IMAX Corp (NYSE:IMAX) received a price target increase from Wedbush to $54 from $46, with the firm reiterating its Outperform rating as it expects continued growth from a stronger film pipeline, market share gains and global expansion.
The analysts wrote that IMAX remains on Wedbush’s Best Ideas List as the company benefits from an increase in the volume and quality of films produced for IMAX, a broader mix of local-language and global releases, expanded alternative content offerings and further international footprint growth.
“IMAX remains on Wedbush’s Best Ideas List given our view that it is benefitting from an uptick in volume and quality of filmed-for-IMAX titles in the second half of 2026 through 2028, which is driving market share gains,” the analysts wrote.
Wedbush highlighted IMAX’s second-quarter results as evidence of the strength of its business model, noting that the company exceeded expectations despite weaker Chinese box office performance and a modest domestic share decline during a quarter with a heavier focus on family films.
“IMAX’s results demonstrated the quality of its business model that handily beat expectations despite a shortfall in its Chinese box office and a modest domestic share loss in a quarter heavier on family fare,” the analysts wrote.
IMAX reported second-quarter revenue of $103 million, up 12% year over year and above Wedbush’s and consensus estimates of $94 million. Adjusted EBITDA came in at $45 million, ahead of Wedbush’s estimate of $39 million, driven by higher installations, improved margins and operating expense leverage.
The analysts wrote that additional installations during the quarter supported results and helped ease concerns around IMAX’s ability to reach its 2026 box office target of $1.4 billion, given the strength and diversity of its upcoming release slate.
Wedbush also highlighted IMAX’s profitability outlook, writing that the company’s target of achieving EBITDA margins above 45% in 2026 and surpassing 50% by 2028 now appear conservative.
“IMAX’s 45% plus EBITDA margin target for 2026 and guidance to surpass 50% EBITDA margins by 2028 now appear conservative,” the analysts wrote.
Looking ahead, Wedbush wrote that the next phase of IMAX’s growth story will focus on improving the timing and flow of major film releases. The analysts noted that while 2026 includes several major IMAX titles, including The Odyssey and Dune 3, a crowded release schedule has limited the ability of studios and IMAX to maximize overall box office performance.
“Focus will now shift to the next leg of IMAX’s growth story: better orchestrating the flow of the annual release slate,” the analysts wrote.
Wedbush wrote that the 2027 release schedule already appears less crowded, as IMAX has become an increasingly important partner for studios across genres, languages and geographies. The analysts added that improved release timing, market share gains and international expansion provide additional opportunities for growth.
The revised $54 price target is based on a 13 times enterprise value-to-EBITDA multiple applied to Wedbush’s updated 2028 EBITDA estimate, compared with a previous 12 times multiple. It also implies upside from current levels of about $45.
Wedbush also noted potential upside if IMAX were to attract acquisition interest, writing that the company’s combination of a globally recognized premium brand, an asset-light licensing model and a structurally expanding earnings profile could make it attractive to a potential buyer.
Key Takeaways Humana is expected to post strong Q2 revenue growth driven by higher premiums and Medicare expansion.HUM's rising Insurance and CenterWell operating income support earnings beat hopes.Higher opex, weaker investment income and a rising benefits expense ratio may partially offset positives. Humana Inc. (HUM - Free Report) is set to report second-quarter 2026 results on July 29, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $6.22 per share on revenues of $40.65 billion.
The second-quarter earnings estimate has witnessed three upward revisions and no movement in the opposite direction over the past 60 days. However, the bottom-line projection indicates a year-over-year decrease of 0.8%. Yet, the Zacks Consensus Estimate for quarterly revenues implies year-over-year growth of 25.5%.
Image Source: Zacks Investment Research
For full-year 2026, the Zacks Consensus Estimate for Humana’s revenues is pegged at $162.60 billion, implying a rise of 25.3% year over year. However, the consensus mark for current-year EPS is pegged at $9.25, implying a plunge of around 46% on a year-over-year basis.
HUM’s earnings beat the consensus estimate in three of the trailing four quarters and missed once, with the average surprise being 3.8%.
Q2 Earnings Whispers for HUMOur proven model predicts a likely earnings beat for the company this time around as well. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is precisely the case here.
Humana has an Earnings ESP of +1.71% and a Zacks Rank #1. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
You can see the complete list of today’s Zacks #1 Rank stocks here.
What’s Shaping HUM’s Q2 Results?The Zacks Consensus Estimate for HUM’s second-quarter premiums indicates a 25.6% increase from the prior-year quarter’s reported figure, whereas our model predicts 24% growth. We expect total Medicare to witness 26.6% growth in the quarter under review. Similarly, the consensus mark for service revenues signals a 22.3% increase from a year ago, whereas our model predicts a nearly 16% jump.
Also, the Zacks Consensus Estimate for insurance membership predicts a 18.2% year-over-year growth, whereas specialty membership is expected to rise 3.7%.
The Zacks Consensus Estimate for operating income from the Insurance unit indicates 10.2% growth from a year ago. The same for the CenterWell unit predicts a 12.8% growth from the year-ago level. The above-mentioned factors are expected to have positioned the company for an earnings beat in the second quarter.
However, the consensus estimate indicates that Humana’s investment income will see a 13.5% drop from the year-ago level. We expect total operating costs to increase 24.4% in the second quarter, bringing the figure above $38.9 billion. This is likely to have led to a year-over-year decline in the bottom line.
The consensus mark for insurance benefits expense ratio is pegged at 91.3% for the to-be-reported quarter, deteriorating from 89.9% a year ago. These are likely to have partially offset the positives.
How Did Peers Perform?Several healthcare companies, including UnitedHealth Group Incorporated (UNH - Free Report) , Molina Healthcare, Inc. (MOH - Free Report) and Elevance Health, Inc. (ELV - Free Report) , have already reported their financial results for the June quarter of 2026. Here’s how they performed:
UnitedHealth reported second-quarter 2026 adjusted EPS of $6.38, which beat the Zacks Consensus Estimate of $4.94. The bottom line rose 56.4% year over year. Its strong quarterly results were aided by growth in commercial fee-based membership and the strength witnessed in Optum Insight. Medical cost management, pricing discipline and benefit design changes also contributed to the upside. However, weakness in UNH’s Optum Health, Optum Rx and declining risk-based membership partially offset the positives.
Molina reported second-quarter 2026 adjusted EPS of $1.51, which beat the Zacks Consensus Estimate by 10.2%. But the bottom line declined 72.4% from the year-ago period's level. MOH’s earnings benefited from lower operating expenses. However, lower premium revenues, declining membership, and weaker investment income weighed on its performance.
Elevance reported second-quarter 2026 adjusted EPS of $7.45, which surpassed the Zacks Consensus Estimate by 20.6%. However, the bottom line declined 15.7% year over year.The quarterly results were primarily driven by higher premium yields in the Health Benefits segment and increased CarelonRx product revenues. The upside was partly offset by a decline in ELV’s overall medical membership and an elevated expense level.
PHILADELPHIA--(BUSINESS WIRE)--Investor litigation firm Kaskela Law announces that it is investigating Humana Inc. (NYSE: HUM) (“Humana”) on behalf of the company's long-term investors. Click here for additional information: https://kaskelalaw.com/case/humana/ Recently a federal securities fraud complaint was filed against Humana on behalf of certain investors who purchased shares of the company's stock between July 27, 2022 and October 1, 2024 (the “Wrongdoing Period”). According to the compla.
Wall Street expects a year-over-year decline in earnings on higher revenues when Humana (HUM - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on July 29, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis health insurer is expected to post quarterly earnings of $6.22 per share in its upcoming report, which represents a year-over-year change of -0.8%.
Revenues are expected to be $40.65 billion, up 25.5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 26.64% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Humana?For Humana, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.71%.
On the other hand, the stock currently carries a Zacks Rank of #1.
So, this combination indicates that Humana will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Humana would post earnings of $9.97 per share when it actually produced earnings of $10.31, delivering a surprise of +3.41%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Humana appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
California Public Employees Retirement System reduced its holdings in shares of Humana Inc. (NYSE:HUM – Free Report) by 24.4% during the 1st quarter, according to its most recent 13F filing with the SEC. The fund owned 171,183 shares of the insurance provider’s stock after selling 55,174 shares during the period. California Public Employees Retirement System owned approximately 0.14% of Humana worth $29,681,000 as of its most recent filing with the SEC.
A number of other institutional investors also recently bought and sold shares of the business. Montag A & Associates Inc. raised its stake in Humana by 1,880.0% during the 4th quarter. Montag A & Associates Inc. now owns 99 shares of the insurance provider’s stock valued at $25,000 after acquiring an additional 94 shares during the last quarter. CoreCap Advisors LLC grew its stake in shares of Humana by 54.4% in the 4th quarter. CoreCap Advisors LLC now owns 105 shares of the insurance provider’s stock valued at $27,000 after purchasing an additional 37 shares during the last quarter. Fideuram Asset Management Ireland dac purchased a new position in shares of Humana in the 4th quarter valued at approximately $27,000. Reflection Asset Management acquired a new position in shares of Humana in the fourth quarter valued at approximately $29,000. Finally, Larson Financial Group LLC increased its holdings in shares of Humana by 114.1% in the third quarter. Larson Financial Group LLC now owns 152 shares of the insurance provider’s stock valued at $40,000 after purchasing an additional 81 shares during the period. 92.38% of the stock is currently owned by institutional investors and hedge funds.
Humana Stock Performance HUM opened at $404.80 on Wednesday. Humana Inc. has a 1-year low of $163.11 and a 1-year high of $428.88. The stock has a market cap of $48.60 billion, a P/E ratio of 43.29, a P/E/G ratio of 2.17 and a beta of 0.71. The stock’s 50 day simple moving average is $358.69 and its 200 day simple moving average is $262.23. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.77 and a quick ratio of 1.77.
Humana (NYSE:HUM – Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The insurance provider reported $10.31 earnings per share (EPS) for the quarter, topping the consensus estimate of $9.97 by $0.34. The firm had revenue of $39.65 billion during the quarter, compared to analysts’ expectations of $39.37 billion. Humana had a return on equity of 10.45% and a net margin of 0.82%.Humana’s revenue was up 23.5% on a year-over-year basis. During the same period in the previous year, the firm posted $11.58 earnings per share. Humana has set its FY 2026 guidance at 9.000- EPS. As a group, equities analysts anticipate that Humana Inc. will post 9.46 EPS for the current fiscal year.
Analyst Ratings Changes A number of equities analysts have commented on the stock. Leerink Partners upped their price objective on shares of Humana from $185.00 to $255.00 and gave the stock a “market perform” rating in a research report on Thursday, April 30th. Sanford C. Bernstein reiterated an “outperform” rating and set a $425.00 target price on shares of Humana in a research report on Wednesday, June 3rd. Needham & Company LLC started coverage on Humana in a research note on Wednesday, May 20th. They issued a “buy” rating on the stock. William Blair began coverage on Humana in a report on Wednesday, May 20th. They issued an “outperform” rating for the company. Finally, TD Cowen boosted their target price on shares of Humana from $211.00 to $350.00 and gave the stock a “hold” rating in a research report on Tuesday, July 14th. Two research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating, fifteen have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $327.17.
View Our Latest Report on HUM
Humana Company Profile (Free Report)
Humana Inc (NYSE: HUM) is a health insurance company headquartered in Louisville, Kentucky, that primarily serves individuals and groups across the United States. The company is best known for its Medicare business, offering Medicare Advantage plans and prescription drug (Part D) coverage, alongside a range of commercial and employer-sponsored group health plans. Humana’s products are designed to cover medical, behavioral health and pharmacy needs for members, with particular emphasis on seniors and Medicare-eligible populations.
In addition to traditional insurance products, Humana provides care-management and wellness services intended to support chronic-condition management, preventive care and care coordination.
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Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Humana (HUM - Free Report) , which currently has a Momentum Style Score of A. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Humana currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market? In order to see if HUM is a promising momentum pick, let's examine some Momentum Style elements to see if this health insurer holds up.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.
For HUM, shares are up 1.98% over the past week while the Zacks Medical - HMOs industry is down 1.35% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 10.39% compares favorably with the industry's 0.66% performance as well.
