Logo image of HUM

HUMANA INC (HUM) Stock Fundamental Analysis

NYSE:HUM - New York Stock Exchange, Inc. - US4448591028 - Common Stock - Currency: USD

230.09  -7.03 (-2.96%)

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to HUM. HUM was compared to 103 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of HUM while its profitability can be described as average. HUM has a decent growth rate and is not valued too expensively. Finally HUM also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

Quickly go to:

4

1. Profitability

1.1 Basic Checks

In the past year HUM was profitable.
In the past year HUM had a positive cash flow from operations.
HUM had positive earnings in each of the past 5 years.
HUM had a positive operating cash flow in each of the past 5 years.
HUM Yearly Net Income VS EBIT VS OCF VS FCFHUM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

1.2 Ratios

HUM has a better Return On Assets (3.36%) than 67.96% of its industry peers.
HUM has a better Return On Equity (9.63%) than 72.82% of its industry peers.
The Return On Invested Capital of HUM (6.12%) is better than 64.08% of its industry peers.
HUM had an Average Return On Invested Capital over the past 3 years of 7.86%. This is in line with the industry average of 9.70%.
Industry RankSector Rank
ROA 3.36%
ROE 9.63%
ROIC 6.12%
ROA(3y)4.8%
ROA(5y)6.13%
ROE(3y)13.67%
ROE(5y)16.75%
ROIC(3y)7.86%
ROIC(5y)8.6%
HUM Yearly ROA, ROE, ROICHUM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

HUM has a Profit Margin (1.42%) which is in line with its industry peers.
In the last couple of years the Profit Margin of HUM has declined.
The Operating Margin of HUM (3.01%) is comparable to the rest of the industry.
HUM's Operating Margin has declined in the last couple of years.
Industry RankSector Rank
OM 3.01%
PM (TTM) 1.42%
GM N/A
OM growth 3Y-13.15%
OM growth 5Y-12.08%
PM growth 3Y-33.79%
PM growth 5Y-24.48%
GM growth 3YN/A
GM growth 5YN/A
HUM Yearly Profit, Operating, Gross MarginsHUM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6

More info and screens

3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), HUM is creating some value.
HUM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, HUM has less shares outstanding
HUM has a worse debt/assets ratio than last year.
HUM Yearly Shares OutstandingHUM Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M
HUM Yearly Total Debt VS Total AssetsHUM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

HUM has a debt to FCF ratio of 5.59. This is a neutral value as HUM would need 5.59 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.59, HUM is in the better half of the industry, outperforming 62.14% of the companies in the same industry.
A Debt/Equity ratio of 0.72 indicates that HUM is somewhat dependend on debt financing.
HUM has a Debt to Equity ratio (0.72) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.72
Debt/FCF 5.59
Altman-Z N/A
ROIC/WACC0.78
WACC7.81%
HUM Yearly LT Debt VS Equity VS FCFHUM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
HUM Yearly Current Assets VS Current LiabilitesHUM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

More info and screens

4

3. Growth

3.1 Past

HUM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.84%.
Measured over the past years, HUM shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.92% on average per year.
HUM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.09%.
The Revenue has been growing by 12.66% on average over the past years. This is quite good.
EPS 1Y (TTM)-13.84%
EPS 3Y-7.76%
EPS 5Y-1.92%
EPS Q2Q%60.17%
Revenue 1Y (TTM)10.09%
Revenue growth 3Y12.34%
Revenue growth 5Y12.66%
Sales Q2Q%9.48%

3.2 Future

The Earnings Per Share is expected to grow by 16.04% on average over the next years. This is quite good.
Based on estimates for the next years, HUM will show a small growth in Revenue. The Revenue will grow by 7.93% on average per year.
EPS Next Y2.09%
EPS Next 2Y-6.25%
EPS Next 3Y10.57%
EPS Next 5Y16.04%
Revenue Next Year8.28%
Revenue Next 2Y5.7%
Revenue Next 3Y6.77%
Revenue Next 5Y7.93%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
HUM Yearly Revenue VS EstimatesHUM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 50B 100B 150B 200B
HUM Yearly EPS VS EstimatesHUM Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10 20 30 40

More info and screens

6

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 11.20 indicates a reasonable valuation of HUM.
83.50% of the companies in the same industry are more expensive than HUM, based on the Price/Earnings ratio.
HUM is valuated cheaply when we compare the Price/Earnings ratio to 27.69, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 16.17, which indicates a correct valuation of HUM.
Based on the Price/Forward Earnings ratio, HUM is valued a bit cheaper than the industry average as 69.90% of the companies are valued more expensively.
HUM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 37.36.
Industry RankSector Rank
PE 11.2
Fwd PE 16.17
HUM Price Earnings VS Forward Price EarningsHUM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

76.70% of the companies in the same industry are more expensive than HUM, based on the Enterprise Value to EBITDA ratio.
HUM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HUM is cheaper than 80.58% of the companies in the same industry.
Industry RankSector Rank
P/FCF 11.66
EV/EBITDA 8.27
HUM Per share dataHUM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 200 400 600 800

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)5.36
PEG (5Y)N/A
EPS Next 2Y-6.25%
EPS Next 3Y10.57%

More info and screens

7

5. Dividend

5.1 Amount

HUM has a Yearly Dividend Yield of 1.58%.
Compared to an average industry Dividend Yield of 2.59, HUM pays a better dividend. On top of this HUM pays more dividend than 87.38% of the companies listed in the same industry.
HUM's Dividend Yield is slightly below the S&P500 average, which is at 2.34.
Industry RankSector Rank
Dividend Yield 1.58%

