Rakuten Investment Management Inc. Makes New $7.64 Million Investment in Humana Inc. $HUM

Key Points

• Rakuten Investment Management initiated a Humana position worth approximately $7.64 million, purchasing 19,637 shares in the second quarter. Institutional investors collectively own 92.38% of HUM.
• Analyst sentiment is mixed: Wolfe Research maintained an “outperform” rating with a $450 target, while Zacks downgraded the stock to “hold.” The overall consensus is “Hold”, with an average price target of $403.91.
• Humana’s latest quarterly results exceeded expectations, with adjusted EPS of $7.61 versus $7.27 expected and revenue of $40.89 billion. Revenue increased 26.2% year over year, although the stock was trading down 1.5% at $386.92.

Rakuten Investment Management Inc. bought a new stake in shares of Humana Inc. (NYSE:HUM - Free Report) in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 19,637 shares of the insurance provider's stock, valued at approximately $7,637,000.

A number of other hedge funds have also recently made changes to their positions in HUM. Montag A & Associates Inc. increased its position in Humana by 1,880.0% during the 4th quarter. Montag A & Associates Inc. now owns 99 shares of the insurance provider's stock valued at $25,000 after buying an additional 94 shares in the last quarter. Johnson Financial Group Inc. bought a new stake in Humana in the second quarter worth $26,000. Fideuram Asset Management Ireland dac purchased a new stake in shares of Humana in the fourth quarter worth $27,000. Trust Co. of Vermont purchased a new stake in shares of Humana in the second quarter worth $28,000. Finally, Reflection Asset Management bought a new position in shares of Humana during the fourth quarter valued at $29,000. 92.38% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

HUM has been the subject of several recent analyst reports. Wolfe Research reaffirmed an "outperform" rating and issued a $450.00 price target on shares of Humana in a research report on Monday, August 24th. Zacks Research lowered shares of Humana from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, August 11th. Weiss Ratings raised shares of Humana from a "hold (c-)" rating to a "hold (c)" rating in a report on Friday, August 14th. Robert W. Baird set a $390.00 target price on shares of Humana in a research note on Thursday, July 30th. Finally, Barclays increased their price target on shares of Humana from $344.00 to $407.00 and gave the company an "equal weight" rating in a report on Friday, July 31st. Fourteen analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $403.91.

Humana Trading Down 1.5%

Shares of NYSE:HUM opened at $386.92 on Friday. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.74 and a quick ratio of 1.74. Humana Inc. has a 1 year low of $163.11 and a 1 year high of $428.88. The company has a market cap of $46.46 billion, a P/E ratio of 36.61, a PEG ratio of 2.20 and a beta of 0.72. The stock's fifty day moving average price is $385.60 and its 200-day moving average price is $288.47.

Humana (NYSE:HUM - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The insurance provider reported $7.61 EPS for the quarter, topping the consensus estimate of $7.27 by $0.34. Humana had a return on equity of 11.20% and a net margin of 0.88%.The company had revenue of $40.89 billion during the quarter, compared to the consensus estimate of $40.58 billion. During the same period last year, the company earned $6.27 EPS. Humana's revenue for the quarter was up 26.2% on a year-over-year basis. Sell-side analysts expect that Humana Inc. will post 9.12 earnings per share for the current year.

About Humana

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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