Core Insights - Humana reported a net income of $195 million for the third quarter, with medical cost trends aligning with previous forecasts [2][5] - The company is reaffirming its full year 2025 adjusted earnings per share outlook of approximately $17.00, supported by solid execution and results [6] Financial Performance - Humana's net income decreased to $195 million, or $1.62 per share, compared to $480 million, or $3.98 per share in the same quarter last year [5] - Revenue increased to $32.6 billion, up from $29.4 billion in the year-ago period [5] - The insurance segment benefit ratio was reported at 91.1%, consistent with guidance of just above 91% and an increase from 89.9% in the previous year [4] Medicare Advantage Plans - The company has been experiencing higher costs in its Medicare Advantage plans, which are a significant part of its business [3] - Humana's Medicare Advantage enrollment reached over 5.2 million individuals, with a projected decline of approximately 425,000 members for FY 2025, an improvement from earlier expectations [7] Growth in Healthcare Services - Humana's CenterWell healthcare services business reported growth of 56,600 patients, or nearly 15% [8] - CenterWell Pharmacy is driving strong growth across payor agnostic offerings, with increased specialty volumes and strong direct-to-consumer growth [8] Strategic Outlook - The company is confident in its strategy of prioritizing consumer needs, with solid year-to-date performance and strong momentum heading into the Annual Election Period [9][10]

Health insurers are pulling out of the Medicare Advantage market. Discover which areas will gain or lose the most, and what to do if your plan is canceled. https://t.co/fKPQwdpncU ...

Core Insights - Humana reported third-quarter profit exceeding Wall Street estimates, driven by higher premiums and medical costs aligned with expectations [1][4] - The health insurance industry has faced high costs due to increased healthcare service usage in government-backed plans [2] Company Performance - Humana anticipates a decline of approximately 425,000 members in its individual Medicare Advantage plans, an improvement from the previously expected loss of up to 500,000 members, attributed to stronger member retention and better sales [3] - The company expects most new members to enroll in higher-rated plans for 2026 [4] - Humana's quarterly medical cost ratio was 91.1%, consistent with its expectations of "just above 91%" and slightly above analysts' expectations of 90.90% [4] - The company reaffirmed its annual adjusted profit forecast of about $17 per share [4] - Adjusted quarterly profit was reported at $3.24 per share, surpassing estimates of $2.82 per share [5]

Humana reported lower third-quarter profit and slashed full-year earnings guidance as medical costs continue to surge, dragging down margins for the company's core Medicare Advantage business. ...

Core Insights - The Affordable Care Act (ACA) open enrollment began on November 1, 2025, but subsidies are uncertain due to the ongoing government shutdown [1][2] - Premiums for ACA plans are expected to rise significantly, with average premiums potentially reaching $1,000 per month, as enhanced premium tax credits are set to expire at the end of 2025 [2][8] - The expiration of these credits, which were introduced by the American Rescue Plan, is a major political issue affecting the government shutdown, with Democrats insisting on subsidy discussions before reopening the government [4][6] Premium Increases - Current ACA rates reflect the assumption that Americans will not receive enhanced premium tax credits, leading to much higher premiums compared to previous years [2][10] - Research indicates that without the enhanced credits, average out-of-pocket premiums for enrollees could more than double, increasing by $1,000 annually [9] - Older adults, particularly those in their sixties with middle incomes, could face an additional $25,000 in costs due to the loss of subsidies [9] Market Dynamics - Insurers are raising premiums in anticipation of a riskier enrollee pool, as younger and healthier individuals may leave the market without financial assistance [10] - The uncertainty surrounding subsidies is causing many potential enrollees to experience "sticker shock" when shopping for ACA plans [7][8] - There is a possibility for individuals to wait for Congress to extend subsidies, but they must enroll by the 2026 deadlines to avoid losing coverage [6][8]

Humana had third-quarter profit above Wall Street’s expectations, the latest health insurer to report a better job managing the increasing cost of health care https://t.co/VzwUkFE6l8 ...

(Reuters) -Humana reported third-quarter profit that beat Wall Street estimates on Wednesday, on higher premiums. The company also reaffirmed its annual profit forecast of about $17 per share. "We feel positive about the direction we're headed and the value we are creating for our members, patients and investors," CEO Jim Rechtin said. Humana is one of the largest providers of Medicare Advantage plans, under which the U.S. government pays private insurers a set rate to manage healthcare for people 65 an ...

LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana Inc. (NYSE: HUM) today reported consolidated pretax results and diluted earnings per share (EPS) for the quarter ended September 30, 2025 (3Q25) versus the quarter ended September 30, 2024 (3Q24) and for the nine months ended September 30, 2025 (YTD 2025) versus the nine months ended September 30, 2024 (YTD 2024) as noted in the tables below. Consolidated income before income taxes and equity in net losses (pretax results) in millions 3Q25 (a) 3Q24 (a) Y. ...

Core Viewpoint - The investment interest from notable investors Michael Burry and Warren Buffett in UnitedHealth Group suggests a potential recovery opportunity for the company despite recent setbacks [2][4][14] Company Overview - UnitedHealth Group is a leading player in the U.S. health insurance industry but has faced challenges, including disappointing earnings, the loss of its CEO, and a Department of Justice investigation into its Medicare billing practices [4][10] Investment Actions - In the second quarter, Burry acquired 20,000 shares and 350,000 call options, while Buffett purchased 5,039,564 shares of UnitedHealth [5][12] Financial Performance - UnitedHealth reported over $113 billion in revenue with double-digit growth and net income exceeding analysts' expectations [12] - The company raised its 2025 earnings guidance to at least $14.90 per share, up from $14.65 [12] Recovery Potential - The company is addressing its issues, focusing on repricing and market positioning, which are controllable factors [10] - Efforts to enhance the Optum business, including narrowing the provider network, are expected to yield positive results [11] Valuation - Currently trading at 20 times forward earnings estimates, the stock is considered attractively priced if recovery is anticipated [9][13]

Earnings Results - Humana Inc. is set to release its third-quarter earnings results on November 5, with expected earnings of $2.82 per share, a decrease from $4.16 per share in the same period last year [1] - The consensus estimate for Humana's quarterly revenue is $32.01 billion, up from $29.4 billion a year earlier [1] Dividend Announcement - On October 28, Humana declared a cash dividend of 88.5 cents per share to stockholders [2] - Following the announcement, Humana's shares rose by 0.7%, closing at $281.87 [2] Analyst Ratings and Price Targets - B of A Securities maintained a Neutral rating and raised the price target from $280 to $300 [4] - Mizuho maintained an Outperform rating and increased the price target from $300 to $345 [4] - Barclays maintained an Equal-Weight rating and cut the price target from $315 to $245 [4] - RBC Capital maintained an Outperform rating and raised the price target from $283 to $322 [4] - Argus Research reiterated a Hold rating with a price target of $281.99 [4]