What Makes Unum Group (UNM) Highly Favored by Hedge Funds

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What Makes Unum Group (UNM) Highly Favored by Hedge Funds

Muhammad Ali Khalid

Thu, February 19, 2026 at 2:07 PM GMT+9 2 min read

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UNM

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Unum Group (NYSE:UNM) is one of the 12 oversold financial stocks to invest in according to hedge funds.

On February 6, the price target on Unum Group (UNM) was lowered from $105 to $103 by Thomas Gallagher from Evercore ISI. The analyst maintained an Outperform rating on the stock, which offers almost 44% upside potential at the current level. Gallagher’s downward revision in price target comes after a weak quarterly report, which he labelled as “rough disability quarter on an apples-to-apples basis.” The analyst also noted the company’s 2026 guidance, which is approximately 1%-2% lower, reflecting a modest outlook.

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On February 6, Jimmy Bhullar of J.P. Morgan reiterated his Neutral rating on Unum Group (UNM) and also reduced his price target from $92 to $90. Following this revision, Bhullar’s estimates yield an upside potential of almost 26%. His rating is also based on the company’s recent quarterly announcement, which did not inspire too much confidence.

Unum Group (NYSE:UNM) delivers financial protection benefit solutions with a focus on accident, critical illness, disability, life, and vision insurance. It offers both long-term and short-term plans for individuals and groups, backed by supplemental and voluntary offerings. Other services include reinsurance pools, workplace benefits, management operations, and leave management.

While we acknowledge the potential of UNM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 15 Most Promising Mid-Cap Healthcare Stocks Under $50 and 11 Most Promising Small-Cap Industrial Stocks Under $50.

Disclosure: None. This article is originally published at Insider Monkey.

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