Considering longer term price metrics, like performance over the last three months or year, can be advantageous as well. Shares of Humana have increased 78.07% over the past quarter, and have gained 78.22% in the last year. In comparison, the S&P 500 has only moved 4.95% and 19.48%, respectively.
Investors should also take note of HUM's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now HUM is averaging 1,370,639 shares for the last 20 days..
Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with HUM.
Over the past two months, 2 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost HUM's consensus estimate, increasing from $9.02 to $9.25 in the past 60 days. Looking at the next fiscal year, 2 estimates have moved upwards while there have been no downward revisions in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that HUM is a #1 (Strong Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Humana on your short list.
Investors interested in Medical stocks should always be looking to find the best-performing companies in the group. Is Humana (HUM - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Medical peers, we might be able to answer that question.
Humana is a member of the Medical sector. This group includes 914 individual stocks and currently holds a Zacks Sector Rank of #6. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Humana is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for HUM's full-year earnings has moved 5.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, HUM has gained about 50.9% so far this year. Meanwhile, the Medical sector has returned an average of 0.8% on a year-to-date basis. This shows that Humana is outperforming its peers so far this year.
Another Medical stock, which has outperformed the sector so far this year, is Envoy Medical, Inc. (COCH - Free Report) . The stock has returned 15% year-to-date.
For Envoy Medical, Inc., the consensus EPS estimate for the current year has increased 3.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Humana is a member of the Medical - HMOs industry, which includes 7 individual companies and currently sits at #46 in the Zacks Industry Rank. This group has gained an average of 27% so far this year, so HUM is performing better in this area.
In contrast, Envoy Medical, Inc. falls under the Medical - Instruments industry. Currently, this industry has 77 stocks and is ranked #182. Since the beginning of the year, the industry has moved -12.2%.
Investors interested in the Medical sector may want to keep a close eye on Humana and Envoy Medical, Inc. as they attempt to continue their solid performance.
Humana (HUM - Free Report) could be a solid addition to your portfolio given a notable revision in the company's earnings estimates. While the stock has been gaining lately, the trend might continue since its earnings outlook is still improving.
The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this health insurer, should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- has this insight at its core.
The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.
For Humana, there has been strong agreement among the covering analysts in raising earnings estimates, which has helped push consensus estimates considerably higher for the next quarter and full year.
The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:
12 Month EPS
Current-Quarter Estimate RevisionsThe earnings estimate of $6.22 per share for the current quarter represents a change of -0.8% from the number reported a year ago.
Over the last 30 days, the Zacks Consensus Estimate for Humana has increased 26.64% because two estimates have moved higher compared to no negative revisions.
Current-Year Estimate RevisionsFor the full year, the company is expected to earn $9.26 per share, representing a year-over-year change of -46.0%.
There has been an encouraging trend in estimate revisions for the current year as well. Over the past month, two estimates have moved up for Humana versus no negative revisions. This has pushed the consensus estimate 5.43% higher.
Favorable Zacks RankThe promising estimate revisions have helped Humana earn a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.
Bottom LineHumana shares have added 12.7% over the past four weeks, suggesting that investors are betting on its impressive estimate revisions. So, you may consider adding it to your portfolio right away to benefit from its earnings growth prospects.
Key Takeaways Humana aims for a 3% Medicare Advantage margin by 2028 as it rebuilds long-term profitability.HUM expects about 25% individual Medicare Advantage membership growth in 2026 through disciplined execution.Humana reaffirmed at least $9.00 adjusted EPS guidance for 2026 despite Star Ratings headwinds. Humana Inc.’s (HUM - Free Report) turnaround is no longer about growing membership, it's about rebuilding profitability. The company has set a goal of achieving a 3% Medicare Advantage margin by 2028, making it one of the most important milestones for its long-term earnings recovery. The key question is whether Humana can translate that strategy into sustainable profit growth.
Unlike many managed care companies that have scaled back benefits to protect margins, Humana continues to expect approximately 25% growth in individual Medicare Advantage membership in 2026. The focus is on attracting higher-quality members through disciplined pricing, stronger product design and better retention rather than pursuing growth at any cost.
Humana is working to improve medical cost trends through tighter care management and stronger operational execution. It is also investing to rebuild its Medicare Star Ratings, a key driver of future reimbursement and profitability. Higher Star Ratings would increase quality bonus payments, strengthen its competitive position and support long-term profitability.
Despite elevated healthcare utilization and a challenging regulatory environment, Humana reaffirmed its 2026 adjusted EPS guidance of at least $9.00, reflecting confidence in its turnaround plan despite the temporary Star Ratings headwind. The near-term focus is on controlling medical costs, improving Star Ratings and turning membership growth into higher profits. Delivering on these priorities will be key to reaching the 3% Medicare Advantage margin target and supporting a sustained earnings recovery.
How Are Humana's Peers Positioned?Restoring Medicare Advantage profitability has become a key priority across the health insurance industry. UnitedHealth Group Incorporated (UNH - Free Report) and CVS Health Corporation (CVS - Free Report) are also focused on improving margins through disciplined execution.
UnitedHealth Group is emphasizing disciplined pricing, stronger care management and value-based care to improve Medicare Advantage margins. UNH is prioritizing sustainable profitability over aggressive growth, much like Humana.
CVS Health is repricing Medicare Advantage plans, refining benefits and strengthening medical cost management to improve profitability. CVS is taking a disciplined approach to rebuild margins and support long-term earnings growth.
HUM’s Price Performance, Valuation and EstimatesShares of HUM have gained 53.1% year to date, outperforming the broader industry’s 28.5% growth.
Image Source: Zacks Investment Research
From a valuation standpoint, HUM trades at a forward price-to-earnings ratio of 32.21X, up from the industry average of 18.48X. Humana carries a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for HUM’s 2026 earnings implies a 47.4% deterioration year over year, followed by a 66.1% improvement next year.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Shareholders should contact the firm immediately as there may be limited time to enforce your rights.
, /PRNewswire/ -- Halper Sadeh LLC, an investor rights law firm, is investigating whether certain officers and directors of Humana Inc. (NYSE: HUM) breached their fiduciary duties to shareholders.
If you currently own Humana stock and are a long-term shareholder, you may be able to seek corporate governance reforms, the return of funds back to the company, a court-approved financial incentive award, or other relief and benefits. Please click here to learn more about your legal rights and options or contact Daniel Sadeh or Zachary Halper at (212) 763-0060 or [email protected] or [email protected].
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O'Reilly's extensive experience across healthcare compliance, risk management, regulatory oversight and payer operations expected to support Dario's continued expansion with health plans, employers and providers as Dario moves closer to care
O'Reilly's track record of leveraging advanced data analytics and AI in supporting value-based care strongly aligned with Dario's AI transition
, /PRNewswire/ -- DarioHealth Corp. (NASDAQ: DRIO) (the "Company", "DarioHealth" or "Dario"), a leader in AI-enabled digital health solutions, today announced the appointment of Sean O'Reilly to its Advisory Board. The appointment reflects Dario's continued focus on strengthening its strategic guidance as the Company advances its channel partner-led growth strategy and moves closer to care across the payer, provider and employer markets.
Mr. O'Reilly brings extensive healthcare compliance, risk management, regulatory oversight and legal experience across complex healthcare, insurance and clinical operations. He has led compliance programs supporting Medicare Advantage, Medicaid, employer group medical and specialty insurance, military healthcare, hospice and home health, value-based primary care and pharmacy benefit management organizations.
"Sean brings an exceptional combination of healthcare compliance leadership, operational and payer industry expertise, as well as M&A experience," stated Dario's Chief Executive Officer, Erez Raphael. "His perspective will be invaluable as we continue to expand Dario's relationships across the healthcare ecosystem, accelerate adoption of our AI-powered behavioral health and chronic multi-condition management platform, and move closer to care."
"Dario is operating in one of the most important areas of healthcare, where digital engagement, clinical impact, regulatory confidence and measurable value must come together," said Mr. O'Reilly. "The Company's platform is well aligned with the needs of health plans, providers and employers seeking scalable solutions that improve outcomes while supporting accountability and operational excellence. I look forward to working with Erez and the Dario team as the Company continues to expand its role across the healthcare ecosystem."
Prior to consulting in a prominent Healthcare Risk Management & Advisory practice, O'Reilly spent more than 13 years at Humana, including serving as Senior Vice President and Chief Compliance Officer, where he led enterprise compliance programs across Medicare Advantage, Medicaid, employer-sponsored health plans, pharmacy benefit management, home health, hospice, military healthcare and value-based care operations.
His experience leveraging advanced data analytics and AI to strengthen compliance oversight, operational performance and value-based care aligns closely with Dario's commitment to delivering measurable healthcare outcomes through innovative technology solutions.
Mr. O'Reilly is also a licensed attorney with a background in mergers and acquisitions. His work integrates privacy, ethics and technology-driven risk analysis to strengthen compliance culture, support operational integrity and enable strategic growth.
About DarioHealth Corp. (NASDAQ: DRIO)
DarioHealth Corp. (NASDAQ: DRIO) is a leading digital health company revolutionizing how people with chronic conditions manage their health through a user-centric, multi-chronic condition digital therapeutics platform. Dario's platform and suite of solutions deliver personalized and dynamic interventions driven by data analytics and one-on-one coaching for diabetes, hypertension, weight management, musculoskeletal pain and behavioral health.
Dario's user-centric platform offers people continuous and customized care for their health, disrupting the traditional episodic approach to healthcare. This approach empowers people to holistically adapt their lifestyles for sustainable behavior change, driving exceptional user satisfaction, retention and results and making the right thing to do the easy thing to do.
Dario provides its highly user-rated solutions globally to health plans and other payers, self-insured employers, providers of care and consumers. To learn more about Dario and its digital health solutions, or for more information, visit http://dariohealth.com.
This news release and the statements of representatives and partners of DarioHealth Corp. related thereto contain or may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not statements of historical fact may be deemed to be forward-looking statements. For example, the Company is using forward-looking statements in this press release when the Company's belief that Mr. O'Reilly's experience is expected to support the Company's continued expansion with health plans, employers and providers; the Company's belief that Mr. O'Reilly's appointment will strengthen its strategic guidance; the Company's expectation to continue advancing its channel partner-led growth strategy; the Company's future adoption of its AI-powered behavioral health and chronic multi-condition management platform; the Company's expectation to continue expanding its relationships across the healthcare ecosystem; the Company's expectation to continue expanding its role across the payer, provider and employer markets; the Company's belief its platform is well aligned with the needs of health plans, providers and employers; and the Company's belief its technology will continue to support measurable healthcare outcomes. Without limiting the generality of the foregoing, words such as "plan," "project," "potential," "seek," "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate" or "continue" are intended to identify forward-looking statements. Readers are cautioned that certain important factors may affect the Company's actual results and could cause such results to differ materially from any forward-looking statements that may be made in this news release. Factors that may affect the Company's results include, but are not limited to, regulatory approvals, product demand, market acceptance, impact of competitive products and prices, product development, commercialization or technological difficulties, the success or failure of negotiations and trade, legal, social and economic risks, and the risks associated with the adequacy of existing cash resources. Additional factors that could cause or contribute to differences between the Company's actual results and forward-looking statements include, but are not limited to, those risks discussed in the Company's filings with the U.S. Securities and Exchange Commission. Readers are cautioned that actual results (including, without limitation, the timing for and results of the Company's commercial and regulatory plans for Dario™ as described herein) may differ significantly from those set forth in the forward-looking statements. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
DarioHealth Corporate Contacts
Michael Lipari
SVP Corporate Development
[email protected]
+1-201-785-6310
2026 investments focus on scaling community-based programs and funding innovative research to end senior loneliness
LOUISVILLE, Ky.--(BUSINESS WIRE)--The Humana Foundation, the philanthropic arm of Humana Inc. (NYSE: HUM) for the past 45 years, today announced its first slate of 2026 grants, dedicating over $12.2 million to programs and research focused on emotional well-being. The funding will support 13 nonprofit organizations and five university research teams focused on combating loneliness, depression and social isolation among seniors and veterans nationwide.
