio 21.3x · EV/EBITDA 17.2x · ROE 6.7%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $14.4B | $13.4B | $13.7B | $8.9B | $8.3B | $5.0B | $4.7B | $6.1B | $6.5B | $12.5B | $10.4B |
| Enterprise Value | $18.2B | $17.1B | $17.4B | $12.3B | $11.6B | $8.5B | $8.0B | $9.6B | $9.3B | $15.3B | $13.3B |
| P/E Ratio → | 21.29 | 18.11 | 7.72 | 6.96 | 5.90 | 6.11 | 5.90 | 5.56 | 12.34 | 12.56 | 11.12 |
| P/S Ratio | 1.10 | 1.03 | 1.07 | 0.73 | 0.70 | 0.43 | 0.36 | 0.51 | 0.56 | 1.11 | 0.94 |
| P/B Ratio | 1.42 | 1.21 | 1.25 | 0.93 | 0.95 | 0.44 | 0.43 | 0.61 | 0.75 | 1.30 | 1.16 |
| P/FCF | 25.97 | 24.13 | 9.90 | 8.37 | 6.30 | 3.94 | 9.77 | 3.85 | 4.64 | 11.95 | 10.05 |
| P/OCF | 20.97 | 19.49 | 9.08 | 7.43 | 5.85 | 3.63 | 7.82 | 3.51 | 4.21 | 10.85 | 9.29 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.31 | 1.36 | 1.00 | 0.98 | 0.72 | 0.61 | 0.80 | 0.81 | 1.36 | 1.20 |
| EV / EBITDA | 17.20 | 16.23 | 7.36 | 7.05 | 6.24 | 6.19 | 7.43 | 6.41 | 12.81 | 10.17 | 9.15 |
| EV / EBIT | 19.46 | 15.01 | 7.11 | 6.72 | 5.99 | 5.91 | 6.95 | 6.13 | 11.75 | 9.81 | 8.76 |
| EV / FCF | — | 30.87 | 12.56 | 11.54 | 8.81 | 6.69 | 16.74 | 6.01 | 6.71 | 14.69 | 12.87 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 38.2% | 38.2% | 37.1% | 32.8% | 33.1% | 28.0% | 23.5% | 28.5% | 22.2% | 29.0% | 28.8% |
| Operating Margin | 7.2% | 7.2% | 17.6% | 13.3% | 14.7% | 10.6% | 7.3% | 11.5% | 5.4% | 12.4% | 12.2% |
| Net Profit Margin | 5.7% | 5.7% | 13.9% | 10.4% | 11.9% | 8.3% | 6.0% | 9.2% | 4.5% | 8.8% | 8.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.7% | 6.7% | 17.3% | 14.0% | 14.0% | 8.8% | 7.6% | 11.8% | 5.8% | 10.7% | 10.6% |
| ROA | 1.2% | 1.2% | 2.8% | 2.1% | 2.1% | 1.4% | 1.1% | 1.7% | 0.8% | 1.5% | 1.5% |
| ROIC | 4.7% | 4.7% | 12.2% | 9.8% | 9.7% | 6.5% | 5.2% | 8.3% | 3.9% | 8.7% | 8.7% |
| ROCE | 1.5% | 1.5% | 3.6% | 2.6% | 2.7% | 1.8% | 1.4% | 2.1% | 1.0% | 2.2% | 2.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.35 | 0.35 | 0.35 | 0.37 | 0.39 | 0.31 | 0.32 | 0.35 | 0.34 | 0.31 | 0.33 |
| Debt / EBITDA | 3.69 | 3.69 | 1.63 | 2.02 | 1.84 | 2.60 | 3.28 | 2.37 | 4.07 | 1.95 | 2.07 |
| Net Debt / Equity | — | 0.34 | 0.34 | 0.35 | 0.38 | 0.31 | 0.31 | 0.35 | 0.33 | 0.30 | 0.32 |
| Net Debt / EBITDA | 3.54 | 3.54 | 1.56 | 1.94 | 1.78 | 2.54 | 3.09 | 2.31 | 3.95 | 1.90 | 2.00 |
| Debt / FCF | — | 6.74 | 2.67 | 3.17 | 2.51 | 2.75 | 6.97 | 2.17 | 2.07 | 2.74 | 2.81 |
| Interest Coverage | 5.47 | 5.47 | 12.19 | 9.42 | 10.28 | 7.81 | 6.12 | 8.79 | 4.75 | 9.78 | 9.12 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | — | — | 2.40 | 4.23 | 4.36 | 4.31 | 4.58 | 2.13 | 4.71 | 3.04 | 4.70 |
| Quick Ratio | — | — | 2.40 | 4.23 | 4.36 | 4.31 | 4.58 | 2.13 | 4.71 | 3.04 | 4.70 |
| Cash Ratio | — | — | 0.24 | 0.37 | 0.32 | 0.20 | 0.53 | 0.11 | 0.26 | 0.14 | 0.28 |
| Asset Turnover | — | 0.20 | 0.21 | 0.19 | 0.19 | 0.17 | 0.18 | 0.18 | 0.19 | 0.17 | 0.17 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.9% | 2.3% | 2.2% | 3.1% | 3.1% | 4.8% | 5.0% | 3.7% | 3.3% | 1.6% | 1.8% |
| Payout Ratio | 41.5% | 41.5% | 16.7% | 21.6% | 18.1% | 24.4% | 29.2% | 20.8% | 41.2% | 19.7% | 19.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.7% | 5.5% | 13.0% | 14.4% | 17.0% | 16.4% | 17.0% | 18.0% | 8.1% | 8.0% | 9.0% |
| FCF Yield | 3.9% | 4.1% | 10.1% | 12.0% | 15.9% | 25.4% | 10.2% | 26.0% | 21.5% | 8.4% | 9.9% |
| Buyback Yield | 7.0% | 7.5% | 7.1% | 2.8% | 2.4% | 1.0% | 0.0% | 6.5% | 5.5% | 3.2% | 3.9% |
| Total Shareholder Yield | 8.9% | 9.8% | 9.2% | 5.9% | 5.5% | 5.7% | 5.0% | 10.3% | 8.8% | 4.8% | 5.7% |
| Shares Outstanding | — | $173M | $188M | $198M | $202M | $205M | $204M | $210M | $220M | $227M | $236M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying UNM stock.
