Humana (NYSE:HUM) Shares Gap Up - What's Next?

Key Points

• Humana shares gapped up, opening at $221.71 vs. a $210.34 close and last trading near $221.27 on ~403,600 shares; the stock has a consensus analyst rating of Hold with a $222.09 average price target (7 Buy / 15 Hold / 4 Sell).
• Humana beat quarterly estimates with EPS of ($3.96) vs. ($4.01) and revenue of $32.64B, and set FY 2026 guidance at a 9.00 EPS target (analysts expect ~9.05 EPS).
• The company announced a quarterly dividend of $0.885 (annualized $3.54, 1.6% yield) and an insider purchase—Sanjay K. Shetty bought 810 shares at $185.21—while institutional investors own ~92.38% of the shares.

Humana Inc. (NYSE:HUM - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $210.34, but opened at $221.71. Humana shares last traded at $221.27, with a volume of 403,594 shares traded.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Jefferies Financial Group dropped their price target on shares of Humana from $310.00 to $235.00 and set a "buy" rating on the stock in a research report on Thursday, February 12th. Oppenheimer set a $250.00 price objective on shares of Humana in a research report on Thursday, February 12th. Wells Fargo & Company lifted their price objective on shares of Humana from $206.00 to $227.00 and gave the stock an "equal weight" rating in a research report on Tuesday, April 7th. UBS Group reaffirmed a "neutral" rating on shares of Humana in a research report on Wednesday, February 25th. Finally, Barclays reduced their price objective on shares of Humana from $245.00 to $176.00 and set an "equal weight" rating for the company in a research report on Tuesday, February 24th. Seven analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and four have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $222.09.

Humana Stock Performance

The company has a debt-to-equity ratio of 0.70, a current ratio of 2.00 and a quick ratio of 2.00. The stock's 50-day simple moving average is $181.73 and its 200 day simple moving average is $230.33. The stock has a market capitalization of $26.44 billion, a P/E ratio of 22.43, a PEG ratio of 2.20 and a beta of 0.44.

Humana (NYSE:HUM - Get Free Report) last released its quarterly earnings data on Wednesday, February 11th. The insurance provider reported ($3.96) EPS for the quarter, topping analysts' consensus estimates of ($4.01) by $0.05. Humana had a net margin of 0.92% and a return on equity of 11.43%. The firm had revenue of $32.64 billion during the quarter, compared to analysts' expectations of $32.08 billion. During the same period in the previous year, the business posted ($2.16) earnings per share. The company's revenue for the quarter was up 11.3% compared to the same quarter last year. Humana has set its FY 2026 guidance at 9.000-9.000 EPS. Research analysts expect that Humana Inc. will post 9.05 EPS for the current fiscal year.

Humana Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Friday, June 26th will be issued a dividend of $0.885 per share. The ex-dividend date of this dividend is Friday, June 26th. This represents a $3.54 dividend on an annualized basis and a dividend yield of 1.6%. Humana's dividend payout ratio (DPR) is currently 36.05%.

Insider Buying and Selling at Humana

In other news, insider Sanjay K. Shetty bought 810 shares of the company's stock in a transaction dated Monday, February 23rd. The stock was bought at an average price of $185.21 per share, with a total value of $150,020.10. Following the completion of the acquisition, the insider owned 11,657 shares of the company's stock, valued at $2,158,992.97. This represents a 7.47% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this link. Corporate insiders own 0.20% of the company's stock.

Institutional Investors Weigh In On Humana

Hedge funds and other institutional investors have recently modified their holdings of the company. Montag A & Associates Inc. lifted its holdings in shares of Humana by 1,880.0% during the fourth quarter. Montag A & Associates Inc. now owns 99 shares of the insurance provider's stock worth $25,000 after buying an additional 94 shares in the last quarter. CoreCap Advisors LLC lifted its holdings in shares of Humana by 54.4% during the fourth quarter. CoreCap Advisors LLC now owns 105 shares of the insurance provider's stock worth $27,000 after buying an additional 37 shares in the last quarter. Fideuram Asset Management Ireland dac acquired a new stake in shares of Humana during the fourth quarter worth $27,000. Reflection Asset Management acquired a new stake in shares of Humana during the fourth quarter worth $29,000. Finally, Rosenberg Matthew Hamilton lifted its holdings in shares of Humana by 136.0% during the fourth quarter. Rosenberg Matthew Hamilton now owns 118 shares of the insurance provider's stock worth $30,000 after buying an additional 68 shares in the last quarter. Institutional investors and hedge funds own 92.38% of the company's stock.

Humana Company 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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