The 2026 national grants scale the Foundation’s proven interventions to end senior loneliness by fostering social engagement and building community solutions. With major investments in organizations like Older Adults Technology Services (OATS) from AARP ($3,000,000), Friendship Bench ($1,000,000) and the National Recreation & Park Association ($890,000), the Foundation is equipping communities across the country with the tools – from digital health literacy to peer-to-peer mental health support – to improve well-being for seniors in their own neighborhoods.
“Loneliness isn’t something we have to accept as a natural part of aging; it's a public health crisis we can actively solve,” said Tiffany Benjamin, CEO of the Humana Foundation. “We're investing in the local leaders and innovative researchers building social connections that lead to healthier, more joyful lives for our loved ones and neighbors as they grow older.”
By leveraging a strategic mix of nonprofit grantmaking, academic research partnerships, and thought leadership through published insights, the Humana Foundation deploys diverse investment levers to advance evidence-driven and community-centered solutions. These efforts are reflected in the following 2026 grants.
Regional / National Investments in Emotional Health
In four key regions and beyond, the Humana Foundation is funding community-based interventions to combat isolation, including integrating behavioral health services into primary care and fostering purposeful intergenerational connections:
Texas
Young Men's Christian Association of Greater San Antonio (YMCA) ($1,084,000): This grant enhances senior mental health support with accessible counseling, group sessions and educational presentations to reduce stigma and improve well-being. Meadows Mental Health Policy Institute for Texas ($525,000): This grant will integrate behavioral health into a primary care setting for seniors experiencing depression and cognitive concerns. Florida
Seniors in Service of Tampa Bay ($711,000): This program aims to reduce feelings of loneliness and depression among low-income, isolated or chronically ill seniors and veterans in Duval County by using volunteers to provide companionship and connection. Kentucky
Owsley Brown Frazier Historical Arms Museum Foundation ($450,000): A new partnership in Louisville, this grant leverages humanities-based programming using artifacts from the museum’s collection to combat isolation and foster a sense of purpose for residents across 14 assisted living campuses. Home for Good ($250,000): This new partnership supports a permanent supportive housing model in Louisville, integrating behavioral health programming to address loneliness, depression, trauma and substance use disorders. Multi-State Interventions
African American Male Wellness Agency ($750,000): This new partnership will expand access to mental health resources for African American seniors and veterans in Louisville, KY, and Houston, TX, to reduce loneliness and depression through monthly peer-to-peer sessions and annual community wellness events. Help Us Grow ($150,000): This grant will expand a program where seniors provide reading tutoring to school-aged youth, fostering intergenerational connection and social connectedness for seniors in Florida, Texas and Kentucky. Film Independent ($1,250,000): This grant supports the development of media projects that elevate lived experiences of aging, caregiving and emotional well-being. Milken Institute's Future of Aging ($350,000): This grant supports research to better understand the conditions that allow caregivers, particularly those in historically underserved communities, to maintain social connection. Elizabeth Dole Foundation ($100,000): Our investment in EDF supports efforts to elevate the lived experiences of military and veteran caregivers. Advancing Research in Emotional Health and Nutrition
The Humana Foundation is also investing $1.75 million in five institutions exploring new frontiers in emotional health and nutrition, from leveraging AI technology to advancing health equity through culturally tailored interventions and whole-person care:
University of Houston (Marino A. Bruce, PhD, MDiv, MSRC): To validate loneliness measures for middle-aged and older Black men. University of Michigan (Jeffrey T. Kullgren, MD, MS, MPH): To measure loneliness, social isolation and well-being among diverse older Americans through a multi-state poll in Florida, Kentucky, Louisiana and Texas. Emory University (Regina A. Shih, PhD): To develop an intergenerational caregiver support intervention to address mental health, loneliness and social isolation for youth and older family caregivers in Florida. Florida State University (Zhe He, PhD, Mia Liza A. Lustria, PhD, and Dawn Carr, PhD): To develop an AI-enabled digital social concierge to promote community engagement and reduce loneliness among underserved seniors living alone. University of Pennsylvania (Kevin Volpp, MD, PhD and Lauren A. Eberly, MD, MPH): To evaluate the impact of medically tailored meals on reducing emergency room visits and rehospitalizations for diverse seniors with heart failure. The Humana Foundation will announce a second slate of grants advancing its health equity mission in Fall 2026.
About the Humana Foundation
The Humana Foundation was established in 1981 as the philanthropic arm of Humana Inc. and is focused on health equity, working to eliminate unjust, avoidable, and unnecessary barriers in health and healthcare. The Foundation fosters evidence-based collaborations and investments that help people in underserved communities live connected, healthy lives. As a steward of good health, the Foundation creates healthy emotional connections for people and communities and is shaping a healthier approach to nutrition to support lifelong well-being. For more information, visit humanafoundation.org.
Key Takeaways Humana's CenterWell posted $6.1B in Q1 2026 revenues, up 19.7%, with growth across all business lines.HUM added patients and centers via MaxHealth and expanded pharmacy services through the Cost Plus partnership.HUM expects CenterWell to generate at least $25B in 2026 revenues as it grows beyond insurance. CenterWell is playing a growing role in Humana Inc.'s (HUM - Free Report) strategy to evolve beyond its traditional health insurance business. By combining primary care, home health and pharmacy services under one platform, CenterWell helps HUM deliver more coordinated care while supporting better health outcomes and improving the overall patient experience.
The segment is also emerging as a meaningful growth driver. In the first quarter of 2026, CenterWell generated $6.1 billion in revenues, up 19.7% year over year, reflecting growth across all three business lines. Higher Medicare enrollment and continued expansion of its payor-agnostic client base contributed to the increase. HUM expects the segment’s total revenues to generate at least $25 billion in 2026.
Humana is further strengthening CenterWell's platform through strategic investments and acquisitions. During the first quarter, CenterWell Senior Primary Care recorded sequential patient growth of 110,500, including approximately 59,000 patients and 54 centers from the recent MaxHealth acquisition. The expansion broadens the company's primary care network while creating additional opportunities to deliver coordinated, value-based care. HUM is also broadening its pharmacy capabilities through its Cost Plus partnership, which aims to develop end-to-end prescription drug solutions for employers.
HUM is also improving operational efficiency by increasing automation and using AI-enabled analytics to identify care gaps, accelerate chronic disease detection and support more proactive care management. These initiatives can improve clinical outcomes while enhancing productivity across the platform. As CenterWell continues to expand its care delivery network and technology capabilities, it is evolving into a key long-term growth engine that diversifies Humana's business beyond health insurance while supporting sustainable earnings growth.
How Are Competitors Faring?Some of HUM’s major competitors in the value-based care space are UnitedHealth Group Incorporated (UNH - Free Report) and Elevance Health, Inc. (ELV - Free Report) .
UnitedHealth, through its Optum segment, is scaling AI-driven care management, pharmacy and provider solutions to improve care coordination and operational efficiency. Its integrated care model supports value-based reimbursement while diversifying revenues beyond its insurance business. UnitedHealth’s total revenues rose 2% year over year in the first quarter of 2026.
Elevance Health is pursuing a similar strategy through Carelon, its healthcare services platform. Carelon combines pharmacy, care delivery and care management capabilities to diversify revenues beyond health insurance. Elevance Health’s total operating revenues rose 1.5% year over year in the first quarter of 2026.
Humana’s Price Performance, Valuation & EstimatesShares of HUM have rallied 49.9% in the year-to-date period compared with the industry’s rise of 8.2%.
Image Source: Zacks Investment Research
From a valuation standpoint, Humana trades at a forward price-to-earnings ratio of 32.09, significantly above the industry average of 16.80. HUM carries a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Humana’s 2026 earnings is pegged at $9.01 per share, implying a 47.4% drop from the year-ago period.
Image Source: Zacks Investment Research
HUM stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CompaniesJune 29 (Reuters) - Swedish care provider Ambea (AMBEA.ST), opens new tab said on Monday it had made a recommended public offer for peer Humana (HUMAN.ST), opens new tab, valuing the company at about 2.96 billion Swedish crowns ($304.13 million).
Ambea is offering Humana shareholders SEK 20 in cash, 0.305 Ambea shares and one contingent value right for each Humana share.
The cash-and-share part of the offer corresponds to SEK 62.30 per Humana share, a 26.8% premium to Humana's closing price on June 26.
The combination would strengthen Ambea's position in the Nordic care market, where ageing populations and increasingly complex care needs are driving structural demand.
Humana's board unanimously recommended shareholders accept the offer, while holders of about 41.9% of Humana's shares have undertaken to accept it.
The contingent value right could pay up to SEK 4.36 per Humana share, depending on Humana's appeal in a damages case against the Swedish state over its revoked personal-assistance licence.
Ambea said it plans to divest Humana's Personal Assistance Sweden business following completion of the offer.
($1 = 9.7326 Swedish crowns)
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Reporting by Jesus Calero; Editing by Jamie Freed
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Key Takeaways Humana targets insurance margins above 3% by 2028 through pricing and market exits.CenterWell revenues rose 19.7% year over year to $6.1 billion in Q1 2026 amid tech investments.Humana remains on track to serve 7.3 million Medicare Advantage members in 2026. Humana Inc. (HUM - Free Report) has spent the past two years dealing with higher medical costs as more seniors returned for treatments that were delayed during the pandemic. The pressure weighed heavily on Medicare Advantage margins and profitability. The company is now shifting its focus from membership growth to earnings improvement, with the goal of restoring insurance margins to above 3% by 2028.
We’re already seeing early signs of a turnaround. Humana’s first-quarter 2026 adjusted earnings were $10.31 per share, which topped the Zacks Consensus Estimate by 3.5% as medical cost trends began to moderate. Its vital insurance benefit ratio dropped to 89.4% under management’s 90% ceiling. Despite a turbulent industry landscape, HUM remains on track to achieve approximately 25% growth in individual Medicare Advantage membership this year, showing the resilience of its core business.
The company is pursuing disciplined pricing, exiting less profitable markets, and implementing streamlining initiatives, including the sale of its remaining stake in Gentiva, to free up cash. However, HUM’s real competitive advantage lies in its ability to integrate technology with patient care. A prime example is CenterWell, whose revenues increased 19.7% year over year to $6.1 billion in the first quarter of 2026. By investing in digital tools and automation, Humana is cutting out messy administrative overhead while keeping patient care highly efficient.
Headwinds like Medicare funding pressures aren't vanishing overnight. Humana's early progress suggests its turnaround strategy is genuinely gaining traction. With a sharper focus on profitability, operational efficiency, and integrated care, it finally looks well positioned to navigate the challenges ahead.
How Are Humana's Peers Positioned?Humana is not the only health insurer facing elevated medical costs. Peers like UnitedHealth Group Incorporated (UNH - Free Report) and Elevance Health, Inc. (ELV - Free Report) have also faced pressure from higher healthcare utilization in recent years.
UnitedHealth has been affected by rising Medicare Advantage costs, but its diversified business model provides some protection. UNH's Optum segment, which spans healthcare services, pharmacy benefits and technology solutions, helps offset pressure on its insurance operations and supports earnings stability.
Elevance Health has likewise reported elevated medical costs as members continue to seek healthcare services at higher rates. While insurance remains its core business, Elevance benefits from a diversified mix of commercial, Medicaid and Medicare plans, which helps reduce dependence on any single market.
HUM’s Price Performance, Valuation and EstimatesShares of HUM have gained 40.2% year to date, outperforming the broader industry’s 22.2% increase.
Image Source: Zacks Investment Research
From a valuation standpoint, HUM trades at a forward price-to-earnings ratio of 30.26X, up from the industry average of 17.69X. Humana carries a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for HUM’s 2026 earnings implies a 47.4% deterioration year over year, followed by a 66.1% improvement next year.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana Inc. (NYSE: HUM) will release its financial results for the second quarter 2026 (2Q26), as well as prepared management remarks (in PDF format), at 6:00 a.m. Eastern time on July 29, 2026. The company will host a live question-and-answer session at 8:00 a.m. Eastern time that morning to discuss its financial results for the quarter and earnings guidance for 2026.
A webcast of the 2Q26 earnings call may be accessed via Humana’s Investor Relations page at https://humana.gcs-web.com/.
If you anticipate asking a question during the question-and-answer session, please register in advance using this link, https://register-conf.media-server.com/register/BI18085d824058461aa3c6b8b2af27cb40.
Upon registration, telephone participants will receive a confirmation email detailing how to join the conference call, including the dial-in number and a unique registrant ID.
