What Analysts Are Saying About Humana Stock

Across the recent three months, 12 analysts have shared their insights on Humana HUM, expressing a variety of opinions spanning from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $297.75, a high estimate of $326.00, and a low estimate of $256.00. Observing a 5.28% increase, the current average has risen from the previous average price target of $282.82.

Diving into Analyst Ratings: An In-Depth Exploration

The standing of Humana among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Humana. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Humana compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Capture valuable insights into Humana's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Humana analyst ratings.

Discovering Humana: A Closer Look

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.

A Deep Dive into Humana's Financials

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3M period, Humana showcased positive performance, achieving a revenue growth rate of 10.4% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Humana's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -2.37%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Humana's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -4.08%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Humana's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -1.44%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Humana's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.72.

Understanding the Relevance of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

Which Stocks Are Analysts Recommending Now?

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