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Humana

OM:HUM
Snowflake Description

Very undervalued with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HUM
OM
SEK3B
Market Cap
  1. Home
  2. SE
  3. Healthcare
Company description

Humana AB (publ), together with its subsidiaries, provides individual and family care services for children, adolescents, and adults in Sweden, Norway, Denmark, and Finland. The last earnings update was 46 days ago. More info.


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  • Humana has significant price volatility in the past 3 months.
HUM Share Price and Events
7 Day Returns
-2.3%
OM:HUM
-4.3%
SE Healthcare
1.6%
SE Market
1 Year Returns
-4.8%
OM:HUM
-8.4%
SE Healthcare
6.9%
SE Market
HUM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Humana (HUM) -2.3% 2.8% -19.7% -4.8% -21.3% -
SE Healthcare -4.3% -1.2% -8.8% -8.4% -25% 45.1%
SE Market 1.6% 4.2% 5.6% 6.9% 17% 21.9%
1 Year Return vs Industry and Market
  • HUM outperformed the Healthcare industry which returned -8.4% over the past year.
  • HUM underperformed the Market in Sweden which returned 6.9% over the past year.
Price Volatility
HUM
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Humana undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Humana to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Humana.

OM:HUM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.2%
Perpetual Growth Rate 10-Year SE Government Bond Rate 0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OM:HUM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SE Govt Bond Rate 0.4%
Equity Risk Premium S&P Global 6%
Healthcare Unlevered Beta Simply Wall St/ S&P Global 0.64
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.641 (1 + (1- 22%) (112.71%))
1.136
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.14
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.43% + (1.136 * 5.96%)
7.21%

Discounted Cash Flow Calculation for OM:HUM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Humana is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OM:HUM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SEK, Millions) Source Present Value
Discounted (@ 7.21%)
2019 -513.00 Analyst x1 -478.51
2020 357.00 Analyst x2 310.61
2021 389.00 Analyst x2 315.70
2022 412.88 Est @ 6.14% 312.56
2023 431.17 Est @ 4.43% 304.45
2024 445.09 Est @ 3.23% 293.16
2025 455.74 Est @ 2.39% 279.99
2026 463.96 Est @ 1.8% 265.88
2027 470.42 Est @ 1.39% 251.46
2028 475.62 Est @ 1.11% 237.14
Present value of next 10 years cash flows SEK2,092.43
OM:HUM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SEK475.62 × (1 + 0.43%) ÷ (7.21% – 0.43%)
SEK7,052.64
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SEK7,052.64 ÷ (1 + 7.21%)10
SEK3,516.43
OM:HUM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SEK2,092.43 + SEK3,516.43
SEK5,608.85
Equity Value per Share
(SEK)
= Total value / Shares Outstanding
= SEK5,608.85 / 53.14
SEK105.55
OM:HUM Discount to Share Price
Calculation Result
Value per share (SEK) From above. SEK105.55
Current discount Discount to share price of SEK55.90
= -1 x (SEK55.90 - SEK105.55) / SEK105.55
47%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Humana is available for.
Intrinsic value
47%
Share price is SEK55.9 vs Future cash flow value of SEK105.55
Current Discount Checks
For Humana to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Humana's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Humana's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Humana's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Humana's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OM:HUM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in SEK SEK4.61
OM:HUM Share Price ** OM (2019-06-24) in SEK SEK55.9
Sweden Healthcare Industry PE Ratio Median Figure of 10 Publicly-Listed Healthcare Companies 15.51x
Sweden Market PE Ratio Median Figure of 327 Publicly-Listed Companies 16.93x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Humana.

OM:HUM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OM:HUM Share Price ÷ EPS (both in SEK)

= 55.9 ÷ 4.61

12.12x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Humana is good value based on earnings compared to the SE Healthcare industry average.
  • Humana is good value based on earnings compared to the Sweden market.
Price based on expected Growth
Does Humana's expected growth come at a high price?
Raw Data
OM:HUM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.12x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
12.9%per year
Sweden Healthcare Industry PEG Ratio Median Figure of 6 Publicly-Listed Healthcare Companies 1.05x
Sweden Market PEG Ratio Median Figure of 235 Publicly-Listed Companies 1.37x

*Line of best fit is calculated by linear regression .

