Humana Inc.

Humana Inc. delivered a solid result and managed an all-around beat in the last quarter, with adjusted earnings per share meeting expectations and positive results from all lines of business, supported by the growth in Medicare Advantage utilization. The company has reaffirmed its full-year guidance, reflecting a significant increase in adjusted EPS over the previous year. The management is looking towards expanding their CenterWell care delivery capabilities, increasing ongoing efforts in Medicaid, and developing value-based strategies in the home health sector to further contribute to their confidence in achieving their future financial targets. Humana is also looking towards integrating clinical and operational workflows and a focus on improving member experiences and health outcomes underscores the company’s dedication to innovation and delivering value to its members. We give Humana a ‘Hold’ rating with a revised target price.