Unum GroupUNM +0.30%66 Interest Coverage is 6.70 as of Mar. 2026, which is 25% below its 10-year median of 8.96. GuruFocus rates UNM with a GF Score™ of 66/100 and a GF Value™ of $73.95 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 351 Insurance companies, Unum Group ranks worse than 74.64% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
EBIT
by its Interest Expense. Unum Group's
EBIT
for the
three
months ended in Mar. 2026 was $356 Mil. Unum Group's Interest Expense for the
three
months ended in Mar. 2026 was $-53 Mil.
Unum Group's interest coverage for the quarter that ended in Mar. 2026 was 6.70.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Unum Group's Interest Coverage or its related term are showing as below:
UNM'
s Interest Coverage Range Over the Past 10 Years
Min: 4.75 Med: 8.96 Max: 12.19
Current: 5.73
UNM's Interest Coverage is ranked worse than 74.64% of 351
companies
in the Insurance industry
Industry Median: 16.23
vs UNM: 5.73
Unum Group (NYSE:UNM) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Unum Group Interest Coverage Related Terms
Unum Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for Unum Group's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
For the Insurance - Life subindustry, Unum Group's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Unum Group Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, Unum Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Unum Group's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Unum Group (UNM) has a Interest Coverage of 6.70 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Unum Group and its competitors. This is 25% below median its historical median of 8.96. Over the past decade, Unum Group's Interest Coverage has ranged from 4.75 to 12.19. According to the industry distribution chart, Unum Group ranks #262 out of 351 companies in the Insurance industry, placing it in the top 74.6%.
Is Unum Group's Interest Coverage too high?
Unum Group's current Interest Coverage of 6.70 is 25% below median its 10-year median of 8.96. Over the past 10 years, this metric has ranged from a low of 4.75 to a high of 12.19. The Insurance industry median Interest Coverage is 16.23. Unum Group's value of 6.70 is 58.7% below this industry median. Based on the distribution chart, Unum Group ranks #262 out of 351 companies in the Insurance industry, which is below the industry midpoint. Overall, Unum Group has a GF Score™ of 66/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Unum Group's Interest Coverage compare to GL and PRI?
According to the Insurance industry distribution chart, Unum Group ranks #262 out of 351 companies for Interest Coverage. This places Unum Group in the lower half of its industry. The industry median Interest Coverage is 16.23. Unum Group's value of 6.70 is 58.7% below this benchmark. Historically, Unum Group's own Interest Coverage has ranged from 4.75 to 12.19 over the past decade. While the company's 10-year median is 8.96 vs. the industry median of 16.23, Unum Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Insurance company?
The median Interest Coverage among Insurance companies is 16.23, based on 351 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Unum Group's current Interest Coverage of 6.70 is 58.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Unum Group and its competitors. For the Insurance industry, the median Interest Coverage is 16.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Unum Group's current Interest Coverage is 6.70, which is 25% below median its own 10-year median of 8.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Unum Group stock overvalued right now?
Based on GuruFocus' analysis, Unum Group (UNM) is currently considered Modestly Overvalued. The stock's GF Value™ is $73.95, compared to a current price of $88.92 — trading 20.2% above its estimated fair value. The current Interest Coverage is 6.70, which is 25% below median its 10-year median of 8.96 and 58.7% below the Insurance industry median of 16.23. Unum Group's overall GF Score™ is 66/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Unum Group (UNM), the current Interest Coverage is 6.70 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Unum Group (UNM) Overvalued in 2026?
Based on GuruFocus' analysis, Unum Group stock appears to be overvalued.
The current stock price of $88.92 is trading 20.2% above its estimated GF Value™ of $73.95.
GuruFocus considers Unum Group to be Modestly Overvalued.
Key valuation signals for UNM:
Interest Coverage: 6.70 (25% below median its 10-year median of 8.96)
GF Value™: $73.95 vs. price of $88.92 (20.2% above fair value)
Industry Position: 58.7% below the Insurance median (#262 of 351)
No single metric tells the full story. See the UNM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Unum Group is a provider of group and individual income protection insurance products in the United States, the United Kingdom, Poland, and other countries. It is the domestic disability insurer, with the majority of premiums generated from employer plans. The company also offers a complementary portfolio of other insurance products, including long-term care insurance, life insurance, and employer- and employee-paid group benefits. It has the following operating business segments: Unum USA, Unum International, Closed Block, Colonial Life, and Corporate. The Unum USA segment generates the majority of revenue. The firm markets its products through brokers.
66GF Score
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