OM:HUM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.12x ÷ 12.9%

0.94x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Humana is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Humana's assets?
Raw Data
OM:HUM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in SEK SEK41.17
OM:HUM Share Price * OM (2019-06-24) in SEK SEK55.9
Sweden Healthcare Industry PB Ratio Median Figure of 10 Publicly-Listed Healthcare Companies 1.51x
Sweden Market PB Ratio Median Figure of 569 Publicly-Listed Companies 2.51x
OM:HUM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OM:HUM Share Price ÷ Book Value per Share (both in SEK)

= 55.9 ÷ 41.17

1.36x

* Primary Listing of Humana.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Humana is good value based on assets compared to the SE Healthcare industry average.
X
Value checks
We assess Humana's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Healthcare industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Healthcare industry average (and greater than 0)? (1 check)
  5. Humana has a total score of 6/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Humana expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Humana expected to grow at an attractive rate?
  • Humana's earnings growth is expected to exceed the low risk savings rate of 0.4%.
Growth vs Market Checks
  • Humana's earnings growth is expected to exceed the Sweden market average.
  • Humana's revenue growth is expected to exceed the Sweden market average.
Annual Growth Rates Comparison
Raw Data
OM:HUM Future Growth Rates Data Sources
Data Point Source Value (per year)
OM:HUM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 12.9%
OM:HUM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 7.2%
Sweden Healthcare Industry Earnings Growth Rate Market Cap Weighted Average 24.3%
Sweden Healthcare Industry Revenue Growth Rate Market Cap Weighted Average 8.5%
Sweden Market Earnings Growth Rate Market Cap Weighted Average 8.5%
Sweden Market Revenue Growth Rate Market Cap Weighted Average 4.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OM:HUM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in SEK Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OM:HUM Future Estimates Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 8,388 542 336 2
2020-12-31 7,993 507 305 2
2019-12-31 7,433 437 253 2
OM:HUM Past Financials Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income *
2019-03-31 6,774 425 245
2018-12-31 6,714 332 246
2018-09-30 6,600 396 228
2018-06-30 6,566 345 197
2018-03-31 6,541 216 199
2017-12-31 6,542 241 194
2017-09-30 6,635 -185 195
2017-06-30 6,684 -153 241
2017-03-31 6,540 -143 226
2016-12-31 6,362 -161 148
2016-09-30 6,140 255 139
2016-06-30 5,868 202 -11

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Humana's earnings are expected to grow by 12.9% yearly, however this is not considered high growth (20% yearly).
  • Humana's revenue is expected to grow by 7.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OM:HUM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Humana Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:HUM Future Estimates Data
Date (Data in SEK Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 6.32 6.83 5.81 2.00
2020-12-31 5.73 6.13 5.33 2.00
2019-12-31 4.77 5.18 4.36 2.00
OM:HUM Past Financials Data
Date (Data in SEK Millions) EPS *
2019-03-31 4.61
2018-12-31 4.63
2018-09-30 4.29
2018-06-30 3.71
2018-03-31 3.74
2017-12-31 3.65
2017-09-30 3.67
2017-06-30 4.53
2017-03-31 4.25
2016-12-31 2.87
2016-09-30 2.80
2016-06-30 -0.23

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Humana is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Humana's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Sweden market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Sweden market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Humana has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Humana performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Humana's growth in the last year to its industry (Healthcare).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Humana has delivered over 20% year on year earnings growth in the past 5 years.
  • Humana's 1-year earnings growth is less than its 5-year average (23.1% vs 42.4%)
  • Humana's earnings growth has exceeded the SE Healthcare industry average in the past year (23.1% vs -3.2%).
Earnings and Revenue History
Humana's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Humana Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:HUM Past Revenue, Cash Flow and Net Income Data
Date (Data in SEK Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 6,774.00 245.00 264.00
2018-12-31 6,714.00 246.00 264.00
2018-09-30 6,600.00 228.00 212.00
2018-06-30 6,566.00 197.00 212.00
2018-03-31 6,541.00 199.00 212.00
2017-12-31 6,542.00 194.00 212.00
2017-09-30 6,635.00 195.00 218.00
2017-06-30 6,684.00 241.00 218.00
2017-03-31 6,540.00 226.00 218.00
2016-12-31 6,362.00 148.00 218.00
2016-09-30 6,140.00 139.00 157.00
2016-06-30 5,868.00 -11.00 157.00
2016-03-31 5,713.00 -53.00 157.00
2015-12-31 5,593.00 28.00 157.00
2014-12-31 5,065.00 38.00 129.00
2013-12-31 3,489.00 111.00 58.00
2012-12-31 2,981.66 43.98 164.45

