Humana (NYSE:HUM) Announces Quarterly Earnings Results, Beats Expectations By $1.11 EPS

Humana (NYSE:HUM) released its quarterly earnings data on Wednesday. The insurance provider reported $7.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $6.12 by $1.11, RTT News reports. Humana had a net margin of 2.34% and a return on equity of 19.44%. The firm had revenue of $29.61 billion during the quarter, compared to analysts’ expectations of $28.52 billion. During the same period last year, the business earned $9.38 earnings per share. Humana’s revenue was up 10.7% compared to the same quarter last year. Humana updated its FY24 guidance to approx. $16.00 EPS.

Humana Stock Down 5.5 %

Shares of Humana stock traded down $17.94 during trading on Wednesday, hitting $310.04. 1,416,091 shares of the stock traded hands, compared to its average volume of 1,978,156. The company has a fifty day moving average price of $329.86 and a two-hundred day moving average price of $398.38. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.59 and a current ratio of 1.59. Humana has a twelve month low of $299.23 and a twelve month high of $541.21. The stock has a market cap of $37.41 billion, a P/E ratio of 15.77, a PEG ratio of 1.91 and a beta of 0.45.

Humana Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, July 26th. Stockholders of record on Friday, June 28th will be issued a dividend of $0.885 per share. The ex-dividend date of this dividend is Friday, June 28th. This represents a $3.54 annualized dividend and a dividend yield of 1.14%. Humana’s dividend payout ratio is 17.86%.

Insider Activity at Humana

In other Humana news, Director Jorge S. Mesquita purchased 545 shares of the company’s stock in a transaction on Tuesday, February 20th. The shares were bought at an average cost of $367.09 per share, with a total value of $200,064.05. Following the transaction, the director now directly owns 2,578 shares in the company, valued at approximately $946,358.02. The purchase was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.29% of the stock is owned by company insiders.

Analyst Ratings Changes

A number of brokerages have weighed in on HUM. Deutsche Bank Aktiengesellschaft cut shares of Humana from a “buy” rating to a “hold” rating and dropped their price target for the company from $595.00 to $360.00 in a research report on Thursday, January 25th. Raymond James began coverage on shares of Humana in a research report on Friday, March 22nd. They set a “market perform” rating for the company. UBS Group reiterated a “neutral” rating and set a $370.00 price target (down from $530.00) on shares of Humana in a research report on Friday, January 26th. Truist Financial restated a “hold” rating and issued a $550.00 price objective on shares of Humana in a report on Friday, January 19th. Finally, TheStreet cut shares of Humana from a “b” rating to a “c+” rating in a report on Monday, January 8th. Eleven equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to MarketBeat.com, Humana currently has an average rating of “Hold” and a consensus target price of $454.63.

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.