The company suggests participants listening via the web or the conference call sign in or dial in at least 15 minutes in advance of the call. For those unable to participate in the live event, the virtual presentation archive will be available in the Historical Webcasts and Presentations section of the Investor Relations page at https://humana.gcs-web.com/, approximately two hours following the live webcast.
The company’s 2Q26 earnings news release is expected to include financial measures that are not in accordance with Generally Accepted Accounting Principles (GAAP). A reconciliation of non-GAAP financial measures to financial results under GAAP, as well as management’s reasons for including non-GAAP financial measures, will be included in the company’s 2Q26 earnings news release, a copy of which will be available on the Investor Relations page of www.humana.com on July 29, 2026.
About Humana
Humana (NYSE: HUM) is a leading U.S. healthcare company. Through our Humana insurance services and our CenterWell healthcare services, we make it easier for the millions of people we serve to achieve their best health – delivering the care and service they need, when they need it. These efforts are leading to a better quality of life for people with Medicare and Medicaid, families, individuals, military service personnel, and communities at large. Learn more about what we offer at Humana.com and at CenterWell.com.
, /PRNewswire/ -- Schubert Jonckheer & Kolbe LLP advises Humana Inc. (NYSE: HUM) investors that the firm is investigating potential legal claims arising from alleged false and misleading statements about the company's exposure to increased healthcare utilization costs. Current shareholders are encouraged to contact the firm here: https://www.classactionlawyers.com/humana.
On April 27, 2026, U.S. District Judge Jennifer L. Hall ruled that key claims in a securities fraud lawsuit against Humana and its former CEO and CFO will move forward. The lawsuit alleges that between July 2022 and October 2024, the company misled investors regarding the company's exposure to increased post-pandemic healthcare utilization costs. These statements allegedly caused Humana's stock to trade at artificially inflated prices. Judge Hall found the complaint sufficiently alleged that defendants acted with scienter, or an intent to defraud, in making these false and misleading statements. During this period, company insiders sold over $104 million in stock. When the truth was gradually revealed beginning in June 2023 and the company reported disappointing results, the stock price significantly dropped.
We are investigating potential wrongdoing by Humana's directors and officers in connection with these allegations.
If you own Humana stock, you may have legal options. Visit https://www.classactionlawyers.com/humana to learn more.
About Schubert Jonckheer & Kolbe LLP
Schubert Jonckheer & Kolbe represents consumers in class actions and shareholders in derivative actions against corporate officers and directors. The firm is based in San Francisco and, with the help of co-counsel, litigates cases nationwide.
Contact
Dustin L. Schubert
[email protected]
Tel: 415-788-4220
Humana Inc. (NYSE: HUM) Investor Alert: Schubert Jonckheer Investigating Possible False Statements Regarding Healthcare Utilization Costs, Over $104 Million Insider Sales PR Newswire
SAN FRANCISCO, June 23, 2026
, /PRNewswire/ -- Schubert Jonckheer & Kolbe LLP advises Humana Inc. (NYSE: HUM) investors that the firm is investigating potential legal claims arising from alleged false and misleading statements about the company's exposure to increased healthcare utilization costs. Current shareholders are encouraged to contact the firm here: https://www.classactionlawyers.com/humana.
On April 27, 2026, U.S. District Judge Jennifer L. Hall ruled that key claims in a securities fraud lawsuit against Humana and its former CEO and CFO will move forward. The lawsuit alleges that between July 2022 and October 2024, the company misled investors regarding the company's exposure to increased post-pandemic healthcare utilization costs. These statements allegedly caused Humana's stock to trade at artificially inflated prices. Judge Hall found the complaint sufficiently alleged that defendants acted with scienter, or an intent to defraud, in making these false and misleading statements. During this period, company insiders sold over $104 million in stock. When the truth was gradually revealed beginning in June 2023 and the company reported disappointing results, the stock price significantly dropped.
We are investigating potential wrongdoing by Humana's directors and officers in connection with these allegations.
If you own Humana stock, you may have legal options. Visit https://www.classactionlawyers.com/humana to learn more.
About Schubert Jonckheer & Kolbe LLP
Schubert Jonckheer & Kolbe represents consumers in class actions and shareholders in derivative actions against corporate officers and directors. The firm is based in San Francisco and, with the help of co-counsel, litigates cases nationwide.
View original content:https://www.prnewswire.com/news-releases/humana-inc-nyse-hum-investor-alert-schubert-jonckheer-investigating-possible-false-statements-regarding-healthcare-utilization-costs-over-104-million-insider-sales-302807563.html
LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana Inc. (NYSE: HUM) has been selected by the Illinois Department of Healthcare and Family Services (HFS) to serve members statewide in HealthChoice Illinois, the state’s Medicaid managed care program. Humana looks forward to supporting Illinois’ goals for health and well-being of the individuals and families it will serve.
For more than a decade, Humana has had the privilege of serving some of Illinois’ most vulnerable residents, caring for dual eligible members who navigate both Medicare and Medicaid through the Medicare-Medicaid Alignment Initiative (MMAI), and, today, the state’s Fully Integrated Dual Eligible Special Needs Plan (FIDE-SNP) which launched January 1, 2026. HealthChoice Illinois is an opportunity for Humana to extend that same commitment to more individuals and families the state serves, across 102 counties, in continued partnership with HFS.
“It’s an honor to care for more Illinois Medicaid members and their families,” said Samantha Olds Frey, Humana’s Medicaid President in Illinois. “Our goal has always been to provide whole-person care across every generation, from children to older adults, and HealthChoice Illinois lets us do that. We’re grateful for the confidence HFS has placed in us, and we’ll keep working alongside the state, providers and community organizations to improve care and quality of life for the communities who depend on us.”
Humana’s approach reflects HFS’s priorities and commitment to whole-person care. As an active member of the community, Humana has invested in local organizations that address the health-related social needs of Illinois Medicaid members, including maternal health, behavioral health and housing stability:
Maternal Health: Humana is partnering with the Illinois Public Health Association to ease maternal health workforce shortages in high-disparity counties and expand the availability of community health workers to support enrollees. Behavioral Health: Through collaboration with Southern Illinois University’s Behavioral Health Workforce Center, Humana will help increase workforce capacity in rural and underserved areas. Additionally, Humana is working with Brightpoint to support the Schubert Family Wellness Center in Chicago’s Belmont Cragin neighborhood. Supportive Housing: Mercy Housing Lakefront, one of the nation’s largest nonprofit affordable housing providers, and Humana are working together to provide transitional housing support and help prevent homelessness among members. Humana’s HealthChoice plan is slated to go live in January 2027 and looks forward to continuing its partnership with the state of Illinois to deliver meaningful, member-centered care and drive improved health outcomes for years to come.
About Humana
Humana (NYSE:HUM) is a leading U.S. healthcare company. Through our Humana insurance services and our CenterWell® healthcare services, we make it easier for the millions of people we serve to achieve their best health – delivering the care and service they need, when they need it. These efforts are leading to a better quality of life for people with Medicare and Medicaid, families, individuals, military service personnel, and communities at large. Learn more about what we offer at Humana.com and at CenterWell.com.
@Theotrade's Don Kaufman walks us through today's Big 3 and offers example options trades for his picks. He points to Humana (HUM) as a great bearish opportunity in the weeks to come, Bank of America (BAC) as a bullish opportunity into all-time high territory, and Microsoft (MSFT) not being able to shake bearish trends.
Until recently, it had been a lackluster year for the healthcare sector. From high medical utilization squeezing insurers to structural cost pressures and valuation hangovers, medical stocks stocks have lagged much of the broader market this year. But there are some indications that the tide is turning.
The market’s increasingly concentrated tech focus continues to encourage the rotation into overlooked, defensive sectors like healthcare. At the same time, costs are beginning to stabilize, and the U.S. Food and Drug Administration (FDA) has been supportive of the biopharma pipeline, meeting review deadlines and accelerating pathways for novel therapies.
Get Eli Lilly and Company alerts:
Over the past month, healthcare’s 5.4% gain only trails financials (at 6.36%) and tech (at 5.78%). While that broad turnaround has been welcomed by investors looking for a spark from the sector, the outsized performances of three stocks in particular have played a big role in the rally.
Eli Lilly: The Market Cap King of Pharma Continues Its GLP-1 DominanceEli Lilly and Company Stock Forecast Today12-Month Stock Price Forecast:
$1,227.74
11.74% Upside
Moderate Buy
Based on 30 Analyst Ratings
Current Price$1,098.78High Forecast$1,400.00Average Forecast$1,227.74Low Forecast$850.00Eli Lilly and Company Stock Forecast Details
Big Pharma member Eli Lilly NYSE: LLY boasts the largest market cap by far of any healthcare company. At about $1 trillion, Eli Lilly is nearly double that of Johnson & Johnson NYSE: JNJ, whose $562 billion market cap ranks second.
So when LLY outperforms, it has the ability to impact the broader sector as a whole.
Over the past month, shares are up around 11%, continuing a rally that’s seen the stock rise nearly 31% from its year-to-date (YTD) low on April 29. There are numerous catalysts driving Eli Lilly’s performance of late, but principally, the surge boils down to hypergrowth of its GLP-1 metabolic drug line.
The pharmaceutical company’s two flagship GLP-1 drugs, Mounjaro and Zepbound, continue to dominate the global market. In Q1 2026, sales of Mounjaro—which is most often prescribed to treat Type 2 diabetes—jumped 125% year over year (YOY) to nearly $8.7 billion. Zepound added more than $4 billion in sales, good for a YOY increase of around 80%.
On April 1, Eli Lilly received FDA approval for its oral GLP-1 pill, Foundayo. Because Foundayo is a pill and doesn't require strict food and water fasting restrictions like older oral biologics, it vastly expands Eli Lilly’s total addressable market for individuals who are looking to avoid injectable therapeutics.
So it was no surprise when the company blew past earnings expectations in Q1, with earnings per share (EPS) of $8.55 easily surpassing analyst expectations of $6.97, and revenue of $19.8 billion coming in higher than the forecasted $17.82 billion and 56% higher YOY.
But with a forward price-to-earnings (P/E) multiple of around 31, critics contend that LLY is trading at tech stock valuations rather than a defensive healthcare position.
Nonetheless, as the sector’s largest player, 25 of the 30 analysts currently covering Eli Lilly assign it a Buy or Strong Buy, with the stock receiving a consensus Moderate Buy rating. Meanwhile, the average 12-month price target for LLY implies approximately 10% additional upside.
Current Price$360.84High Forecast$441.00Average Forecast$291.35Low Forecast$195.00Humana Stock Forecast Details
Louisville-based insurance provider Humana NYSE: HUM has been one of the market’s biggest comeback stories in 2026.
At the end of Q1, the stock was down more than 70% from its all-time high in 2022.
That was mostly driven by a post-pandemic rush of medical treatment that saw Humana’s benefit ratio—the percentage of premiums spent on actual medical care—climb to an unsustainable 93% by the end of 2025.
But after hitting its five-year low on March 12, the stock has gained nearly 123%, including more than 18% over the past month.
After years of facing staggeringly high benefit ratios, Humana has seen elective treatments moderate, which in turn has widened the company’s margins. In Q1, net income margin stood at 2.99% versus negative 2.39% in Q4 2025 and 0.59% in Q3 2025.
Analysts were also impressed with Humana’s revenue growth, which in Q1 registered 23.47% after averaging just 10.17% over the preceding five quarters. Of the 28 analysts covering Humana, only nine have assigned it a Buy or Strong Buy rating. Overall, it receives a consensus Hold rating and an average 12-month price target that suggests a notable correction could be in the cards after HUM’s share price has run up in recent months.
Current Price$72.47High Forecast$102.00Average Forecast$84.83Low Forecast$64.00DexCom Stock Forecast Details
With a market cap of nearly $28 billion, DexCom NASDAQ: DXCM is the least recognizable stock on this list.
The company develops, manufactures, and distributes medical devices, including continuous glucose monitoring (CGM) systems for people with diabetes.
Its products are designed to provide near-real-time glucose readings, trend data, and alerts to help patients and clinicians manage insulin dosing and reduce the risk of hypoglycemia and hyperglycemia.