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Humana has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Humana used its assets more efficiently than the SE Healthcare industry average last year based on Return on Assets.
  • Humana's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Humana's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Healthcare industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Humana has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Humana's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Humana's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Humana's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Humana's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Humana's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Humana Company Filings, last reported 2 months ago.

OM:HUM Past Debt and Equity Data
Date (Data in SEK Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,206.00 1,799.00 420.00
2018-12-31 2,147.00 1,827.00 514.00
2018-09-30 2,092.00 1,915.00 511.00
2018-06-30 1,994.00 1,925.00 507.00
2018-03-31 1,966.00 1,993.00 497.00
2017-12-31 1,891.00 1,960.00 584.00
2017-09-30 1,856.00 2,022.00 432.00
2017-06-30 1,785.00 2,030.00 468.00
2017-03-31 1,764.00 2,045.00 359.00
2016-12-31 1,726.00 2,005.00 465.00
2016-09-30 1,697.00 1,724.00 395.00
2016-06-30 1,567.00 1,707.00 393.00
2016-03-31 1,527.00 1,464.00 631.00
2015-12-31 1,093.00 1,602.00 501.00
2014-12-31 986.00 1,700.00 244.00
2013-12-31 853.00 633.00 291.00
2012-12-31 628.48 565.43 196.78
  • Humana's level of debt (81.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (105% vs 81.6% today).
  • Debt is well covered by operating cash flow (23.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 7.1x coverage).
X
Financial health checks
We assess Humana's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Humana has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Humana's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.25%
Current annual income from Humana dividends. Estimated to be 2.97% next year.
If you bought SEK2,000 of Humana shares you are expected to receive SEK25 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Humana's pays a lower dividend yield than the bottom 25% of dividend payers in Sweden (1.85%).
  • Humana's dividend is below the markets top 25% of dividend payers in Sweden (4.37%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OM:HUM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Sweden Healthcare Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 1.8%
Sweden Market Average Dividend Yield Market Cap Weighted Average of 244 Stocks 3.1%
Sweden Minimum Threshold Dividend Yield 10th Percentile 1.1%
Sweden Bottom 25% Dividend Yield 25th Percentile 1.9%
Sweden Top 25% Dividend Yield 75th Percentile 4.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OM:HUM Future Dividends Estimate Data
Date (Data in SEK) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.00 2.00
2020-12-31 1.80 2.00
2019-12-31 1.19 2.00
OM:HUM Past Annualized Dividends Data
Date (Data in SEK) Dividend per share (annual) Avg. Yield (%)
2019-03-28 0.700 1.206
2018-05-16 0.600 0.992
2017-05-18 0.500 0.900

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Humana has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Humana only paid a dividend in the past 2 years.
Current Payout to shareholders
What portion of Humana's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (6.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.3x coverage).
X
Income/ dividend checks
We assess Humana's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Humana afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Humana has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Humana's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Rasmus Nerman
COMPENSATION SEK3,604,000
AGE 40
TENURE AS CEO 4.4 years
CEO Bio

Mr. Rasmus Nerman has been Chief Executive Officer and President of Humana AB since 2015. Mr. Nerman served as Deputy Chief Executive Officer of Humana. He served as Business Area Manager in Humana Individ & Familj. He served as Chief Executive Officer of INOM – Innovativ Omsorg i Norden AB. He served as Management consultant of mainly within healthcare services, Boston Consulting Group. He serves as Board member of Vårdföretagarna Individ & Familj. Mr. Nerman holds MBA from Stockholm School of Economics and M.Sc. in International Management from CEMS MIM.

