Humana Inc.

NYSE:HUM Stock Report

Market Cap: US$29.8b

Humana Valuation

Is HUM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HUM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HUM ($247.1) is trading below our estimate of fair value ($861.97)

Significantly Below Fair Value: HUM is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HUM?

Key metric: As HUM is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HUM. This is calculated by dividing HUM's market cap by their current earnings.
What is HUM's PE Ratio?
PE Ratio21.9x
EarningsUS$1.36b
Market CapUS$29.75b

Price to Earnings Ratio vs Peers

How does HUM's PE Ratio compare to its peers?

The above table shows the PE ratio for HUM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.7x
CNC Centene
9.8x3.4%US$30.1b
MOH Molina Healthcare
14.7x14.7%US$16.9b
ELV Elevance Health
13.2x12.5%US$84.9b
HQY HealthEquity
85.1x39.8%US$8.2b
HUM Humana
21.9x11.5%US$29.8b

Price-To-Earnings vs Peers: HUM is good value based on its Price-To-Earnings Ratio (21.9x) compared to the peer average (30.7x).

Price to Earnings Ratio vs Industry

How does HUM's PE Ratio compare vs other companies in the US Healthcare Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
THC Tenet Healthcare
3.9x-39.2%US$12.31b
NEUE NeueHealth
1.1xn/aUS$31.53m
IDXG Interpace Biosciences
2.6xn/aUS$12.50m
FZMD Fuse Medical
2.2xn/aUS$8.67m
HUM 21.9xIndustry Avg. 21.9xNo. of Companies10PE01632486480+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HUM is expensive based on its Price-To-Earnings Ratio (21.9x) compared to the US Healthcare industry average (21.9x).

Price to Earnings Ratio vs Fair Ratio

What is HUM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HUM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.9x
Fair PE Ratio35.8x

Price-To-Earnings vs Fair Ratio: HUM is good value based on its Price-To-Earnings Ratio (21.9x) compared to the estimated Fair Price-To-Earnings Ratio (35.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HUM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$247.10
US$287.90
+16.5%
13.8%US$425.00US$248.00n/a21
Dec ’25US$296.38
US$288.15
-2.8%
14.0%US$425.00US$248.00n/a20
Nov ’25US$260.71
US$292.25
+12.1%
16.5%US$425.00US$247.00n/a21
Oct ’25US$279.45
US$391.10
+40.0%
6.7%US$473.00US$342.00n/a22
Sep ’25US$354.47
US$393.05
+10.9%
6.1%US$473.00US$349.00n/a22
Aug ’25US$358.98
US$388.69
+8.3%
7.3%US$473.00US$332.00n/a22
Jul ’25US$373.49
US$374.75
+0.3%
7.9%US$473.00US$326.00n/a23
Jun ’25US$358.12
US$369.48
+3.2%
8.7%US$473.00US$326.00n/a21
May ’25US$314.21
US$375.40
+19.5%
13.7%US$550.00US$326.00n/a20
Apr ’25US$351.45
US$419.65
+19.4%
10.7%US$550.00US$356.00n/a20
Mar ’25US$352.03
US$423.00
+20.2%
10.3%US$550.00US$359.00n/a19
Feb ’25US$375.82
US$435.89
+16.0%
11.7%US$550.00US$359.00n/a19
Jan ’25US$457.81
US$580.89
+26.9%
5.1%US$640.00US$525.00n/a19
Dec ’24US$495.21
US$580.89
+17.3%
5.1%US$640.00US$525.00US$296.3819
Nov ’24US$489.36
US$581.89
+18.9%
5.8%US$640.00US$523.00US$260.7119
Oct ’24US$486.52
US$581.52
+19.5%
6.9%US$640.00US$468.00US$279.4521
Sep ’24US$460.61
US$581.23
+26.2%
6.7%US$640.00US$468.00US$354.4722
Aug ’24US$458.11
US$576.09
+25.8%
7.0%US$640.00US$468.00US$358.9822
Jul ’24US$447.13
US$591.86
+32.4%
5.6%US$640.00US$524.00US$373.4922
Jun ’24US$515.15
US$601.95
+16.9%
4.1%US$640.00US$550.00US$358.1222
May ’24US$535.13
US$597.91
+11.7%
4.9%US$640.00US$542.00US$314.2122
Apr ’24US$485.46
US$596.32
+22.8%
5.2%US$640.00US$542.00US$351.4522
Mar ’24US$496.15
US$597.91
+20.5%
4.9%US$640.00US$550.00US$352.0322
Feb ’24US$513.28
US$613.05
+19.4%
4.7%US$650.00US$550.00US$375.8222
Jan ’24US$512.19
US$612.27
+19.5%
6.0%US$652.00US$510.00US$457.8122
Dec ’23US$548.37
US$610.19
+11.3%
6.0%US$650.00US$510.00US$495.2121

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 02:00
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Humana Inc. is covered by 52 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David ToungArgus Research Company
Hua HaBaird
Ishan MajumdarBaptista Research