The stock had fallen on tough times, down nearly 55% from its all-time high in November 2021. But DexCom changed the narrative with a massive expansion into the non-insulin market.
Historically, CGMs were primarily targeted to intensive insulin users. But the company is aggressively moving into the broader Type 2 diabetes and preventative health markets.
At an American Diabetes Association conference in June, DexCom released landmark data from its CONNECT trial demonstrating that its flagship G7 sensor led to statistically significant reductions in blood sugar levels for adults with Type 2 diabetes who do not use insulin. At the same time, the company released a revamped app for Stelo, the first over-the-counter CGM designed specifically for pre-diabetics and Type 2 diabetics not on insulin, thereby opening up a massive new addressable market for the company.
DXCM is now up more than 27% since its YTD low on April 29, including a gain of more than 15% over the past month. DexCom has beat on EPS for four consecutive quarters, with revenue growth averaging 15.61% over that time versus the 1.97% growth it saw preceding that stretch.
Despite the recent run-up, analysts forecast nearly 19% additional upside over the next 12 months to go along with a consensus Moderate Buy rating.
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LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana and its health care services business, CenterWell, announce the inaugural Resident Physician Scholarship Program recipients. In partnership with the National Hispanic Medical Association, the scholarship is designed to support seven bilingual (English/Spanish) internal medicine and family medicine residents in Florida. The program provides each winner with $10,000 for educational and professional development, a structured mentorship program from NHMA and CenterWell physician leaders, and experiential learning at CenterWell senior primary care centers.
A Growing Need for Bilingual Physicians
Bilingual physicians are vital to improving access to care, cultivating trust in the medical profession, and enhancing health outcomes in historically under-resourced communities. This scholarship addresses those barriers directly and builds a more prepared, confident and culturally responsive physician workforce ready to lead in senior primary care.
“Investing in bilingual physicians is one of the most meaningful ways we can improve the health of the communities we serve,” said Yeny Andrade, MD, Associate Medical Director, CenterWell Senior Primary Care. “When patients are able to express themselves more openly and share details they might otherwise hold back, that allows us to truly understand not just their medical concerns, but their lives. That connection builds trust, leads to better decisions, and ultimately better outcomes.”
NHMA‑supported research shows patients without care providers who speak their language are more likely to:
Experience medical errors and adverse events Report lower satisfaction and trust Miss follow‑up appointments Have lower medication adherence According to the NHMA only about 9% of U.S. physicians identify as Hispanic/Latino, a figure it says has remained largely unchanged since the 1970s, despite Hispanics making up nearly 19% of the U.S. population.
"NHMA deeply appreciates Humana and CenterWell’s support in launching this pioneering scholarship program focused on developing the next generation of bilingual primary care physicians serving our communities,” said Luis Isea Mercado, MD, FACP, a member of the NHMA Board of Directors. “Supporting the Latino physician pipeline means investing not only in education but also in mentorship, leadership development and long-term community impact.”
“In Florida, nearly 30% of the population identifies as Hispanic or Latino, yet Latino physicians remain underrepresented within the primary care workforce,” Dr. Mercado continued. “Programs like this help bridge that gap by empowering resident physicians who are committed to culturally humble, community-centered care.”
Resident Physician Scholarship Program Award Recipients
Jazmin Gomez, MD – A Mexican American physician and Family Medicine resident in Winter Park, Florida, Dr. Gomez is committed to bridging language and cultural barriers to help patients feel understood, empowered, and involved in their healthcare decisions.
Janelle Lopez, MD – Raised in South Florida in a Cuban family, Dr. Lopez plans to practice as a primary care physician while also working as a hospitalist. She was elected by her peers as Chief Resident for her third year of post-graduate work.
Mario F. Jacome, DO – A Family Medicine resident in Southwest Florida with a passion for advancing health equity and culturally competent care, Dr. Jacome is focused on developing expertise in HIV prevention and primary care, LGBTQ+ health, nutrition, and chronic disease management.
Martin Lorenzo Molina, MD – A Family Medicine resident at the Florida State University/BayCare Family Medicine Residency Program in Winter Haven, Florida, Dr. Molina plans to pursue fellowship training in Sports Medicine while continuing to practice family medicine.
Paula Rocha, MD – A Family Medicine resident in Miami, FL, Dr. Rocha is completing medical residency at the University of Miami/Jackson Health System. She professionally speaks Portuguese, English, and Spanish. Her focus is on providing high-quality care to older adults in diverse populations.
Rachel Kim, MD – During residency, Dr. Kim has demonstrated her strong commitment to providing holistic patient focused and individualized care across all age groups. She is passionate about providing culturally competent care to underserved urban communities.
Yasmin Garcia, MD – A Family Medicine resident at the Florida State University/Lee Health Family Medicine Residency Program, a recent initiative of Dr. Garcia’s focused on chronic disease management and preventative care, including a remote patient monitoring project for uncontrolled hypertension.
Awardee Benefits and Candidate Eligibility
Scholarship recipients receive financial support to advance their coursework, obtain certifications, attend conferences, or prepare for exams. In addition, they participate in a monthly mentorship program focused on career planning, leadership development, and residency or fellowship guidance. The program also includes a clinical introduction to integrated primary and geriatric care models. Finally, recipients take part in a virtual leadership learning series while benefiting from increased professional visibility.
Eligible applicants include post-graduate year 2 and post-graduate year 3 residents in Internal Medicine or Family Medicine, as well as residents transitioning into a Geriatrics fellowship. Candidates must be training in Florida and be bilingual in English and Spanish, with a demonstrated commitment to serving diverse and underserved communities.
About Humana
Humana (NYSE:HUM) is a leading U.S. healthcare company. Through our Humana insurance services and our CenterWell healthcare services, we make it easier for the millions of people we serve to achieve their best health – delivering the care and service they need, when they need it. These efforts are leading to a better quality of life for people with Medicare and Medicaid, families, individuals, military service personnel, and communities at large. Learn more about what we offer at Humana.com and at CenterWell.com.
About NHMA
The National Hispanic Medical Association (NHMA) is a non-profit organization representing the interests of over 50,000 licensed Hispanic physicians in the United States. NHMA aims to improve the health of Hispanic and other underserved populations through advocacy, research, and education. By addressing the unique healthcare challenges faced by these communities, NHMA strives to achieve health equity for all.
NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF continues its investigation into Humana Inc. (“Humana” or “the Company”) (NYSE: HUM).
On January 18, 2024, the Company announced its financial results for the fourth quarter and full year 2023, disclosing that its benefits expense ratio increased to approximately 91.4% for the fourth quarter of 2023 and approximately 88% for the full year 2023, resulting in 2023 adjusted EPS of only $26.09 per share, or more than $2 per share less than what the Company had predicted in November 2023. Then, on January 25, 2024, the Company further disclosed a loss for the fourth quarter of 2023 and expected that higher level of medical costs would persist for all of 2024, resulting in expected 2024 adjusted EPS of only $16 per share, a $10 per share decrease from 2023, well below analysts’ expectations of $29 per share.
Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period in violation of federal securities laws. Recently, the Court presiding over the case denied the Company’s motion to dismiss the case in part, allowing the case to move forward.
KSF’s investigation is focusing on whether Humana’s officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of Humana shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-833-938-0905 or email KSF Managing Partner Lewis Kahn ([email protected]), or visit https://www.ksfcounsel.com/cases/nyse-hum/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, New Jersey, and a representative office in Luxembourg.
TOP 10 Plaintiff Law Firms - According to ISS Securities Class Action Services
To learn more about KSF, you may visit www.ksfcounsel.com.
Deutsche Bank just delivered one of the most aggressive analyst upgrades of 2026 on Humana (NYSE:HUM | HUM Price Prediction), lifting the managed care giant to Buy from Hold while nearly doubling its price target to $441 from $235. The move signals that one of Wall Street’s more cautious voices now sees a fundamental reset in the Humana franchise.
Adding to the bullish chorus, Mizuho raised its Humana price target to $335 from $290 and kept an Outperform rating, citing a reduced likelihood of negative medical loss ratio shifts through 2026. For prudent investors weighing a healthcare rebound trade, the upgrade reframes Humana stock as a recovery story rather than a falling knife.
Ticker Company Firm Action Old Rating New Rating Old Target New Target HUM Humana Deutsche Bank Upgrade Hold Buy $235 $441 The Analyst’s Case Deutsche Bank’s thesis rests on a stabilizing managed care market and an expectation that Humana’s Medicare star ratings will recover. Star ratings drive bonus payments, premium positioning, and enrollee plan selection during Annual Election Period shopping.
The firm also frames 2026 as the earnings bottom and a rebasing year, depending on the stars results in October. With Humana having already affirmed FY2026 adjusted EPS of at least $9 against the prior year’s $17.14, the reset narrative has data behind it.
Company Snapshot Humana is a Louisville-based managed care leader anchored by Individual Medicare Advantage, CenterWell Primary Care, and CenterWell Pharmacy Solutions. Q1 2026 results beat on both lines, with adjusted EPS of $10.31 on revenue of $39.65 billion, up 24% year over year.
Individual Medicare Advantage membership climbed 22% year to date, and the insurance segment benefit ratio came in at 89%, slightly favorable to guidance. Humana CEO Jim Rechtin noted, “We’ve had a solid start to the year and feel good about how our operating execution and transformation initiatives are setting us up for the future.”
Why the Move Matters Now HUM stock has staged a sharp comeback, rising 51% over the past month through May 19 and 22% year to date. Deutsche Bank’s upgrade serves as sell-side validation of that rally, particularly given the prior consensus average target of $246.83.
At a P/E ratio of 33x on trailing earnings and a forward P/E ratio of 30x, Humana stock isn’t cheap on near-term numbers. The Deutsche Bank call argues that depressed 2026 earnings normalize materially higher as stars and rates improve.
What It Means for Your Portfolio The bull case is straightforward: star ratings recovery, a friendlier Medicare Advantage rate cycle, completed valuation rebase, and dominant MA exposure that gives Humana upside leverage as conditions improve. The Mizuho raise reinforces that the operating backdrop is stabilizing.
However, the risks remain real. October’s stars results are still a binary catalyst, MA reimbursement remains politically sensitive, and a securities fraud lawsuit tied to Medicare Advantage utilization disclosures was partially allowed to proceed on May 19.
For long-term investors, Humana stock now sits at the intersection of a credible recovery thesis and a stock that has already moved sharply. Sizing positions modestly and watching for whether October’s star ratings confirm the Deutsche Bank thesis could be the more prudent path than chasing the upgrade.
According to Kiplinger, the Congressional Joint Economic Committee found Medicare Advantage is overpaying insurers by $212 per enrollee. The figure looks small until you scale it.
The data, scaled Multiply $212 against roughly 33 million Medicare Advantage enrollees and the system is leaking about $7 billion a year in excess payments to private insurers. Medicare Advantage now covers more than half of all Medicare beneficiaries, which puts the overpayment in the middle of the program rather than at its edges.
Where does the $7 billion go? Some flows into insurer margins, helping explain why publicly traded MA carriers rank among the largest U.S. healthcare companies. The rest funds supplemental benefits that drive MA marketing: dental, vision, hearing, gym memberships, and grocery cards traditional Medicare excludes.
The overpayment is structural. It originates in three mechanics: risk adjustment coding incentives that reward plans for documenting more diagnoses, the benchmark methodology CMS uses to set county-level payment rates, and upcoding, where plans capture diagnoses traditional fee-for-service claims would never have generated.
The context Kiplinger does not provide Industry data confirms the pattern. Modern Healthcare reported $33 billion in extra payments to Medicare Advantage plans tied to coding intensity, with UnitedHealth (NYSE:UNH | UNH Price Prediction) and Humana (NYSE:HUM) the primary beneficiaries. CMS has been tightening risk adjustment audits, and several major insurers have faced DOJ investigations over coding practices. A Leerink report indicates UnitedHealth faces the largest RADV audit exposure, with 60 contracts covering 92% of its 2020 Medicare Advantage membership under review.
The political response cuts the other way. CMS announced a 2.48% average increase in Medicare Advantage payments for 2027, sending $13 billion in additional funding to private insurers, well above the 0.09% rate originally proposed in January 2026 that briefly knocked Humana down more than 20%.