CEO Compensation
  • Rasmus's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Rasmus's remuneration is about average for companies of similar size in Sweden.
Management Team Tenure

Average tenure and age of the Humana management team in years:

4.4
Average Tenure
48
Average Age
  • The tenure for the Humana management team is about average.
Management Team

Rasmus Nerman

TITLE
CEO & President
COMPENSATION
SEK4M
AGE
40
TENURE
4.4 yrs

Ulf Bonnevier

TITLE
Deputy CEO & CFO
AGE
54
TENURE
7.4 yrs

Anna Sönne

TITLE
Head of Investor Relations

Helena Pharmanson

TITLE
Director of Marketing & Communication
AGE
52
TENURE
9.4 yrs

Anna Skablova

TITLE
Director of Human Resource
AGE
48
TENURE
2.4 yrs

Johanna Rastad

TITLE
Head of Business Development
AGE
38
TENURE
1.4 yrs
Board of Directors Tenure

Average tenure and age of the Humana board of directors in years:

2.4
Average Tenure
55
Average Age
  • The average tenure for the Humana board of directors is less than 3 years, this suggests a new board.
Board of Directors

Sören Mellstig

TITLE
Chair of the Board
AGE
67
TENURE
0.1 yrs

Lloyd Perry

TITLE
Director
AGE
53
TENURE
11.4 yrs

Magdalena Gerger

TITLE
Director
AGE
54
TENURE
0.1 yrs

Fredrik Strömholm

TITLE
Director
AGE
53
TENURE
0.1 yrs

Per Granath

TITLE
Director
COMPENSATION
SEK242K
AGE
64
TENURE
13.4 yrs

Kirsi Komi

TITLE
Director
COMPENSATION
SEK155K
AGE
55
TENURE
2.4 yrs

Monica Lingegård

TITLE
Director
COMPENSATION
SEK249K
AGE
56
TENURE
2.4 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Humana individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SEK) Value (SEK)
20. Jun 19 Buy Impilo Care AB Company 17. Jun 19 17. Jun 19 992 SEK57.16 SEK56,704
17. Jun 19 Buy Impilo Care AB Company 12. Jun 19 12. Jun 19 9,336 SEK55.64 SEK519,470
14. Jun 19 Buy Impilo Care AB Company 11. Jun 19 11. Jun 19 2,861 SEK54.47 SEK155,830
13. Jun 19 Buy Impilo Care AB Company 10. Jun 19 10. Jun 19 15,376 SEK54.57 SEK839,050
12. Jun 19 Buy Impilo Care AB Company 07. Jun 19 07. Jun 19 13,279 SEK54.00 SEK717,115
11. Jun 19 Buy Impilo Care AB Company 05. Jun 19 05. Jun 19 28,575 SEK54.05 SEK1,544,573
10. Jun 19 Buy Impilo Care AB Company 04. Jun 19 04. Jun 19 1,276 SEK52.70 SEK67,249
07. Jun 19 Buy Impilo Care AB Company 03. Jun 19 03. Jun 19 25,225 SEK51.67 SEK1,303,444
05. Jun 19 Buy Impilo Care AB Company 31. May 19 31. May 19 41,982 SEK52.18 SEK2,190,453
22. May 19 Buy Rasmus Nerman Individual 22. May 19 22. May 19 9,230 SEK54.36 SEK501,743
14. May 19 Buy Kirsi Komi Individual 10. May 19 10. May 19 4,540 SEK59.60 SEK268,757
15. Mar 19 Sell Zirkona AB Company 15. Mar 19 15. Mar 19 -1,000,000 SEK70.00 SEK-70,000,000
26. Nov 18 Buy Helen Gillstedt Individual 26. Nov 18 26. Nov 18 1,000 SEK58.50 SEK58,500
X
Management checks
We assess Humana's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Humana has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Here's What Humana AB's (STO:HUM) P/E Ratio Is Telling Us

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … Humana has a price to earnings ratio of 15.03, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Is There An Opportunity With Humana AB's (STO:HUM) 27.35% Undervaluation?

I am going to run you through how I calculated the intrinsic value of Humana AB (STO:HUM). … by estimating the company's future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

What Humana AB's (STO:HUM) ROE Can Tell Us

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every SEK1 worth of equity in the company, it was able to earn SEK0.11. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Does Humana AB (STO:HUM) Fare As A Dividend Stock?

