S&P 500 (NYSE:SPY) component UNUM GROUP (NYSE:UNM) will unveil its latest earnings on Tuesday, August 2, 2011. Unum Group provides group and individual disability products in the US and the U and provides a portfolio of other insurance products, including longterm care insurance, life insurance and employee-paid group benefits.
UNUM GROUP Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for net income of 72 cents per share, a rise of 4.3% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 73 cents. Between one and three months ago, the average estimate moved down, but it has been unchanged at 72 cents during the last month. For the year, analysts are projecting profit of $2.92 per share, a rise of 7% from last year.
Past Earnings Performance: The company has missed estimates in the last two quarters. In the first quarter, it missed the mark by one cent as a result of reporting net income of 69 cents against an estimate of profit of 70 cents per share. In the fourth quarter of the last fiscal year, the company fell short of forecasts by 3 cents.
Wall St. Revenue Expectations: On average, analysts predict $2.56 billion in revenue this quarter, a rise of 2% from the year ago quarter. Analysts are forecasting total revenue of $10.26 billion for the year, a rise of 0.9% from last year’s revenue of $10.17 billion.
Analyst Ratings: Analysts seem relatively indifferent about UNUM GROUP with 11 of 15 analysts surveyed maintaining a hold rating.
Revenue has now gone up for three straight quarters. In first quarter, revenue rose 0.1% to $2.56 billion while the figure rose 3.9% in the fourth quarter of the last fiscal year from the year earlier and 0.4% in the third quarter of the last fiscal year.
The decrease in profit in the first quarter comes after net income rose in the previous quarter. In the first quarter, net income fell 1.9% to $225.4 million. In the fourth quarter of the last fiscal year, net income rose 13.2%.
Competitors to Watch: Principal Financial Group, Inc. (NYSE:PFG), AFLAC Incorporated (NYSE:AFL), CNO Financial Group, Inc. (NYSE:CNO), CIGNA Corporation (NYSE:CI), WellPoint, Inc. (NYSE:WLP), American Independence Corp. (NASDAQ:AMIC), Universal American Corp. (NYSE:UAM), Humana Inc. (NYSE:HUM), Triple-S Management Corp. (NYSE:GTS), and HealthMarkets, Inc. (NYSE:UCI).
Stock Price Performance: During May 2, 2011 to July 27, 2011, the stock price had fallen $1.91 (-7.3%) from $26.27 to $24.36. The stock price saw one of its best stretches over the last year between January 19, 2011 and January 27, 2011 when shares rose for seven-straight days, rising 3.8% (+94 cents) over that span. It saw one of its worst periods between April 11, 2011 and April 18, 2011 when shares fell for six-straight days, falling 4% (-$1.04) over that span. Shares are up 42 cents (+1.8%) year to date.
(Source: Xignite Financials)