How to act on it For a healthy 68-year-old in a mid-cost metro area, the choice between a $0-premium MA plan and traditional Medicare paired with Plan G Medigap and Part D depends on health trajectory and network flexibility.
Moderate use: The $0-premium MA plan typically wins on annual cash outlay. Premiums are nil, primary care copays run low, and dental and vision are bundled. Annual out-of-pocket commonly lands in the low four figures. Major health event: Plan G Medigap caps exposure near the Part B deductible. MA enrollees face prior authorization and a maximum out-of-pocket that often runs $5,000 to $9,000 in-network, with higher exposure out-of-network. Healthy retirees who stay in-network and value the extras tend to come out ahead in MA. Retirees with chronic conditions, frequent travelers, and those who want unrestricted specialist access generally do better with traditional Medicare and Medigap, despite higher monthly premiums.
The takeaway The $212 figure represents the hidden subsidy behind your neighbor’s free dental coverage. As CMS audits tighten and DOJ scrutiny continues, expect supplemental benefits to thin and marketing to soften. If your plan choice hinges on those extras, price the alternative now, before the subsidy that funds them gets reformed.
CenterWell Pharmacy® mail order hub creates jobs, utilizes state-of-the-art equipment to help meet growing demand for reliable medication access
ORLANDO, Fla.--(BUSINESS WIRE)--Humana Inc. (NYSE: HUM), one of the nation’s leading health and well-being companies, today announced the start of full operations of its newest CenterWell Pharmacy® mail order distribution center, in Orlando, Florida. The $83 million, state-of-the-art facility bolsters capacity for prescription medication delivery across Florida and the country and reinforces Humana’s longstanding commitment to providing members and patients across the Sunshine State with a simpler, more coordinated care experience.
“This economic investment is testament to both our talent pool and the supportive business environment here in Central Florida,” said U.S. Rep. Darren Soto (FL-09). “The CenterWell distribution center strengthens our local economy. It’s important as well to have health care infrastructure right here in Orlando that supports access to critical medication that people need.”
Enhancing Reliable, Direct Medication Access
CenterWell Pharmacy® serves as a mail-order pharmacy for many Humana members and also provides payer-agnostic fulfillment services, most recently through an emerging line of business involving Direct-to-Consumer (DTC) and Direct-to-Employer (DTE) medication access partnerships.
“This new CenterWell Pharmacy reflects both our excitement for growth and our deep commitment to delivering better outcomes for patients,” said Bethanie Stein, Pharm.D., President of Pharmacy at Humana, including CenterWell Pharmacy®. “As demand continues to grow, we are expanding our capacity with modern, high‑performing pharmacies like Orlando, ensuring more people can access their medications safely, reliably, and in a way that supports long‑term adherence and health.”
Celebrating Job Creation and Enhanced Capabilities
The 162,000 square-foot Orlando distribution center can process and dispense up to 64,000 prescriptions per day. The facility employs more than 165 people – including pharmacists, pharmacy technicians, engineers, and software specialists – with plans to hire more to support pharmacy growth. To mark the site’s full operational status, CenterWell® is holding a ribbon-cutting celebration today, to be attended by local dignitaries.
In addition to industry-leading equipment, the facility also boasts operational efficiencies that streamline the safe handling and delivery of both specialty and traditional medication. Nationwide, CenterWell Pharmacy® boasts a dispensing accuracy rate of 99.9992% and has earned a number of accreditations and awards for customer satisfaction and commitment to patient care. The Orlando location is CenterWell Pharmacy’s third U.S. mail-order facility, with others in Arizona and Ohio.
“This distribution center gives us expanded capacity to meet increased demand for timely, reliable medication access, closing the distance when delivering to patients here in Florida and throughout the southeast United States,” said Guillermo Sollberger, Chief Operating Officer for CenterWell Pharmacy®, which includes specialty and traditional mail-order pharmacy, as well as retail pharmacy locations. “The facility also gives us access to a talented workforce in Greater Orlando, an area known for its specialty pharmacy ecosystem.”
Humana’s Patient-Centered Care Commitment in Florida
Humana serves Floridians through an integrated approach. It is the state’s leading Medicare Advantage provider, with more than 1.1 million Florida members; manages Medicaid benefits for more than 540,000 Floridians through Humana Healthy Horizons®; and serves more than 770,000 military service members, retirees, and their families across the state as a TRICARE provider.
Humana’s CenterWell® care delivery organization in Florida employs more than 6,500 people, who staff more than 200 CenterWell®, Conviva®, and MaxHealth Primary Care locations and nearly 50 CenterWell® and Trilogy Home Health branches, and provide pharmacy services across the state.
“As Florida’s senior population continues to grow, CenterWell’s integrated care model offers improved health and simplified care for those we serve. This critical expansion of pharmacy services deepens our commitment to our patients in Florida and to the entire community, including thousands of local teammates," said Sanjay Shetty, M.D., President of CenterWell®. "We are eager to further our mission to address whole health needs by personalizing care that leads to healthier and more fulfilling lives.”
Workforce Training and Career Opportunities
As part of Humana’s commitment to advancing career opportunities and providing an inclusive environment, CenterWell Pharmacy® invests in training programs and resources for those with no pharmacy experience or those transitioning into the industry. Individuals interested in working at the Orlando distribution center can be trained for pharmacy technician licensing at no charge. Current job openings are listed on the CenterWell Pharmacy careers website.
About Humana
Humana (NYSE:HUM) is a leading U.S. healthcare company. Through our Humana insurance services and our CenterWell® healthcare services, we make it easier for the millions of people we serve to achieve their best health – delivering the care and service they need, when they need it. These efforts are leading to a better quality of life for people with Medicare and Medicaid, families, individuals, military service personnel, and communities at large. Learn more about what we offer at Humana.com and at CenterWell.com.
About CenterWell
CenterWell® is a leading health care services business focused on creating integrated and differentiated experiences that put our patients at the center of everything we do. The result is high quality health care that is accessible, comprehensive, and, most of all, personalized. As the largest provider of senior-focused primary care, one of the leading providers of home health care, and a leading integrated home delivery, specialty, hospice, and retail pharmacy, CenterWell® is focused on whole health and addressing the physical, emotional and social wellness of our patients. CenterWell® is part of Humana Inc. (NYSE: HUM). Learn more about what we offer at CenterWell.com.
A month has gone by since the last earnings report for Humana (HUM - Free Report) . Shares have added about 30.6% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Humana due for a pullback? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent catalysts for Humana Inc. before we dive into how investors and analysts have reacted as of late.
Humana Beats Q1 Earnings Estimates on Increasing Premiums
Humana reported first-quarter 2026 adjusted earnings of $10.31 per share, which beat the Zacks Consensus Estimate by 3.5%. However, the bottom line fell 11% year over year.
Revenues improved 23.5% year over year to $39.6 billion. The top line surpassed the consensus mark by 0.5%.
The quarterly results benefited on the back of premium gains and a robust performance from the CenterWell segment, which saw a revenue jump supported by its primary care business. A rise in overall medical membership also contributed to the upside. However, the upside was partly offset by escalating operating expenses and a deteriorating benefit ratio.
HUM’s Q1 Operational UpdateHumana’s premiums totaled $37.7 billion, which advanced 23.6% year over year, and surpassed the Zacks Consensus Estimate of $37.3 billion and our estimate of $36.6 billion. Services revenues rose 25.7% year over year to $1.7 billion, beating the consensus mark of $1.6 billion. Investment income of $262 million fell 0.8% year over year in the quarter under review. However, the metric beat the consensus mark of $230 million and our estimate of $235.7 million.
The benefit ratio came in at 89.4%, which deteriorated 240 basis points (bps) year over year. Total operating expenses increased 25.9% year over year to $37.9 billion, higher than our estimate of $36.6 billion. The year-over-year increase was due to higher benefits and operating costs. The adjusted operating cost ratio of 10% improved 50 bps year over year.
HUM’s net income declined 4.7% year over year to $1.2 billion but beat our estimate of $1.1 billion.
Q1 Segmental Update of HUMInsuranceThe segment’s revenues rose 23% year over year to $38.1 billion in the first quarter on the back of improved per-member premiums derived from HUM’s Medicare and stand-alone PDP businesses, supported by improved Medicare Advantage benchmark funding from the Centers for Medicare and Medicaid Services and a higher Part D direct subsidy tied to the IRA.
Adjusted operating income dropped 8.8% year over year to $1.4 billion. The benefit ratio deteriorated 200 bps year over year to 89.4%. The operating cost ratio of 7.3% improved 90 bps year over year.
Total medical membership of the segment was 17.7 million as of March 31, 2026, which rose 19.4% year over year. The metric beat the Zacks Consensus Estimate of 16.7 million and our estimate of 15.7 million.
CenterWellThe unit recorded revenues of $6.1 billion in the quarter under review, which improved 19.7% year over year and surpassed the Zacks Consensus Estimate of $5.8 billion. The metric benefited from higher revenues stemming from the company’s primary care business.
Adjusted operating income dropped 25.1% year over year to $338 million. The operating cost ratio of 94.5% deteriorated 340 bps year over year due to the ongoing implementation of the v28 risk model update within the company’s primary care business and higher volumes in CenterWell Specialty Pharmacy.
Humana’s Financial Update (As of March 31, 2026)Humana exited the first quarter with cash and cash equivalents of $5 billion, which rose 17.9% from the 2025-end level. Total assets of $55.3 billion increased 13% from the figure at 2025-end.
Long-term debt amounted to $12.3 billion, down 0.8% from the figure as of Dec. 31, 2025. Debt to capitalization deteriorated 190 bps year over year to 43% at the first-quarter end.
Total stockholders’ equity of $18.6 billion advanced 5.2% from the 2025-end figure.
HUM generated net cash from operations of $1.3 billion in the first quarter of 2026, which increased nearly fourfold year over year.
HUM’s Capital Deployment UpdateHumana bought back shares worth $107 million in the first quarter of 2026. It also paid dividends of $107 million during the same quarter.
2026 View by HUMRevenues are still projected to be a minimum of $160 billion, which implies a 23.4% increase from the 2025 reported figure. The Insurance segment’s revenues are expected to continue to be forecasted at a minimum of $155 billion. Revenues of the CenterWell segment are still expected to be at a minimum of $25 billion.
Adjusted EPS is still projected to be at least $9.00, which indicates a 47.5% decline from the 2025 figure. GAAP EPS is now projected to be at least $8.36, down from the previously expected guidance of at least $8.89.
Management still anticipates Individual Medicare Advantage membership to witness growth of around 25% in 2026. Group Medicare Advantage membership is still expected to record an increase of roughly 150,000.
Membership from the Individual Medicare stand-alone PDP is still expected to increase around 1,000,000 this year. State-based contracts are still anticipated to witness membership growth within 25,000-100,000.
The GAAP benefit ratio for the Insurance segment is still likely to be 92.75%, with a variability margin of plus or minus 25 basis points. The GAAP consolidated adjusted operating cost ratio is still expected to be at 10%, with a variability margin of plus or minus 25 basis points.
GAAP cash flow from operations is still estimated within $2.5-$2.9 billion. Meanwhile, capital expenditures are still projected to be roughly $650 million. The adjusted effective tax rate is expected to be around 25.5%, while the weighted average share count is anticipated at around 121 million.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in fresh estimates.
The consensus estimate has shifted 38.73% due to these changes.
VGM ScoresCurrently, Humana has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for value investors.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Humana has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry PlayerHumana is part of the Zacks Medical - HMOs industry. Over the past month, UnitedHealth Group (UNH - Free Report) , a stock from the same industry, has gained 3.3%. The company reported its results for the quarter ended March 2026 more than a month ago.
UnitedHealth reported revenues of $111.72 billion in the last reported quarter, representing a year-over-year change of +2%. EPS of $7.23 for the same period compares with $7.20 a year ago.
UnitedHealth is expected to post earnings of $4.84 per share for the current quarter, representing a year-over-year change of +18.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.2%.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for UnitedHealth. Also, the stock has a VGM Score of A.
, /PRNewswire/ -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF continues its investigation into Humana Inc. ("Humana" or "the Company") (NYSE: HUM).
