This story was originally published on Healthcare Dive. To receive daily news and insights, subscribe to our free daily Healthcare Dive newsletter. Dive Brief: Humana will have 20% of its Medicare Advantage members in plans rated 4 stars or above in 2026, down slightly from 2025 but in line with internal expectations, the insurer disclosed Thursday. Humana — the second largest MA carrier in the country — did see an improvement in members in plans rated 4.5 stars or above. Next year, 14% of Humana’s MA ...

Core Insights - Humana Inc. (HUM) is positioned for growth due to increasing premiums, strategic acquisitions, an aging population in the U.S., and strong cash generation capacity [1] Membership and Premium Growth - Humana's membership base is expanding, particularly in Medicare Advantage and state-based programs, with Group Medicare Advantage membership increasing by 4.6% year over year and state-based contracts rising by 13.7% in Q2 2025 [2] - Premiums have shown consistent growth, with increases of 9.9% in 2022, 15.5% in 2023, 10.7% in 2024, and 8.6% in the first half of 2025 [2] - An anticipated increase of 175,000-250,000 members in state-based contracts is expected in 2025 [2] Segment Performance and Revenue Projections - Adjusted revenues in the insurance segment grew by 8.4% year over year in the first half of 2025, with projected revenues of at least $123 billion for the segment in 2025 [3] - The CenterWell segment's revenues increased by 8.9% year over year, with expectations of reaching at least $21.5 billion in 2025 [4] Strategic Expansion and Acquisitions - Humana is expanding its Medicaid presence with a new contract in Virginia, bringing its active presence to 10 states, with three additional states pending [5] - The company is pursuing strategic acquisitions and optimizing its portfolio by divesting non-core operations to enhance profitability [5] Financial Position - As of June 30, 2025, Humana held cash, cash equivalents, and investment securities totaling $21.7 billion, significantly exceeding its long-term debt of $12.6 billion [6] - The company has engaged in share repurchases worth $109 million in the first half of 2025, supported by strong operating cash flows [6] Earnings Performance - Humana has a strong earnings surprise history, exceeding estimates in three of the last four quarters with an average surprise of 9.6% [9] Challenges and Concerns - Operating expenses have been increasing, with year-over-year jumps of 11.5%, 14.9%, 12.5%, and 7.8% from 2022 to the first half of 2025 [10] - The benefit ratio deteriorated by 70 basis points year over year to 89.7% in Q2 2025, with expectations for the insurance segment's benefit ratio to be between 90.1% and 90.5% for 2025 [10] - Humana's debt-laden balance sheet is leading to increased interest expenses, which may pressure margins [10] Competitive Landscape - Competitors like Elevance Health, Inc. and The Cigna Group are also performing well, with Elevance Health's total operating revenues rising by 14.8% year over year in the first half of 2025 [11] - Cigna's adjusted revenues increased by 13% year over year in the same period, indicating strong market competition [12]

Core Insights - Leading health insurers are scaling back their Medicare Advantage offerings due to anticipated decreases in government reimbursement starting in 2024 [1][5] - The reduction in Medicare Advantage plans is a response to higher-than-expected medical service usage and lower payments related to patients' health conditions [5][6] Company Actions - CVS Health's Aetna will reduce its prescription drug plans by 100 counties in 2026, while Humana will decrease its plan availability to 85% of counties, down from 89% [2][8] - UnitedHealth will cease operations in 109 counties, impacting approximately 180,000 individuals [2][12] - Humana will operate in 46 states in 2026, down from 48, and Aetna will offer plans in 43 states and 2,159 counties, a reduction from 44 states and 2,259 counties [8] Market Dynamics - Insurers are exiting less profitable markets due to funding cuts from the Centers for Medicare and Medicaid Services, rising healthcare costs, and increased service utilization [6][7] - UnitedHealth's decision to shut down over 100 plans will affect around 600,000 members, primarily those enrolled in preferred provider organizations [12] Plan Offerings - Humana plans to introduce new plan types in four states across 177 counties, with 83% of its standalone prescription drug plans in 2026 expected to have decreased premiums [11] - CVS Health aims to expand its offerings for individuals eligible for both Medicare and Medicaid to 16 new states [11]

Humana Inc. (NYSE:HUM) ranks among the stocks with low beta that can beat market volatility. On September 22, Evercore ISI began coverage of Humana Inc. (NYSE:HUM) with an In Line rating and a $295 price target, emphasizing the company’s medium-term concerns as well as its potential for long-term earnings growth. Pixabay/Public Domain Evercore ISI stated that “after 2028, Humana Inc. (NYSE:HUM) has the right mix of assets to grow adjusted EBIT at an LDD rate (and EPS likely at a mid-teens CAGR),” despit ...

