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Horace Mann Educators Corp. /DE/ (HMN) Stock Fundamental Analysis & AI Rating 2026

HMN NYSE Fire, Marine & Casualty Insurance DE CIK: 0000850141
Updated This Month • Analysis: May 9, 2026 • SEC Data: 2026-03-31
Combined AI Rating
BUY
71% Confidence
AGREEMENT
HOLD
70% Conf
BUY
72% Conf

📊 HMN Key Takeaways

Revenue: $429.3M
Net Margin: 9.6%
Free Cash Flow: $61.3M
Current Ratio: N/A
Debt/Equity: 0.40x
EPS: $1.00
AI Rating: HOLD with 70% confidence
Horace Mann Educators Corp. /DE/ (HMN) receives a BUY rating with 71% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $429.3M, net profit margin of 9.6%, and return on equity (ROE) of 2.8%, Horace Mann Educators Corp. /DE/ demonstrates strong fundamentals in the Finance sector. Below is our complete HMN stock analysis for 2026.

Is Horace Mann Educators Corp. /DE/ (HMN) a Good Investment?

Claude

Horace Mann demonstrates solid revenue growth (+6.7% YoY) and strong earnings expansion (+57.3% EPS growth), supported by positive cash flow generation. However, fundamentals are significantly constrained by severely poor capital efficiency—ROE of 2.8% and ROA of 0.3% indicate the company is generating inadequate returns on its $15B asset base and $1.5B equity, raising serious questions about long-term shareholder value creation despite near-term profitability.

ChatGPT

Profitability and cash generation are improving, with double‑digit operating margin, 57% YoY EPS growth, and robust operating cash flow. Balance sheet leverage is moderate with adequate interest coverage, supporting earnings durability as investment income benefits from higher yields. Primary watch items are underwriting discipline and catastrophe exposure, which can swing results.

Why Buy Horace Mann Educators Corp. /DE/ Stock? HMN Key Strengths

Claude
  • + Revenue growth of 6.7% YoY with net margin of 9.6% demonstrates sustainable profitability in core operations
  • + Strong earnings per share growth of 57.3% YoY shows improving per-share value trajectory
  • + Positive operating and free cash flow of $61.3M with 14.3% FCF margin provides capital flexibility
  • + Conservative leverage with long-term debt-to-equity of 0.40x and interest coverage of 5.3x
ChatGPT
  • + Improving profitability with 11.8% operating margin and 9.5% net margin
  • + Strong operating cash flow and 32.5% FCF margin
  • + Moderate leverage (0.40x D/E) and 5.5x interest coverage

HMN Stock Risks: Horace Mann Educators Corp. /DE/ Investment Risks

Claude
  • ! Critically deficient ROE of 2.8% and ROA of 0.3% indicate severe capital inefficiency relative to $15B asset base
  • ! Extremely tight cash position of $20.9M creates operational risk and limited liquidity buffer for an insurance company
  • ! High overall liability-to-equity ratio (~9x) exposes company to systemic insurance industry risks despite moderate long-term debt levels
ChatGPT
  • ! Catastrophe/weather loss volatility affecting combined ratio
  • ! Reserve adequacy and claims severity inflation risk
  • ! Investment portfolio sensitivity to interest rates and credit spreads

Key Metrics to Watch

Claude
  • * Return on Equity trajectory—must demonstrate sustained improvement from 2.8% to justify capital allocation
  • * Cash position adequacy and free cash flow sustainability amid ongoing operations
  • * Underwriting loss ratios and claims experience indicating fundamental insurance profitability
ChatGPT
  • * Combined ratio (ex‑cat and total)
  • * Net investment income yield and growth

Horace Mann Educators Corp. /DE/ (HMN) Financial Metrics & Key Ratios

Revenue
$429.3M
Net Income
$41.2M
EPS (Diluted)
$1.00
Free Cash Flow
$61.3M
Total Assets
$15.0B
Cash Position
$20.9M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

HMN Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin 11.7%
Net Margin 9.6%
ROE 2.8%
ROA 0.3%
FCF Margin 14.3%

HMN vs Finance Sector: How Horace Mann Educators Corp. /DE/ Compares

How Horace Mann Educators Corp. /DE/ compares to Finance sector averages

Net Margin
HMN 9.6%
vs
Sector Avg 25.0%
HMN Sector
ROE
HMN 2.8%
vs
Sector Avg 12.0%
HMN Sector
Current Ratio
HMN 0.0x
vs
Sector Avg 1.2x
HMN Sector
Debt/Equity
HMN 0.4x
vs
Sector Avg 2.0x
HMN Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Horace Mann Educators Corp. /DE/ Stock Overvalued? HMN Valuation Analysis 2026

Based on fundamental analysis, Horace Mann Educators Corp. /DE/ has mixed fundamental signals relative to the Finance sector in 2026.

