Valued at a market cap of $23.7 billion, Humana Inc. (HUM) is a U.S.-based healthcare company that provides medical and specialty insurance products through its Insurance and CenterWell segments, serving individuals, Medicare beneficiaries, and military families. It also operates senior-focused primary care centers, home health services, and pharmacy solutions.
The Louisville, Kentucky-based company is slated to announce its fiscal Q1 2026 results before the market opens on Wednesday, Apr. 29. Ahead of the event, analysts forecast Humana to report an adjusted EPS of $9.89, down 14.6% from $11.58 in the year-ago quarter. It has surpassed Wall Street's bottom-line estimates in three of the past four quarterly reports while missing on another occasion.
For fiscal 2026, analysts project the health insurer to report adjusted EPS of $9.06, a 47.1% drop from $17.14 in fiscal 2025. However, adjusted EPS is anticipated to grow 70.3% year-over-year to $15.43 in fiscal 2027.
Shares of Humana have decreased 22.6% over the past 52 weeks, underperforming both the S&P 500 Index's ($SPX) 30.7% rise and the State Street Health Care Select Sector SPDR ETF's (XLV) 9% return over the same period.
Shares of Humana fell 3.3% after the company reported Q4 2025 results on Feb. 11. It forecast 2026 adjusted EPS of at least $9, well below analysts’ estimate. The decline was also driven by expectations that lower Medicare Advantage quality ratings will reduce bonus payments and pressure profits by about $3.5 billion in 2026. Additionally, concerns that a roughly 25% surge in Medicare Advantage membership could further squeeze margins, along with a minimal 0.09% government rate increase, weighed on investor sentiment.
Analysts' consensus rating on Humana stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 27 analysts covering the stock, seven recommend a "Strong Buy,” one has a "Moderate Buy," 17 give a "Hold" rating, and two "Strong Sells.” The average analyst price target is $206.48, indicating a potential upside of 4.7% from the current levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
