Insights Ahead: Humana's Quarterly Earnings

Humana HUM is set to give its latest quarterly earnings report on Wednesday, 2025-04-30. Here's what investors need to know before the announcement.

Analysts estimate that Humana will report an earnings per share (EPS) of $10.06.

The market awaits Humana's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Performance in Previous Earnings

The company's EPS missed by $0.04 in the last quarter, leading to a 1.05% increase in the share price on the following day.

Here's a look at Humana's past performance and the resulting price change:

Stock Performance

Shares of Humana were trading at $263.2 as of April 28. Over the last 52-week period, shares are down 16.6%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Views on Humana

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Humana.

Analysts have given Humana a total of 10 ratings, with the consensus rating being Neutral. The average one-year price target is $297.3, indicating a potential 12.96% upside.

Analyzing Analyst Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Molina Healthcare, HealthEquity and Alignment Healthcare, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Molina Healthcare, with an average 1-year price target of $368.0, suggesting a potential 39.82% upside.
• Analysts currently favor an Outperform trajectory for HealthEquity, with an average 1-year price target of $111.11, suggesting a potential 57.78% downside.
• Analysts currently favor an Buy trajectory for Alignment Healthcare, with an average 1-year price target of $18.19, suggesting a potential 93.09% downside.

Overview of Peer Analysis

In the peer analysis summary, key metrics for Molina Healthcare, HealthEquity and Alignment Healthcare are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Humana ranks in the middle for Consensus rating among its peers. It ranks at the top for Revenue Growth. It is at the bottom for Gross Profit. It is in the middle for Return on Equity.

All You Need to Know About Humana

Humana is one of the largest private health insurers in the US, and the firm has built a niche specializing in government-sponsored programs, with nearly all its medical membership stemming from Medicare, Medicaid, and the military's Tricare program. Beyond medical insurance, the company provides other healthcare services, including primary-care services, at-home services, and pharmacy benefit management.

Unraveling the Financial Story of Humana

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Growth: Humana's remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 10.4%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Humana's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -2.37%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Humana's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -4.08%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Humana's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of -1.44%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Humana's debt-to-equity ratio is below the industry average at 0.72, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Humana visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.