In the last few years Humana AB (STO:HUM) has paid a dividend to shareholders. … Does Humana tick all the boxes of a great dividend stock? … 5 questions I ask before picking a dividend stock

Simply Wall St -

Does Humana AB's (STO:HUM) 17% Earnings Growth Make It An Outperformer?

Today I will take you through a basic sense check to gain perspective on how Humana is doing by evaluating its latest earnings with its longer term trend as well as its industry peers' performance over the same period. … Did HUM beat its long-term earnings growth trend and its industry. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 33%, indicating the rate at which HUM is growing has slowed down

Simply Wall St -

Should Investors Be Happy About Humana AB’s (STO:HUM) Cash Levels?

I’ve analysed below, the health and outlook of Humana’s cash flow, which will help you understand the stock from a cash standpoint. … Humana generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … The two ways to assess whether Humana’s FCF is sufficient, is to compare the FCF yield to the market index yield, as well as determine whether the top-line operating cash flows will continue to grow

Simply Wall St -

Understanding Your Return On Investment In Humana AB (STO:HUM)

As a result, your investment is being put to work to fund operations and if you want to earn an attractive return on your investment, the business needs to be making an adequate amount of money from the funds you provide. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Thus, to understand how your money can grow by investing in Humana, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE)

Simply Wall St -

Could Humana AB's (STO:HUM) Investor Composition Influence The Stock Price?

Generally speaking, as a company grows, institutions will increase their ownership. … Conversely, insiders often decrease their ownership over time. … Taking a look at the our data on the ownership groups (below), it's seems that.

Simply Wall St -

Does Humana AB's (STO:HUM) PE Ratio Warrant A Buy?

While this makes HUM appear like a good stock to buy, you might change your mind after I explain the assumptions behind the P/E ratio. … I will deconstruct the P/E ratio and highlight what you need to be careful of when using the P/E ratio … Breaking down the Price-Earnings ratio

Simply Wall St -

Will Humana AB (STO:HUM) Continue To Underperform Its Industry?

and want to start learning about core concepts of fundamental analysis on practical examples from today's market. … With an ROE of 9.88%, Humana AB (STO:HUM) returned in-line to its own industry which delivered 10.12% over the past year. … Check out our latest analysis for Humana

Simply Wall St -

Company Info

Description

Humana AB (publ), together with its subsidiaries, provides individual and family care services for children, adolescents, and adults in Sweden, Norway, Denmark, and Finland. The company operates through four segments: Individual & Family, Personal Assistance, Elderly Care, and Other Nordics. The Individual & Family segment provides care and treatment in psychiatry and psychosocial change processes through residential care homes, temporary and regular family homes, special service housing, outpatient care and assisted living homes, and specially adapted housing. The Personal Assistance segment provides care services and assistance to individuals with functional impairments. The Elderly Care segment consists of elderly housing, as well as provides day care, flats adapted for the elderly, meeting places, and family member services. The Other Nordics segment provides care and treatment for children, adolescents, and adults by offering various forms of housing, family homes, outpatient care and other support services; and offers personal assistance and special services housing. Humana AB (publ) was founded in 2001 and is headquartered in Stockholm, Sweden.

Details
Name: Humana AB (publ)
HUM
Exchange: OM
Founded: 2001
SEK2,970,529,577
53,140,064
Website: http://www.humana.se
Address: Humana AB (publ)
Warfvinges väg 39,
7th floor,
Stockholm,
Stockholm County, 112 51,
Sweden
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OM HUM Ordinary B Shares OMX Nordic Exchange Stockholm SE SEK 22. Mar 2016
DB 47H Ordinary B Shares Deutsche Boerse AG DE EUR 22. Mar 2016
LSE 0RF7 Ordinary B Shares London Stock Exchange GB SEK 22. Mar 2016
Number of employees
Current staff
Staff numbers
9,481
Humana employees.
Industry
Health Care Facilities
Healthcare
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/24 22:07
End of day share price update: 2019/06/24 00:00
Last estimates confirmation: 2019/06/03
Last earnings filing: 2019/05/09
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.