On January 18, 2024, the Company announced its financial results for the fourth quarter and full year 2023, disclosing that its benefits expense ratio increased to approximately 91.4% for the fourth quarter of 2023 and approximately 88% for the full year 2023, resulting in 2023 adjusted EPS of only $26.09 per share, or more than $2 per share less than what the Company had predicted in November 2023. Then, on January 25, 2024, the Company further disclosed a loss for the fourth quarter of 2023 and expected that higher level of medical costs would persist for all of 2024, resulting in expected 2024 adjusted EPS of only $16 per share, a $10 per share decrease from 2023, well below analysts' expectations of $29 per share.
Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period in violation of federal securities laws. Recently, the Court presiding over the case denied the Company's motion to dismiss the case in part, allowing the case to move forward.
KSF's investigation is focusing on whether Humana's officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of Humana shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-833-938-0905 or email KSF Managing Partner Lewis Kahn ([email protected]), or visit https://www.ksfcounsel.com/cases/nyse-hum/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, New Jersey, and a representative office in Luxembourg.
TOP 10 Plaintiff Law Firms - According to ISS Securities Class Action Services
To learn more about KSF, you may visit www.ksfcounsel.com.
Contact:
Kahn Swick & Foti, LLC
Lewis Kahn, Managing Partner
[email protected]
1-877-515-1850
1100 Poydras St., Suite 960
New Orleans, LA 70163
The U.S. health insurance industry, commonly referred to as the Health Maintenance Organization (HMO), benefits from a set of diversified, cost-effective plans that generate steady premium income and secure contract renewals. However, regulatory changes could tighten Medicaid eligibility and reduce ACA enrollment, affecting membership and reimbursements. Demand for Medicare products should remain strong as the U.S. population ages, supporting enrollment and premium growth. Investments in telehealth, AI, cloud computing and data analytics are improving efficiency, patient engagement and long-term revenue prospects despite increasing near-term costs. HMOs are also pursuing strategic mergers and acquisitions (M&A) to expand market presence and diversify operations. Industry leaders such as UnitedHealth Group Incorporated (UNH - Free Report) , The Cigna Group (CI - Free Report) , Humana Inc. (HUM - Free Report) , Centene Corporation (CNC - Free Report) and Molina Healthcare, Inc. (MOH - Free Report) are well-positioned to capitalize on these favorable growth dynamics.
About the Industry The Zacks HMO industry consists of entities (either private or public) that take care of subscribers’ basic and supplemental health services. Players in this space primarily assume risks and assign health and medical insurance policy premiums. Industry participants also provide administrative and managed-care services for self-funded insurance. Services are generally offered via a network of approved care providers (called in-network), which include primary care physicians, clinical facilities, hospitals and specialists. However, out-of-network exceptions are made during emergencies or when medically necessary. Health insurance plans can be availed through private purchases, social insurance or social welfare programs.
4 Trends Shaping the Future of the HMO Industry Diversified Offerings Support Enrolment Stability: Health insurers continue to strengthen their membership base by offering diversified, cost-effective plans with enhanced benefits. These offerings support steady enrollment growth, generate consistent premium income and often lead to contract wins and renewals from federal and state agencies. However, gains from diversified products are expected to only partly offset the expected Medicaid membership declines resulting from growing regulatory challenges following the enactment of the One Big Beautiful Bill Act. The legislation introduced stricter Medicaid eligibility checks, work requirements and reduced federal funding. These measures, coupled with the absence of ACA subsidy extensions, are likely to reduce enrollment and pressure margins, prompting insurers to focus more on higher-margin commercial plans, while anticipated Medicare Advantage reimbursement rate increases in 2026 may provide some support.
An Aging U.S. Population: Medicare plans are specifically designed to meet the healthcare needs of individuals aged 65 and older, and an aging U.S. population is expected to drive sustained demand for these products. As the baby boomer generation enters retirement and life expectancy continues to increase, health insurers are well-positioned to benefit and generate higher premium revenues. To effectively serve this demographic, insurers maintain broad networks of healthcare providers, including physicians, hospitals, pharmacies and ancillary care organizations, while some also operate dedicated senior-focused care centers that deliver personalized, high-quality services tailored to the unique medical and wellness needs of older adults.
Digital Transformation and Technological Innovation: The HMO industry continues to strengthen its investment in virtual healthcare solutions, or telehealth services, as digital transformation reshapes the healthcare landscape. Technologies such as Artificial Intelligence (AI)-powered chatbots, voice assistants, mobile health applications, robotics, cloud computing and advanced data analytics are revolutionizing the way healthcare services are delivered, allowing patients to receive timely care from the comfort of their homes. This shift not only eases the strain on the U.S. healthcare system by reducing hospital visits and admissions but also enhances patient experience and care accessibility. While the adoption of advanced technologies may initially increase costs for health insurers, the resulting gains are expected to support stronger and more sustainable revenue growth over the long term.
Strategic Expansion Via Mergers and Acquisitions: In addition to embracing technological advancements, HMOs frequently engage in M&A to expand their capabilities, penetrate new markets, strengthen their foothold in existing regions, grow their membership base and enhance their nationwide reach. These strategic transactions also promote business diversification, enabling companies to maintain a competitive edge within the industry. Following the Federal Reserve's three interest rate cuts in 2025, borrowing conditions have become more favorable. Lower financing costs are expected to encourage greater M&A activity.
Zacks Industry Rank Instills Optimism The group’s Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates bright near-term prospects. The Zacks Medical-HMOs industry, which is housed within the broader Zacks Medical sector, currently carries a Zacks Industry Rank #27, which places it in the top 11% of 246 Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.
The industry’s positioning in the top 50% of the Zacks-ranked industries is a result of a positive earnings outlook for the constituent companies in aggregate.
Before we present a few stocks that you may want to buy or retain in your portfolio, let’s look at the industry’s recent stock-market performance and valuation picture.
Industry Underperforms S&P 500, Outperforms Sector The Zacks Medical-HMO industry has gained 17.3% in the past year compared with the Zacks S&P 500 composite’s 31.3% growth. The Zacks Medical sector rallied 2.8% in the same time frame.
One-Year Price Performance
Image Source: Zacks Investment Research
Industry's Current Valuation Based on the forward 12-month price-to-earnings (P/E) ratio, which is commonly used for valuing medical stocks, the industry trades at 16.66X compared with the S&P 500’s 22.17X and the sector’s 19.33X.
Over the past five years, the industry has traded as high as 19.57X and as low as 11.58X, with the median being at 16.14X, as the chart below shows.
Forward 12-Month Price/Earnings (P/E) Ratio
Image Source: Zacks Investment Research
Image Source: Zacks Investment Research
5 Stocks to Keep a Close Eye On We present five stocks from the space, either carrying a Zacks Rank #2 (Buy) or #3 (Hold). Considering the current industry scenario, it might be prudent for investors to buy or retain these stocks in their portfolio, as these are well-placed to generate growth in the long haul.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Centene: Based in Missouri, Centene continues to benefit from strong momentum in its Medicare and Medicaid businesses, supported by numerous contract awards and steady membership expansion. The growing aging population in the United States remains a key driver of demand for Medicare Advantage plans, reinforcing the strength of Centene’s Medicare segment. This Zacks Rank #1 company also pursues strategic growth through acquisitions and provider partnerships. Management projects premium and service revenues within $171-$175 billion for 2026.
The Zacks Consensus Estimate for Centene’s 2026 earnings is pegged at $3.47 per share, which indicates a 66.8% rise from the year-ago figure. CNC’s earnings outpaced estimates in three of the last four quarters and missed the mark once, the average being 74.90%.
Price & Consensus: CNC
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Molina Healthcare: This California-based health insurer develops affordable Medicare and Medicaid plans, enriched with extensive benefits, which have consistently led to contract wins. These contracts have contributed to a steadily growing customer base for the Zacks Rank #2 company. Management expects the 2026 premium revenue outlook to be approximately $42 billion. The company continues to strengthen its market position through acquisitions, including ConnectiCare in 2025.
The Zacks Consensus Estimate for Molina Healthcare’s 2026 earnings is pegged at $5.23 per share. The consensus mark for MOH’s 2026 earnings has moved 0.4% north over the past 30 days. MOH’s earnings beat estimates in one of the last four quarters and missed the mark thrice.
Price & Consensus: MOH
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UnitedHealth Group: Minnesota-based UnitedHealth Group continues to deliver solid revenue growth, driven by the strong performance of its UnitedHealthcare and Optum segments. UnitedHealthcare benefits from enhanced Medicare and Medicaid offerings that combine affordability with attractive benefits. Optum remains a key growth engine, leveraging strategic acquisitions, advanced technology and data-driven healthcare solutions to enhance care delivery and operational efficiency. Additionally, continued focus on mergers and acquisitions, coupled with expanding telehealth capabilities, strengthens the nationwide footprint of this Zacks Rank #3 company.
The Zacks Consensus Estimate for UnitedHealth Group’s 2026 earnings is pegged at $18.29 per share, which implies 11.9% growth from the year-ago figure. UNH’s earnings beat estimates in three of the last four quarters and missed the mark once, the average surprise being 0.84%.
Price & Consensus: UNH
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Cigna: Based in Connecticut, the company continues to demonstrate strong growth, supported by the robust performance of its two key business segments—Evernorth and Cigna Healthcare. Evernorth benefits from its comprehensive portfolio of specialty pharmacy services, while Cigna Healthcare leverages its broad customer base across both the U.S. Government and U.S. Commercial markets. This Zacks Rank #3 company further enhances its market position and growth prospects through strategic acquisitions and partnerships with leading healthcare organizations, while continuously expanding its product offerings.
The Zacks Consensus Estimate for Cigna’s 2026 earnings is pegged at $30.38 per share, indicating 1.8% growth from the prior-year figure. CI’s earnings beat estimates in each of the last four quarters, the average surprise being 1.86%.
Price & Consensus: CI
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Humana: Headquartered in Kentucky, Humana has delivered steady growth, driven by increasing premium income and a strong membership base across its Medicare and Medicaid segments. The strong execution of these programs has enabled this Zacks Rank #3 company to win new contracts and successfully renew existing agreements with federal and state government agencies. Through its CenterWell platform, Humana continues to focus on meeting the evolving healthcare needs of the nation’s growing senior population. Additionally, strategic acquisitions such as Family Physicians Group, iCare and Inclusa have strengthened the company’s business diversification efforts and expanded its geographic reach.
The Zacks Consensus Estimate for Humana’s 2026 earnings is pegged at $9.01 per share. The consensus mark for 2025 revenues implies 25.3% growth from the year-ago actual. HUM’s earnings surpassed estimates in three of the last four quarters and missed the mark once, the average surprise being 3.80%.
Price & Consensus: HUM
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Health insurers are running higher in Thursday afternoon trading after a wave of bullish Wall Street analyst notes on the managed-care sector, centered on UnitedHealth, citing softer medical cost and utilization trends plus potential AI efficiency upside. Humana (NYSE:HUM | HUM Price Prediction) stock is leading the move, up 6% to $348, with UnitedHealth Group (NYSE:UNH) stock up 5% to $396 and Cigna (NYSE:CI) stock up 4% to $282.
The catalyst is a fresh cluster of analyst actions framing managed care as a margin-recovery story. The thesis: utilization is moderating, medical loss ratios are improving, and artificial intelligence could unlock meaningful efficiency gains across the group.
Healthcare more broadly is participating. The Health Care Select Sector SPDR Fund (NYSEARCA:XLV) is up 3% on the session, signaling the rally is concentrated in managed care but spilling into adjacent groups.
Analyst Upgrades Center on UnitedHealth [stock_chart symbol=”NYSE:UNH”]
Morgan Stanley’s Erin Wright raised UnitedHealth’s price target to $453 from $395 and maintained an Overweight rating. Wright noted that managed care stocks have been “grinding higher” on emerging signs of softer utilization trends, and estimated that AI-driven efficiencies could deliver 45% average earnings-per-share upside for managed care organizations as efficiency scales.
Bank of America analyst Kevin Fischbeck upgraded UnitedHealth stock to Buy from Neutral and raised his price target to $450 from $420, citing improving medical cost trends and a favorable Q2 2026 earnings setup. Fischbeck stated that UnitedHealth should lead a broader rally of managed care organizations if utilization trends continue to moderate.