5.2 History

The dividend of HUM is nicely growing with an annual growth rate of 10.32%!
HUM has paid a dividend for at least 10 years, which is a reliable track record.
HUM has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)10.32%
Div Incr Years0
Div Non Decr Years8
HUM Yearly Dividends per shareHUM Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3

5.3 Sustainability

25.15% of the earnings are spent on dividend by HUM. This is a low number and sustainable payout ratio.
HUM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP25.15%
EPS Next 2Y-6.25%
EPS Next 3Y10.57%
HUM Yearly Income VS Free CF VS DividendHUM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B
HUM Dividend Payout.HUM Dividend Payout, showing the Payout Ratio.HUM Dividend Payout.PayoutRetained Earnings

More info and screens

HUMANA INC

NYSE:HUM (7/24/2025, 1:16:01 PM)

230.09

-7.03 (-2.96%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)04-30 2025-04-30/bmo
Earnings (Next)07-30 2025-07-30/amc
Inst Owners96.23%
Inst Owner Change-0.57%
Ins Owners0.13%
Ins Owner Change5.57%
Market Cap27.77B
Analysts70.32
Price Target297.71 (29.39%)
Short Float %3.59%
Short Ratio2.53
Dividend
Industry RankSector Rank
Dividend Yield 1.58%
Yearly Dividend3.55
Dividend Growth(5Y)10.32%
DP25.15%
Div Incr Years0
Div Non Decr Years8
Ex-Date06-27 2025-06-27 (0.885)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.54%
Min EPS beat(2)1.21%
Max EPS beat(2)13.88%
EPS beat(4)4
Avg EPS beat(4)13.48%
Min EPS beat(4)1.21%
Max EPS beat(4)20.98%
EPS beat(8)7
Avg EPS beat(8)-11.83%
EPS beat(12)11
Avg EPS beat(12)-5.35%
EPS beat(16)14
Avg EPS beat(16)-2.37%
Revenue beat(2)1
Avg Revenue beat(2)-0.54%
Min Revenue beat(2)-1.32%
Max Revenue beat(2)0.25%
Revenue beat(4)3
Avg Revenue beat(4)0.53%
Min Revenue beat(4)-1.32%
Max Revenue beat(4)2.01%
Revenue beat(8)5
Avg Revenue beat(8)0.05%
Revenue beat(12)5
Avg Revenue beat(12)-0.48%
Revenue beat(16)6
Avg Revenue beat(16)-0.57%
PT rev (1m)-4.16%
PT rev (3m)-0.44%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.72%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.03%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)0.58%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.94%
Valuation
Industry RankSector Rank
PE 11.2
Fwd PE 16.17
P/S 0.23
P/FCF 11.66
P/OCF 9.66
P/B 1.56
P/tB 4.15
EV/EBITDA 8.27
EPS(TTM)20.54
EY8.93%
EPS(NY)14.23
Fwd EY6.18%
FCF(TTM)19.73
FCFY8.57%
OCF(TTM)23.81
OCFY10.35%
SpS996.45
BVpS147.08
TBVpS55.46
PEG (NY)5.36
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 3.36%
ROE 9.63%
ROCE 8.09%
ROIC 6.12%
ROICexc 6.76%
ROICexgc 13.94%
OM 3.01%
PM (TTM) 1.42%
GM N/A
FCFM 1.98%
ROA(3y)4.8%
ROA(5y)6.13%
ROE(3y)13.67%
ROE(5y)16.75%
ROIC(3y)7.86%
ROIC(5y)8.6%
ROICexc(3y)8.87%
ROICexc(5y)9.81%
ROICexgc(3y)19.84%
ROICexgc(5y)21.44%
ROCE(3y)10.58%
ROCE(5y)11.53%
ROICexcg growth 3Y-14.61%
ROICexcg growth 5Y-10.55%
ROICexc growth 3Y-6.07%
ROICexc growth 5Y-12.53%
OM growth 3Y-13.15%
OM growth 5Y-12.08%
PM growth 3Y-33.79%
PM growth 5Y-24.48%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover2.36
Health
Industry RankSector Rank
Debt/Equity 0.72
Debt/FCF 5.59
Debt/EBITDA 2.79
Cap/Depr 52.39%
Cap/Sales 0.41%
Interest Coverage 6.36
Cash Conversion 63.05%
Profit Quality 139.24%
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score6
WACC7.81%
ROIC/WACC0.78
Cap/Depr(3y)100.48%
Cap/Depr(5y)128.5%
Cap/Sales(3y)0.88%
Cap/Sales(5y)1.09%
Profit Quality(3y)147.09%
Profit Quality(5y)122.47%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.84%
EPS 3Y-7.76%
EPS 5Y-1.92%
EPS Q2Q%60.17%
EPS Next Y2.09%
EPS Next 2Y-6.25%
EPS Next 3Y10.57%
EPS Next 5Y16.04%
Revenue 1Y (TTM)10.09%
Revenue growth 3Y12.34%
Revenue growth 5Y12.66%
Sales Q2Q%9.48%
Revenue Next Year8.28%
Revenue Next 2Y5.7%
Revenue Next 3Y6.77%
Revenue Next 5Y7.93%
EBIT growth 1Y-11.93%
EBIT growth 3Y-2.43%
EBIT growth 5Y-0.95%
EBIT Next Year28.68%
EBIT Next 3Y16.15%
EBIT Next 5Y14.61%
FCF growth 1Y-76.01%
FCF growth 3Y36.22%
FCF growth 5Y-12.07%
OCF growth 1Y-73.81%
OCF growth 3Y9.45%
OCF growth 5Y-10.91%