Humana (NYSE:HUM) Shares Down 2.1% After Analyst Downgrade

Humana Inc. (NYSE:HUM)’s share price was down 2.1% during mid-day trading on Thursday after Royal Bank of Canada lowered their price target on the stock from $415.00 to $353.00. Royal Bank of Canada currently has an outperform rating on the stock. Humana traded as low as $308.19 and last traded at $309.41. Approximately 466,882 shares changed hands during trading, a decline of 77% from the average daily volume of 1,987,235 shares. The stock had previously closed at $315.98.

HUM has been the subject of a number of other reports. The Goldman Sachs Group cut their price objective on Humana from $450.00 to $385.00 and set a “buy” rating for the company in a research note on Wednesday, April 3rd. Barclays cut their price objective on Humana from $356.00 to $310.00 and set an “equal weight” rating for the company in a research note on Tuesday, April 2nd. TD Cowen cut their price objective on Humana from $427.00 to $396.00 and set a “buy” rating for the company in a research note on Tuesday, April 2nd. Argus downgraded Humana from a “buy” rating to a “hold” rating in a research note on Wednesday, March 13th. Finally, Bank of America reissued a “neutral” rating and issued a $342.00 price target (down from $470.00) on shares of Humana in a report on Tuesday, April 2nd. Eleven research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, Humana presently has an average rating of “Hold” and a consensus price target of $433.74.

Insider Transactions at Humana

In other news, Director Jorge S. Mesquita acquired 545 shares of the firm’s stock in a transaction dated Tuesday, February 20th. The shares were acquired at an average cost of $367.09 per share, with a total value of $200,064.05. Following the acquisition, the director now directly owns 2,578 shares of the company’s stock, valued at $946,358.02. The transaction was disclosed in a document filed with the SEC, which is available at this link. Insiders own 0.32% of the company’s stock.

Institutional Trading of Humana

Several hedge funds have recently modified their holdings of HUM. Rakuten Securities Inc. purchased a new stake in Humana during the 4th quarter valued at $25,000. Gradient Investments LLC increased its stake in Humana by 200.0% in the fourth quarter. Gradient Investments LLC now owns 60 shares of the insurance provider’s stock worth $27,000 after purchasing an additional 40 shares during the period. Cetera Trust Company N.A bought a new stake in shares of Humana during the fourth quarter worth $28,000. Private Wealth Management Group LLC bought a new stake in Humana during the 4th quarter valued at about $32,000. Finally, Nvwm LLC lifted its holdings in Humana by 41.0% during the 3rd quarter. Nvwm LLC now owns 86 shares of the insurance provider’s stock valued at $42,000 after buying an additional 25 shares in the last quarter. 92.38% of the stock is owned by hedge funds and other institutional investors.

Humana Stock Down 1.8 %

The business’s fifty day moving average is $327.77 and its two-hundred day moving average is $394.49. The company has a market cap of $36.91 billion, a P/E ratio of 19.05, a price-to-earnings-growth ratio of 1.85 and a beta of 0.45. The company has a debt-to-equity ratio of 0.77, a quick ratio of 1.59 and a current ratio of 1.67.

Humana (NYSE:HUM) last posted its quarterly earnings results on Wednesday, April 24th. The insurance provider reported $7.23 EPS for the quarter, beating the consensus estimate of $6.12 by $1.11. Humana had a net margin of 1.82% and a return on equity of 17.76%. The business had revenue of $29.61 billion during the quarter, compared to analyst estimates of $28.52 billion. During the same quarter in the previous year, the business posted $9.38 EPS. The company’s quarterly revenue was up 10.7% compared to the same quarter last year. Equities analysts predict that Humana Inc. will post 16.06 EPS for the current year.

Humana Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 26th. Stockholders of record on Friday, June 28th will be issued a $0.885 dividend. The ex-dividend date of this dividend is Friday, June 28th. This represents a $3.54 annualized dividend and a dividend yield of 1.16%. Humana’s dividend payout ratio is currently 22.04%.

Humana Company Profile

Humana Inc, together with its subsidiaries, provides medical and specialty insurance products in the United States. It operates through two segments, Insurance and CenterWell. The company offers medical and supplemental benefit plans to individuals. It has a 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.