Humana (NYSE:HUM) Shares Up 9.1% – Time to Buy?

Humana Inc. (NYSE:HUM) shares shot up 9.1% during mid-day trading on Friday . The stock traded as high as $280.03 and last traded at $279.99. 2,122,331 shares were traded during mid-day trading, an increase of 20% from the average session volume of 1,771,086 shares. The stock had previously closed at $256.62.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on HUM. Mizuho set a $300.00 price target on Humana in a research report on Friday. Bank of America boosted their target price on Humana from $285.00 to $312.00 and gave the stock a “neutral” rating in a research report on Tuesday, September 2nd. Piper Sandler decreased their target price on Humana from $288.00 to $272.00 and set a “neutral” rating for the company in a research report on Thursday, July 31st. Weiss Ratings reissued a “sell (d+)” rating on shares of Humana in a research report on Saturday, September 27th. Finally, Wall Street Zen lowered Humana from a “buy” rating to a “hold” rating in a research report on Saturday, August 2nd. Seven investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $291.21.

Humana Trading Up 10.7%

The stock has a 50-day simple moving average of $274.76 and a two-hundred day simple moving average of $257.35. The firm has a market cap of $34.16 billion, a PE ratio of 21.80, a price-to-earnings-growth ratio of 1.67 and a beta of 0.42. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.95 and a current ratio of 1.95.

Humana (NYSE:HUM) last released its quarterly earnings results on Wednesday, July 30th. The insurance provider reported $6.27 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $6.32 by ($0.05). The firm had revenue of $32.39 billion for the quarter, compared to the consensus estimate of $31.85 billion. Humana had a net margin of 1.28% and a return on equity of 13.67%. The company’s revenue for the quarter was up 9.6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $6.96 earnings per share. Humana has set its FY 2025 guidance at 17.000- EPS. As a group, sell-side analysts anticipate that Humana Inc. will post 16.47 EPS for the current year.

Humana Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 31st. Stockholders of record on Friday, September 26th will be issued a dividend of $0.885 per share. This represents a $3.54 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Friday, September 26th. Humana’s dividend payout ratio is 27.17%.

Institutional Trading of Humana

Several hedge funds and other institutional investors have recently bought and sold shares of HUM. Revolve Wealth Partners LLC purchased a new stake in Humana during the 4th quarter valued at $202,000. Gateway Investment Advisers LLC raised its holdings in Humana by 53.4% during the 1st quarter. Gateway Investment Advisers LLC now owns 3,629 shares of the insurance provider’s stock valued at $960,000 after buying an additional 1,263 shares during the period. Sivia Capital Partners LLC purchased a new stake in Humana during the 1st quarter valued at $223,000. UMB Bank n.a. increased its stake in Humana by 99.5% in the first quarter. UMB Bank n.a. now owns 373 shares of the insurance provider’s stock worth $99,000 after purchasing an additional 186 shares during the period. Finally, Washington Capital Management Inc. increased its stake in Humana by 23.5% in the first quarter. Washington Capital Management Inc. now owns 2,100 shares of the insurance provider’s stock worth $556,000 after purchasing an additional 400 shares during the period. Hedge funds and other institutional investors own 92.38% of the company’s stock.

Humana Company Profile

Humana Inc, together with its subsidiaries, provides medical and specialty insurance products in the United States. It operates through two segments, Insurance and CenterWell. The company offers medical and supplemental benefit plans to individuals. It has a contract with Centers for Medicare and Medicaid Services to administer the Limited Income Newly Eligible Transition prescription drug plan program; and contracts with various states to provide Medicaid, dual eligible, and long-term support services benefits.