Return on Equity
2.8%
Sector avg: 12%
Net Profit Margin
9.6%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.40x
Sector avg: 2x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Horace Mann Educators Corp. /DE/ Balance Sheet: HMN Debt, Cash & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.40x
Debt/Assets
90.2%
Interest Coverage
5.28x
Long-term Debt
$593.8M

HMN Revenue & Earnings Growth: 5-Year Financial Trend

HMN 5-year financial data: Year 2021: Revenue $1.4B, Net Income $184.4M, EPS $4.40. Year 2022: Revenue $1.4B, Net Income $133.3M, EPS $3.17. Year 2023: Revenue $1.5B, Net Income $49.1M, EPS $1.16. Year 2024: Revenue $1.6B, Net Income $19.8M, EPS $0.47. Year 2025: Revenue $1.7B, Net Income $45.0M, EPS $1.09.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Horace Mann Educators Corp. /DE/'s revenue has grown significantly by 19% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.09 reflects profitable operations.

HMN Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
14.3%
Free cash flow / Revenue

HMN Quarterly Earnings & Performance

Quarterly financial performance data for Horace Mann Educators Corp. /DE/ including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $416.4M $38.2M $0.92
Q3 2025 $412.1M $34.3M $0.83
Q2 2025 $388.1M $3.8M $0.09
Q1 2025 $386.0M $26.5M $0.64
Q3 2024 $378.7M $5.5M $0.13
Q2 2024 $356.4M $3.8M $0.09
Q1 2024 $353.9M $6.6M $0.16
Q3 2023 $342.6M $5.5M $0.13

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Horace Mann Educators Corp. /DE/ Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$61.3M
Cash generated from operations
Stock Buybacks
$18.3M
Shares repurchased (TTM)
Dividends Paid
$14.6M
Returned to shareholders

HMN SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Horace Mann Educators Corp. /DE/ (CIK: 0000850141)

📋 Recent SEC Filings

Date Form Document Action
May 22, 2026 4 xslF345X06/marketforms-73229.xml View →
May 22, 2026 4 xslF345X06/marketforms-73232.xml View →
May 22, 2026 4 xslF345X06/marketforms-73230.xml View →
May 22, 2026 4 xslF345X06/marketforms-73228.xml View →
May 22, 2026 4 xslF345X06/marketforms-73226.xml View →

Frequently Asked Questions about HMN

What is the AI rating for HMN?

Horace Mann Educators Corp. /DE/ (HMN) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 71% combined confidence, based on fundamental analysis of SEC EDGAR filings.

What are HMN's key strengths?

Claude: Revenue growth of 6.7% YoY with net margin of 9.6% demonstrates sustainable profitability in core operations. Strong earnings per share growth of 57.3% YoY shows improving per-share value trajectory. ChatGPT: Improving profitability with 11.8% operating margin and 9.5% net margin. Strong operating cash flow and 32.5% FCF margin.

What are the risks of investing in HMN?

Claude: Critically deficient ROE of 2.8% and ROA of 0.3% indicate severe capital inefficiency relative to $15B asset base. Extremely tight cash position of $20.9M creates operational risk and limited liquidity buffer for an insurance company. ChatGPT: Catastrophe/weather loss volatility affecting combined ratio. Reserve adequacy and claims severity inflation risk.

What is HMN's revenue and growth?

Horace Mann Educators Corp. /DE/ reported revenue of $429.3M.

Does HMN pay dividends?

Horace Mann Educators Corp. /DE/ pays dividends, with $14.6M distributed to shareholders in the trailing twelve months.

Where can I find HMN SEC filings?

Official SEC filings for Horace Mann Educators Corp. /DE/ (CIK: 0000850141) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is HMN's EPS?

Horace Mann Educators Corp. /DE/ has a diluted EPS of $1.00.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is HMN a good stock to buy right now?

Based on our AI fundamental analysis in May 2026, Horace Mann Educators Corp. /DE/ has a BUY rating with 71% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.

Is HMN stock overvalued or undervalued?

Valuation metrics for HMN: ROE of 2.8% (sector avg: 12%), net margin of 9.6% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.

Should I buy HMN stock in 2026?

Our dual AI analysis gives Horace Mann Educators Corp. /DE/ a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is HMN's free cash flow?

Horace Mann Educators Corp. /DE/'s operating cash flow is $61.3M, with capital expenditures of N/A. FCF margin is 14.3%.

How does HMN compare to other Finance stocks?

Vs Finance sector averages: Net margin 9.6% (avg: 25%), ROE 2.8% (avg: 12%), current ratio N/A (avg: 1.2).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 9, 2026 | Data as of: 2026-03-31 | Powered by Claude AI