Humana (NYSE:HUM) Sees Large Volume Increase – Should You Buy?

Humana Inc. (NYSE:HUM) shares saw unusually-high trading volume on Wednesday . Approximately 2,624,380 shares were traded during trading, an increase of 61% from the previous session’s volume of 1,631,849 shares.The stock last traded at $197.6110 and had previously closed at $207.93.

Trending Headlines about Humana

Here are the key news stories impacting Humana this week:

• Positive Sentiment: Upcoming catalyst — Humana will present fourth?quarter and full?year 2025 results on Feb. 6, giving management a near?term opportunity to address rate pressure and update guidance. Humana to Present Fourth-Quarter and Full-Year 2025 Results on 6 February
• Neutral Sentiment: Analyst/market debate — articles are weighing whether the lower share price is a buying opportunity or a “value trap,” reflecting differing views on Humana’s ability to absorb tighter CMS rates. Is Humana Stock Now A Value Trap At $200?
• Negative Sentiment: Policy shock — the administration proposed keeping Medicare Advantage rates roughly flat (average ~0.09% increase), removing an expected tailwind for MA revenue growth and triggering the sector rout. Trump Administration proposes keeping steady Medicare rates paid to insurers, WSJ reports
• Negative Sentiment: Market reaction — large intraday declines across UnitedHealth, Humana, CVS and peers as investors price in tighter reimbursement and margin risk. Health insurers tumble after Trump administration proposes keeping Medicare Advantage rates flat next year
• Negative Sentiment: Direct Humana impact — headlines report a steep one?day decline for HUM tied to the CMS update, and the stock has tested 52?week lows amid the rout. Humana (HUM) Falls 21% on Medicare Payment Update
• Negative Sentiment: Margin pressure risk — coverage of tight CMS rates alongside expanding at?home cardiac care highlights a potential cost/reimbursement mismatch for Humana’s MA business. Humana Faces Tight CMS Rates As At Home Cardiac Care Expands
• Negative Sentiment: Network/contract headwinds — a regional provider (Queen’s) is reported to be considering cutting ties with a for?profit Medicare insurer, an example of local contract risk that could affect access/networks in specific markets. Queen’s May Cut Ties With This For-Profit Medicare Insurer
• Negative Sentiment: Technical/price action — coverage notes Humana shares hit a 52?week low amid the broader insurer sell?off, signaling short?term bearish momentum. Humana stock hits 52-week low at $206.60 amid challenging year

Wall Street Analyst Weigh In

HUM has been the subject of a number of research analyst reports. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Humana in a research note on Thursday, January 22nd. Mizuho boosted their price objective on shares of Humana from $300.00 to $345.00 and gave the company an “outperform” rating in a research note on Thursday, October 9th. Wells Fargo & Company lowered Humana from an “overweight” rating to a “cautious” rating in a research report on Wednesday, January 7th. Wolfe Research boosted their price target on Humana from $300.00 to $325.00 and gave the company an “outperform” rating in a research report on Thursday, January 8th. Finally, Bank of America upped their price target on Humana from $280.00 to $300.00 and gave the stock a “neutral” rating in a research note on Friday, October 10th. Eight research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and five have given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $293.37.

Humana Trading Down 6.7%

The firm has a fifty day moving average of $258.31 and a 200-day moving average of $264.92. The stock has a market capitalization of $23.34 billion, a price-to-earnings ratio of 18.20, a P/E/G ratio of 2.17 and a beta of 0.45. The company has a debt-to-equity ratio of 0.68, a quick ratio of 2.02 and a current ratio of 2.02.

Humana (NYSE:HUM) last posted its earnings results on Wednesday, November 5th. The insurance provider reported $3.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.95 by $0.29. The business had revenue of $32.65 billion during the quarter, compared to analyst estimates of $31.99 billion. Humana had a return on equity of 12.86% and a net margin of 1.02%.During the same quarter last year, the firm earned $4.16 earnings per share. The company’s revenue for the quarter was up 11.1% compared to the same quarter last year. As a group, equities analysts predict that Humana Inc. will post 16.47 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Humana

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Capital International Investors bought a new position in shares of Humana in the 3rd quarter worth about $707,670,000. Massachusetts Financial Services Co. MA grew its position in shares of Humana by 273.2% during the third quarter. Massachusetts Financial Services Co. MA now owns 3,488,261 shares of the insurance provider’s stock worth $907,541,000 after acquiring an additional 2,553,509 shares during the last quarter. Norges Bank acquired a new stake in shares of Humana in the 2nd quarter worth about $397,079,000. Bank of New York Mellon Corp lifted its position in Humana by 161.5% in the 3rd quarter. Bank of New York Mellon Corp now owns 1,717,767 shares of the insurance provider’s stock valued at $446,911,000 after purchasing an additional 1,060,767 shares during the last quarter. Finally, Leith Wheeler Investment Counsel Ltd. grew its position in Humana by 661.7% in the 2nd quarter. Leith Wheeler Investment Counsel Ltd. now owns 1,038,703 shares of the insurance provider’s stock worth $253,942,000 after purchasing an additional 902,340 shares during the last quarter. 92.38% of the stock is owned by hedge funds and other institutional investors.

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.