Humana Inc., together with its subsidiaries, operates as a health and well-being company in the United States.
Outstanding track record with adequate balance sheet.
Share Price & News
How has Humana's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HUM's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: HUM exceeded the US Healthcare industry which returned 14.2% over the past year.
Return vs Market: HUM exceeded the US Market which returned 4.8% over the past year.
Price Volatility Vs. Market
How volatile is Humana's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StWith EPS Growth And More, Humana (NYSE:HUM) Is Interesting
2 weeks ago | Simply Wall StWe Think Humana (NYSE:HUM) Can Stay On Top Of Its Debt
1 month ago | Simply Wall StTrade Alert: The Independent Director Of Humana Inc. (NYSE:HUM), Marissa Peterson, Has Sold Some Shares Recently
Is Humana undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HUM ($391.89) is trading below our estimate of fair value ($721.02)
Significantly Below Fair Value: HUM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: HUM is good value based on its PE Ratio (20x) compared to the Healthcare industry average (24x).
PE vs Market: HUM is poor value based on its PE Ratio (20x) compared to the US market (16.5x).
Price to Earnings Growth Ratio
PEG Ratio: HUM is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: HUM is overvalued based on its PB Ratio (4.2x) compared to the US Healthcare industry average (2.7x).
How is Humana forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HUM's forecast earnings growth (13.8% per year) is above the savings rate (2.2%).
Earnings vs Market: HUM's earnings (13.8% per year) are forecast to grow slower than the US market (22.8% per year).
High Growth Earnings: HUM's earnings are forecast to grow, but not significantly.
Revenue vs Market: HUM's revenue (8.5% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: HUM's revenue (8.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HUM's Return on Equity is forecast to be high in 3 years time (20.3%)
How has Humana performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HUM has high quality earnings.
Growing Profit Margin: HUM's current net profit margins (3.9%) are higher than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: HUM's earnings have grown by 18% per year over the past 5 years.
Accelerating Growth: HUM's earnings growth over the past year (48%) exceeds its 5-year average (18% per year).
Earnings vs Industry: HUM earnings growth over the past year (48%) exceeded the Healthcare industry 10.1%.
Return on Equity
High ROE: HUM's Return on Equity (21.2%) is considered high.
How is Humana's financial position?
Financial Position Analysis
Short Term Liabilities: HUM's short term assets ($24.6B) exceed its short term liabilities ($14.8B).
Long Term Liabilities: HUM's short term assets ($24.6B) exceed its long term liabilities ($7.4B).
Debt to Equity History and Analysis
Debt Level: HUM's debt to equity ratio (62.1%) is considered high.
Reducing Debt: HUM's debt to equity ratio has increased from 41% to 62.1% over the past 5 years.
Debt Coverage: HUM's debt is well covered by operating cash flow (63.3%).
Interest Coverage: HUM's interest payments on its debt are well covered by EBIT (14.4x coverage).
What is Humana current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HUM's dividend (0.64%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.67%).
High Dividend: HUM's dividend (0.64%) is low compared to the top 25% of dividend payers in the US market (4.51%).
Stability and Growth of Payments
Stable Dividend: HUM is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: HUM is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: HUM is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of HUM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Bruce Broussard (58yo)
Mr. Bruce Dale Broussard serves as the Member of Advisory Board of HealthQuest Capital. Mr. Bruce serves as the President and chief Executive Officer at Humana Insurance Company of Kentucky. Mr. Bruce serv ...
CEO Compensation Analysis
Compensation vs Market: Bruce's total compensation ($USD16.73M) is above average for companies of similar size in the US market ($USD11.50M).
Compensation vs Earnings: Bruce's compensation has been consistent with company performance over the past year.
|Chief Financial Officer||6.08yrs||US$5.38m||0.028% $14.5m|
|Chief Administrative Officer||0.75yr||US$3.51m||0.0062% $3.2m|
|Segment President of Retail||3.33yrs||US$3.84m||0.0066% $3.4m|
|Segment President of Clinical & Pharmacy Solutions||3.33yrs||US$3.50m||0.0055% $2.9m|
|Senior VP||5.58yrs||no data||0.0031% $1.6m|
|Chief Technology & Risk Officer||0.75yr||no data||0.0019% $989.6k|
|Vice President of Investor Relations||no data||no data||no data|
|Chief Legal Officer||1.42yrs||no data||0.0011% $585.5k|
|Senior Vice President of Corporate Communications||1.42yrs||no data||no data|
Experienced Management: HUM's management team is considered experienced (3.3 years average tenure).
|Independent Chairman of the Board||6.5yrs||US$544.04k||0.015% $7.6m|
|Independent Director||11.92yrs||US$299.28k||0.00059% $305.7k|
|Independent Director||27.17yrs||US$427.41k||0.063% $32.6m|
|Independent Director||14.25yrs||US$338.54k||0.00011% $57.0k|
|Independent Director||12.75yrs||US$322.84k||0.0017% $891.1k|
|Independent Director||0.83yr||US$321.36k||no data|
|Independent Director||16.83yrs||US$308.53k||0.016% $8.1m|
|Independent Director||2.92yrs||US$324.37k||0.0014% $735.7k|
|Independent Director||15.25yrs||US$316.33k||0.0018% $953.3k|
Experienced Board: HUM's board of directors are seasoned and experienced ( 12.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: HUM insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Humana Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Humana Inc.
- Ticker: HUM
- Exchange: NYSE
- Founded: 1961
- Industry: Managed Health Care
- Sector: Healthcare
- Market Cap: US$51.810b
- Shares outstanding: 132.21m
- Website: https://www.humana.com
Number of Employees
- Humana Inc.
- Humana Building
- 500 West Main Street
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|HUM||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jul 1969|
|HUM||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jul 1969|
|0J6Z||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Jul 1969|
|HUM *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Jul 1969|
|H1UM34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH 5 REPR 1 COM||BR||BRL||Jan 2020|
Humana Inc., together with its subsidiaries, operates as a health and well-being company in the United States. It operates through Retail, Group and Specialty, and Healthcare Services segments. The company offers medical and supplemental benefit plans to individuals. It also has 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. In addition, the company provides commercial fully-insured medical and specialty health insurance benefits comprising dental, vision, and other supplemental health benefits; financial protection products; and administrative services only products to individuals and employer groups, as well as military services, such as TRICARE South Region contract. Further, it offers pharmacy solutions, provider services, predictive modeling and informatics services, and clinical care services, such as home health and other services to its health plan members, as well as to third parties. As of December 31, 2019, the company had approximately 17 million members in medical benefit plans, as well as approximately 5 million members in specialty products. Humana Inc. was founded in 1961 and is headquartered in Louisville, Kentucky.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/02 23:52|
|End of Day Share Price||2020/07/02 00:00|
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.