Humana (NYSE:HUM) Shares Down 6.2% – Here’s Why

Shares of Humana Inc. (NYSE:HUM) dropped 6.2% during trading on Tuesday . The company traded as low as $256.51 and last traded at $257.5890. Approximately 2,122,374 shares were traded during mid-day trading, an increase of 21% from the average daily volume of 1,754,275 shares. The stock had previously closed at $274.74.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the company. Wolfe Research decreased their price objective on Humana from $313.00 to $300.00 and set an “outperform” rating on the stock in a report on Thursday, November 20th. Morgan Stanley reaffirmed an “underperform” rating on shares of Humana in a research report on Thursday. The Goldman Sachs Group decreased their price target on shares of Humana from $235.00 to $215.00 and set a “sell” rating on the stock in a research note on Monday, November 24th. Wells Fargo & Company increased their price objective on shares of Humana from $344.00 to $347.00 and gave the company an “overweight” rating in a research note on Tuesday, October 7th. Finally, Evercore ISI started coverage on shares of Humana in a report on Monday, September 22nd. They set an “in-line” rating and a $295.00 price objective for the company. Nine investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $294.32.

Humana Stock Up 0.3%

The business’s 50 day moving average price is $259.89 and its 200-day moving average price is $259.02. The company has a debt-to-equity ratio of 0.68, a current ratio of 2.02 and a quick ratio of 2.02. The company has a market cap of $31.38 billion, a P/E ratio of 24.46, a PEG ratio of 1.52 and a beta of 0.46.

Humana (NYSE:HUM) last released its quarterly earnings results on Wednesday, November 5th. The insurance provider reported $3.24 EPS for the quarter, topping analysts’ consensus estimates of $2.95 by $0.29. Humana had a return on equity of 12.86% and a net margin of 1.02%.The business had revenue of $32.65 billion for the quarter, compared to analyst estimates of $31.99 billion. During the same period in the prior year, the company earned $4.16 EPS. Humana’s revenue for the quarter was up 11.1% on a year-over-year basis. On average, analysts anticipate that Humana Inc. will post 16.47 earnings per share for the current fiscal year.

Humana Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 30th. Stockholders of record on Friday, December 26th will be paid a $0.885 dividend. The ex-dividend date is Friday, December 26th. This represents a $3.54 dividend on an annualized basis and a dividend yield of 1.4%. Humana’s dividend payout ratio (DPR) is 33.18%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in HUM. Elevation Point Wealth Partners LLC bought a new position in shares of Humana in the second quarter worth about $32,000. Mather Group LLC. acquired a new stake in shares of Humana in the third quarter valued at approximately $34,000. AlphaCore Capital LLC bought a new position in Humana in the 2nd quarter worth approximately $39,000. Private Wealth Management Group LLC lifted its holdings in Humana by 47.5% during the 3rd quarter. Private Wealth Management Group LLC now owns 149 shares of the insurance provider’s stock worth $39,000 after buying an additional 48 shares in the last quarter. Finally, Larson Financial Group LLC lifted its holdings in Humana by 114.1% during the 3rd quarter. Larson Financial Group LLC now owns 152 shares of the insurance provider’s stock worth $40,000 after buying an additional 81 shares in the last quarter. Institutional investors and hedge funds own 92.38% of the company’s stock.

About Humana

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.