Kentucky Retirement Systems Increases Stock Position in Humana Inc. $HUM

Key Points

• Kentucky Retirement Systems increased its Humana stake by 69.8% in the first quarter, bringing its holdings to 12,872 shares valued at approximately $2.23 million. Institutional investors and hedge funds collectively own 92.38% of the stock.
• Humana exceeded second-quarter expectations, reporting adjusted EPS of $7.61 and revenue of $40.89 billion, up 26.2% year over year. However, management maintained its 2026 adjusted EPS guidance of at least $9.00 and lowered its GAAP EPS outlook to at least $6.52 due to weaker Medicare Advantage Star Ratings.
• Analyst sentiment has improved, with Leerink Partners upgrading Humana to “Outperform” and Bank of America upgrading it to “Buy,” assigning price targets of $513 and $500, respectively. Humana plans additional Medicare Advantage exits in 2027 to target a 3% margin, though this could weigh on membership and revenue growth.

Kentucky Retirement Systems grew its holdings in Humana Inc. (NYSE:HUM - Free Report) by 69.8% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 12,872 shares of the insurance provider's stock after purchasing an additional 5,293 shares during the quarter. Kentucky Retirement Systems' holdings in Humana were worth $2,232,000 at the end of the most recent quarter.

Several other institutional investors have also recently modified their holdings of the stock. Janus Henderson Group PLC grew its holdings in Humana by 8.8% during the 1st quarter. Janus Henderson Group PLC now owns 219,065 shares of the insurance provider's stock valued at $37,983,000 after buying an additional 17,629 shares during the last quarter. Centaurus Financial Inc. boosted its stake in shares of Humana by 126.7% during the first quarter. Centaurus Financial Inc. now owns 3,400 shares of the insurance provider's stock valued at $590,000 after acquiring an additional 1,900 shares during the last quarter. South Dakota Investment Council increased its position in Humana by 42.0% during the 1st quarter. South Dakota Investment Council now owns 229,090 shares of the insurance provider's stock worth $39,722,000 after purchasing an additional 67,707 shares in the last quarter. Amundi increased its position in Humana by 9.0% during the 1st quarter. Amundi now owns 455,385 shares of the insurance provider's stock worth $78,959,000 after purchasing an additional 37,501 shares in the last quarter. Finally, Redwood Grove Capital LLC raised its stake in Humana by 8.7% in the 1st quarter. Redwood Grove Capital LLC now owns 114,870 shares of the insurance provider's stock valued at $19,917,000 after purchasing an additional 9,200 shares during the last quarter. 92.38% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Humana

Here are the key news stories impacting Humana this week:

• Positive Sentiment: Leerink Partners upgraded Humana from “Market Perform” to “Outperform” and assigned a $513 price target, implying substantial upside from recent trading levels. The Fly analyst upgrade
• Positive Sentiment: Humana exceeded second-quarter expectations, reporting adjusted EPS of $7.61 versus a $7.26 consensus estimate and revenue of approximately $40.9 billion versus expectations of $40.6 billion. Medical costs remained broadly in line with management’s projections, while CenterWell and membership growth supported results. CNBC earnings report
• Positive Sentiment: Bank of America also upgraded Humana to “Buy” and set a $500 price target, reflecting increased confidence that cost controls and portfolio changes can improve margins over time. Ticker Report analyst upgrade
• Neutral Sentiment: Management maintained its 2026 adjusted EPS outlook of at least $9.00 and reaffirmed its insurance benefit-ratio guidance. However, investors had expected stronger results to produce an upward revision, limiting the positive reaction to the earnings beat. Humana second-quarter results
• Negative Sentiment: Humana lowered its 2026 GAAP EPS outlook to at least $6.52 from $8.36, citing the continuing impact of lower Medicare Advantage Star Ratings. The company also plans to exit additional Medicare Advantage plans in 2027 to target a 3% margin, a move that may improve profitability but could reduce membership and revenue growth. Benzinga Medicare Advantage plan exits

Humana Stock Up 0.3%

Shares of NYSE:HUM opened at $366.66 on Friday. The stock has a 50-day simple moving average of $369.66 and a 200-day simple moving average of $267.69. The stock has a market capitalization of $44.02 billion, a P/E ratio of 34.69, a PEG ratio of 2.08 and a beta of 0.71. Humana Inc. has a 1 year low of $163.11 and a 1 year high of $428.88. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.77 and a current ratio of 1.74.

Humana (NYSE:HUM - Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The insurance provider reported $7.61 EPS for the quarter, beating the consensus estimate of $7.27 by $0.34. The firm had revenue of $40.89 billion for the quarter, compared to analyst estimates of $40.58 billion. Humana had a net margin of 0.88% and a return on equity of 11.20%. Humana's revenue for the quarter was up 26.2% compared to the same quarter last year. During the same quarter last year, the firm posted $6.27 earnings per share. Equities analysts forecast that Humana Inc. will post 9.03 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on HUM shares. Morgan Stanley upped their target price on shares of Humana from $217.00 to $249.00 and gave the company an "underweight" rating in a report on Thursday, June 4th. Needham & Company LLC initiated coverage on shares of Humana in a research report on Wednesday, May 20th. They issued a "buy" rating for the company. Jefferies Financial Group raised shares of Humana from a "buy" rating to a "buy" rating in a research note on Wednesday, May 20th. Weiss Ratings upgraded shares of Humana from a "hold (c-)" rating to a "hold (c)" rating in a research report on Monday, June 29th. Finally, HSBC cut shares of Humana to a "hold" rating in a research note on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, thirteen have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $383.00.

Humana Profile

Humana Inc NYSE: HUM is a health insurance company headquartered in Louisville, Kentucky, that primarily serves individuals and groups across the United States. The company is best known for its Medicare business, offering Medicare Advantage plans and prescription drug (Part D) coverage, alongside a range of commercial and employer-sponsored group health plans. Humana's products are designed to cover medical, behavioral health and pharmacy needs for members, with particular emphasis on seniors and Medicare-eligible populations.

In addition to traditional insurance products, Humana provides care-management and wellness services intended to support chronic-condition management, preventive care and care coordination.

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