Unum Group's current P/E ratio is 21.3x. The historical average is 12.5x. This places it at the 85th percentile of its historical range.
Unum Group's current EV/EBITDA is 17.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.0x.
Unum Group's return on equity (ROE) is 6.7%. The historical average is 8.7%.
Based on historical data, Unum Group is trading at a P/E of 21.3x. This is at the 85th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Unum Group's current dividend yield is 1.94% with a payout ratio of 41.5%.
Unum Group has 38.2% gross margin and 7.2% operating margin.
Unum Group's Debt/EBITDA ratio is 3.7x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
LTC reserve adequacy
Metrics are mathematically derived from official filings.
Underwriting Recovery After Claims Spike
Unum's combined ratio improved to 90.0% in Q2 2026 from 98.4% in Q3 2025, as reported in financial statements, indicating a return to healthy underwriting profitability after a temporary claims spike.
The Q3 2025 combined ratio of 98.4% was driven by a loss ratio of 78.0%, likely reflecting a temporary deterioration in disability claims. The subsequent recovery to 90.0% in Q2 2026, with a loss ratio of 60.8%, suggests that the spike was not a structural shift. However, the loss ratio remains above the 2024 levels (around 65%), indicating that morbidity trends may still be elevated relative to the prior year.
ROE Recovery Tempered by Investment Volatility
ROE rebounded to 2.4% in Q2 2026 from 0.4% in Q3 2025, as per SEC filings, but remains below the 3-4% range seen in 2024, suggesting that underwriting improvements are not yet fully translating to shareholder returns.
The low ROE figures (quarterly, not annualized) reflect the capital-intensive nature of the life insurance business, where investment income on float is a key driver. The Q3 2025 ROE of 0.4% was depressed by the claims spike, while the recovery in Q2 2026 is encouraging. However, the sustained higher interest rate environment should provide a tailwind to investment income, yet the ROE has not fully recovered to 2024 levels, possibly due to higher reserve requirements or lower investment yields on new money.
Expense Ratio Volatility Masks Core Efficiency
Unum's expense ratio swung from 19.5% in Q2 2025 to 34.9% in Q4 2025, as reported in financial statements, but normalized to 29.2% in Q2 2026, indicating that quarterly fluctuations may obscure a stable underlying cost structure.
The expense ratio is derived from the combined ratio and loss ratio, and its volatility is partly due to the timing of claims and administrative expenses. The Q3 2024 expense ratio of 69.3% is an anomaly, likely due to a one-time reserve release that distorted the loss ratio. Excluding such outliers, the expense ratio appears to be in the 20-30% range, which is consistent with Unum's scale in the group benefits market. Investors should focus on the trend in the combined ratio rather than quarterly expense ratio swings.
Underwriting Leverage Stable, Capital Adequate
Unum's debt-to-equity ratio remained stable at 0.35 in Q2 2026, as per balance sheet data, while interest coverage improved to 7.18x from 5.15x in Q4 2025, indicating adequate capital to support underwriting leverage.
The premium-to-surplus ratio is not directly provided, but the stable D/E and improving interest coverage suggest that Unum is not over-leveraged relative to its capital base. The company's ability to maintain a consistent dividend yield of around 2.1% and continue share repurchases, as noted in the cash flow analysis, indicates that capital generation is sufficient to support both growth and shareholder returns. However, the adequacy of reserves for the Closed Block remains a key risk that could strain capital if reserve strengthening is required.
Valuation Discount Reflects LTC Overhang
Unum trades at a P/B of 1.34 versus MetLife's 2.21 and Prudential's 1.20, as per current market data, suggesting the market applies a discount for legacy LTC liabilities despite a combined ratio below 100%.
Unum's P/B is below MetLife's but above Prudential's, reflecting a mixed valuation relative to peers. The discount to MetLife may be justified by Unum's lower ROE (6.7% TTM vs. 12.7% for MetLife) and the overhang of the Closed Block. However, Unum's forward P/E of 9.88 is significantly lower than its trailing P/E of 20.12, implying that the market expects earnings growth, possibly from improved investment yields and stable underwriting. The PEG ratio of 10.43 is distorted by low expected growth, but the low forward P/E suggests the stock is undervalued if the LTC risk does not materialize.
Combined Ratio Misleads Without Reserve Adjustments
The combined ratio, while below 100% in most quarters, can be distorted by reserve releases, as evidenced by the 3.0% loss ratio in Q3 2024, according to SEC filings, obscuring true underwriting performance.
For insurers like Unum, the combined ratio is the key profitability metric, but it must be adjusted for reserve development. The Q3 2024 loss ratio of 3.0% is clearly an anomaly, likely due to favorable prior-year reserve development, which masks the underlying claims experience. Analysts should use the accident-year combined ratio, which excludes reserve adjustments, to assess current underwriting profitability. Additionally, the P/E ratio is often misapplied to insurers because earnings can be volatile due to investment gains/losses and reserve changes; the P/B ratio is a more stable valuation metric for insurance companies.