Core Insights - The article emphasizes the importance of earnings estimates and revisions in identifying strong stocks, while also acknowledging that investors have diverse strategies [1] - Value investing is highlighted as a popular method for finding great stocks across various market conditions [2] Company Analysis: Humana (HUM) - Humana is currently rated with a Zacks Rank 2 (Buy) and has received an A grade in the Value category, indicating it is a strong value stock [3] - The company's price-to-book (P/B) ratio is 1.66, which is favorable compared to the industry average of 2.25, suggesting that HUM is relatively undervalued [4] - Humana's price-to-sales (P/S) ratio stands at 0.25, which is lower than the industry average of 0.28, further indicating its potential undervaluation [5] - Overall, Humana's strong value metrics and positive earnings outlook position it as an impressive value stock at this time [6]

Humana said on Wednesday about 83% of stand-alone prescription drug plans for 2026 will offer a premium decrease. ...

Sep 29, 2025 6:10 AM Eastern Daylight Time Humana Invites Everyone to Get in the Game With Pickleball Pop-Up Events Share Humana to offer court play, lessons, games, and healthy aging resources geared toward older adults of all experience levels at Simon® centers in Illinois, Indiana and Florida Humana is inviting older adults to 'get in the game' with pickleball pop-up events at malls in Illinois, Indiana and Florida in October. These events are designed to offer community members fun and accessible ways t ...

Key Takeaways HUM is extending TailorCare services to MA members in Dallas and Denver. TailorCare offers personalized MSK care, including in-home therapy and motion tracking tech.HUM expects the move to drive MA membership growth and boost premium revenues.Humana Inc. (HUM) recently solidified its partnership with TailorCare, a leading value-based specialty care provider for musculoskeletal (MSK) health, to serve Medicare Advantage (MA) members in Dallas and Denver. Starting in November 2025 in Dallas and i ...

Core Insights - Major investors are taking a bearish stance on Humana, indicating potential insider information influencing their trading decisions [1] - The sentiment among traders is mixed, with 33% bullish and 55% bearish positions noted in recent options trades [2] Options Activity - A total of 9 options trades were identified for Humana, with one put option valued at $44,079 and eight call options totaling $903,969 [2] - The price target for Humana, based on options activity, ranges from $250.0 to $280.0 over the last three months [3] Volume and Open Interest Analysis - Volume and open interest metrics are crucial for understanding liquidity and investor interest in Humana's options, particularly within the $250.0 to $280.0 strike price range over the past 30 days [4] Recent Trading Data - The largest options trades include multiple bullish and bearish positions, with significant total trade prices and varying strike prices [9] Company Overview - Humana is a leading private health insurer in the US, focusing on government-sponsored programs like Medicare and Medicaid, and also offers various healthcare services [10] Analyst Ratings and Price Targets - Analysts have set an average price target of $315.75 for Humana, with individual targets ranging from $295 to $341 [11][12] Current Market Position - Humana's stock is currently trading at $256.99, reflecting a decrease of 0.51%, with an anticipated earnings release in 35 days [14]

NASHVILLE, Tenn.--(BUSINESS WIRE)--TailorCare, a leading provider of value-based specialty care solutions for musculoskeletal (MSK) health, today announced plans to expand its partnership with Humana Inc. (NYSE: HUM) into Dallas and Denver. Humana Medicare Advantage (MA) members who qualify for these programs will now have access to TailorCare's personalized, evidence-based MSK navigation and care coordination support. Currently serving Humana members in Atlanta, TailorCare advances quality of. ...