Truist raised its UnitedHealth share-price target to $440 from $395 and kept a Buy rating, citing favorable Q1 medical cost trends versus consensus and embedded earnings potential tied to margin recovery in the government businesses. A separate Morgan Stanley note framed UnitedHealth, CVS Health (NYSE:CVS), and Cigna as managed-care companies that could benefit from utilization trends and AI upside.
Sector-Wide Lift Pulls Peers Along The optimism is reaching beyond UnitedHealth. CVS Health is benefiting from the same softer-cost narrative, with its Q1 2026 medical benefit ratio improving to 85% from 87% and Health Care Benefits adjusted operating income surging 53% to $3.04 billion.
Humana’s recent strength stands out among the three names. Humana stock is up 37% over the past month and 28% year-to-date, supported by Q1 2026 results showing an insurance segment benefit ratio of 89% and medical and pharmacy cost trends slightly better than expectations across new and existing membership.
However, Cigna is a different story. The stock is down 2% year-to-date and down 10% over the past year, so today’s bid is more of a recovery bounce than a continuation. Cigna’s Q1 2026 medical care ratio still improved to 80% from 82% prior year, and management raised its full-year 2026 adjusted income from operations outlook to at least $30.35 per share.
UnitedHealth’s Supporting Signals UnitedHealth has additional tailwinds beyond the analyst notes. On June 3, UnitedHealth’s board authorized a dividend of $2.32 per share, payable June 23. The company’s Q1 2026 revenue came in at $111.7 billion, with adjusted earnings of $7.23 per share, surpassing the $6.61 estimate.
The medical cost ratio (MCR) improvement is the centerpiece. UnitedHealth’s MCR improved 90 basis points to 84%, a meaningful inflection after a difficult 2025. According to Koyfin data cited in reporting, 22 of 28 analysts rate UnitedHealth stock as a Buy or higher, five rate it as a Hold, and one rates it as a Sell.
Retail sentiment is firming up, as well. Sentiment surrounding UNH stock on Stocktwits improved to neutral from bearish over the prior 24 hours, consistent with the bid showing up in the tape today.
What to Watch Now The key question is whether utilization trends keep moderating into the second quarter. The Q2 2026 earnings setup that Bank of America flagged could be the next major test for the thesis, and investors can size their positions accordingly while the data evolves.
For Humana shareholders, the question is whether the month-long run can hold after such a strong move. Meanwhile, for Cigna shareholders, today’s bounce may signal the start of mean reversion, but the year-to-date laggard status means traders may stay selective until momentum builds.
The UnitedHealth dividend will be paid on June 23, giving income-focused holders a near-term catalyst. Watch for whether the broader managed-care rally has legs, or whether today’s lift fades into the close as profit-takers trim their exposure.
On June 04, 2026, Humana Inc (HUM) shares rose 6.8% to a current price of $349.80. The stock has seen significant price performance recently, with a 52-week ran
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A KFF report showed 55% of eligible Medicare beneficiaries are enrolled in privatized Medicare Advantage this year, "though the pace of enrollment growth continued to slow." The report was issued June 5, 2026
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Despite some high-profile retreats by health insurers from Medicare Advantage, the privatized medical coverage for older adults continues to add health plan members and is now the choice of 55% of eligible beneficiaries, a new report shows.
Medicare Advantage plans contract with the federal government to provide coverage available in traditional Medicare plus extra benefits and services to seniors, such as disease management, drug coverage and nurse help hotlines with some also offering vision, dental care and wellness programs.
“While a growing share of Medicare beneficiaries are enrolled in a Medicare Advantage plan, the pace of the increase in enrollment continued to slow in 2026,” a new analysis by KFF shows.
The KFF analysis is an indication that Medicare Advantage remains popular among old adults and those who may have been forced to choose a new plan because their insurer left the market continued with such coverage at another company. Health insurers that are the biggest players in privatized Medicare Advantage coverage including UnitedHealth Group’s UnitedHealthcare and CVS Health’s Aetna health insurance business have pulled back for this year after years expanding their geographic footprints.
But the KFF report indicated the large companies still have the biggest market share of Medicare Advantage.
“Medicare Advantage enrollment is highly concentrated among plans owned by a small number of parent organizations, with UnitedHealth Group leading the market, and, together with Humana, accounting for nearly half (46%) of all Medicare Advantage enrollees nationwide, the same as in 2025, and consistent with the pattern in prior years,” the KFF report showed.
“However, market shares for the leading parent organizations changed with UnitedHealth Group dropping to 26% (down from 29%), and Humana increasing to 20% (up from 17%),” KFF said. “In absolute numbers, Humana had the largest growth in enrollment, with 1.3 million more enrollees in 2026 than in 2025. In contrast, enrollment in UnitedHealth Group plans decreased by nearly 647,000 from 2025 to 2026.”
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After two years of grappling with rising costs of seniors with a pent-up demand for healthcare services, health plans reevaluated the markets they have been in historically, including some that are unprofitable, and announced last fall that they are retreating to markets where they have adequate doctor and hospital networks to offer rich benefit packages at competitive prices.
Wall Street analysts and investors have been worried about whether these plans could manage their costs after promising first quarter financial results. So far, the companies are indicating that Medicare Advantage cost trends are easing from the last two years.
Humana, for example, last week reaffirmed its 2026 full-year adjusted earnings per share guidance of at least $9. And UnitedHealth and CVS stocks rallied last week along with other health insurers in part after analysts “highlighted moderating health care utilization trends,” Investors Business Daily said in a report.
Key Takeaways Healthcare stocks have outperformed the broader market over the past week, as investors rotated out of tech and into more defensive plays.Analysts at UBS and SentimenTrader suggested they see more gains ahead for the sector, which has underperformed the broader market in 2026 so far. Tech stocks are pulling back, and healthcare is surging.
The S&P 500's health care sector climbed over 1% Tuesday while the broader index lost ground, weighed down by a sell-off in tech shares. Over the past five sessions, healthcare was the best-performing sector, up close to 6%, while the broader index slipped about 3%. Major insurers such as Humana (HUM) and UnitedHealth Group (UNH) have been some of the biggest gainers during that time, with Humana shares up 13% and UnitedHealth adding about 10% over the past week amid anticipation of improving cost trends. Medical device makers such as Medtronic (MDT) and drugmakers like Eli Lilly (LLY) have also gained, with their shares up around 11% and 8%, respectively.
Why This Matters to Investors Healthcare stocks have long been seen as defensive plays, as medical products and services are often viewed as less sensitive to economic downturns, and may outperform other sectors in a risk-off environment.
The recent momentum highlights the sector's value as a defensive play, UBS analysts wrote Tuesday. The sector has outperformed the S&P 500 on 85% of the days when the benchmark was down 1% or more, the analysts said; between Wednesday and Friday, it outperformed tech by the widest margin over three trading days since 2002, according to Bespoke. (It has, however, lagged the broader market year-to-date: The healthcare sector is little changed for 2026, compared to the broader S&P 500's roughly 8% gain. Read Investopedia's full coverage of today's trading here.)
Expectations of growth tied to booming demand for weight-loss drugs and falling costs related to AI's use in drug discovery, along with demographic shifts that could raise healthcare needs, "underpins our positive outlook on the sector," UBS wrote.
SentimentTrader analyst Jay Kaeppel, who wrote in a report Monday that healthcare has "rarely performed worse relative to the S&P 500 Index," suggested its weak showing year-to-date could mean more gains ahead, making the present an "excellent buying opportunity."
"Its time to put Healthcare back on the radar," he wrote.
Economist Justin Wolfers dropped a number on the Prof G Markets podcast that should reorganize how you think about the 2026 economy. Since Trump took office, healthcare and social services has added roughly 901,000 jobs, while every other part of the economy has actually lost jobs on net. One sector hiring. Everything else shedding.
Before we mortgage the house on hospital REITs, Wolfers offered an honest caveat. He warned the finding may be “somewhat less relevant than it sounds” because overall job creation is naturally low thanks to weak population growth: “The closer you are to the whole not growing very much, the more likely it is you’ll end up in a world in which one sector’s doing all the positive and everything else is a negative.” In other words, slow-growth arithmetic flatters whichever sector happens to be expanding.
Still, the labor data is real. Total nonfarm payrolls reached 159,001 thousand in May 2026, with unemployment steady at 4.3%. I have been reading every jobs report for the better part of a decade, and the divergence between healthcare and everything else is the most lopsided I can remember outside of a recession.
Why Wall Street Hated the News
Wolfers explained the paradox simply: investors are playing “the game of Federal Reserve.” Strong jobs mean the Fed has no reason to rescue the labor market with rate cuts, while core PCE keeps grinding higher (the index hit 129.63 in April). Polymarket now prices zero rate cuts in 2026 at roughly 80% probability, with the funds rate parked at 3.75% since January and the 10-year Treasury at 4.56%.
That means we’ll likely continue a cycle of more job growth in healthcare while rates remain elevated. This impacts two primary sectors.
Where the Hiring Is Showing Up in Stocks UnitedHealth Group (NYSE:UNH | UNH Price Prediction) just posted Q1 2026 adjusted EPS of $7.23 against a $6.61 estimate, with the medical cost ratio tightening 90 basis points to 83.9%. The stock is up 26% year to date.
Humana (NYSE:HUM) is the comeback story, up 42% YTD despite a brutal Star Ratings headwind that crushed FY2026 adjusted EPS guidance to at least $9.00 from $17.14 in 2025. Individual Medicare Advantage membership is up roughly 22% year to date. CVS Health (NYSE:CVS) raised FY2026 adjusted EPS guidance to $7.30 to $7.50 after Aetna’s medical benefit ratio improved to 84.6% from 87.3%.
The Other Side: Rates Stay High With Financial Tailwinds JPMorgan Chase (NYSE:JPM) just reported Q1 2026 net income of $16.49 billion with markets revenue at a record $11.60 billion. Jamie Dimon called the economy “resilient” while flagging risks ranging from trade uncertainty to elevated asset prices.
Realty Income (NYSE:O) is up 11% YTD and yields over 5%, with Q1 AFFO per share growing 6.6% and investment volume guidance raised to $9.5 billion at 7.1% cash yields. Sumit Roy is deploying capital as if rates will stay where they are, which Polymarket says is the right bet.
The Frame for Your Portfolio Wolfers’ caveat matters, but the investing implication holds either way. If you believe the labor market keeps printing healthcare jobs while the Fed stays parked, the defensive sleeve with real demand (the insurers and pharmacy chains serving an aging population) makes sense, the bank earning a fat net interest margin makes sense, and a net-lease REIT that already underwrote 7%+ yields makes sense. The next signal to watch is the June 16 to 17 FOMC meeting and the next core PCE report. If inflation reaccelerates, the conversation shifts from “no cuts” to “possible hikes,” and the math on every dividend stock changes overnight.
Humana Foundation’s Annual Double Match Day raises funds and surprises three lucky employees with a total of $45,000 in grants for nonprofits
LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana and CenterWell employees combined to donate more than $1.4 million to nonprofit organizations in just 24 hours during the Humana Foundation’s annual Double Match Day in April. During the event, more than 1,600 employees donated to a total of 1,650 nonprofits across the United States to support their communities.
Since 2022, Humana and the Humana Foundation have contributed a combined $5.9 million in matching donations during Double Match Day.
“Our employees consistently show up for the communities they call home, and Double Match Day is a powerful example of that commitment,” said Jim Rechtin, president and CEO of Humana. “The generosity of Humana and CenterWell teammates reflects our shared purpose and their commitment to making a real difference in people’s lives.”
Double Match Day is the signature initiative for the Humana Foundation’s yearlong matching donations program. Throughout the year, employees can maximize charitable gifts to their communities through a one-to-one match by the Humana Foundation. However, on Double Match Day, the Humana Foundation doubles the impact during a 24-hour span to offer two-to-one matching of employee donations. The result is one of the most impactful days of giving to our employees.
“Double Match Day is a reminder of what’s possible when our teammates rally around the causes they care about,” said Humana Foundation CEO, Tiffany Benjamin. “The event reflects the heart of our culture and highlights how we show up for each other and the communities we serve.”
Throughout Double Match Day, employees shared personal stories about the nonprofits they supported using the hashtag #GotMyMatch. From health and housing to education and food security, employees supported causes close to their hearts.
“I #GotMyMatch to Feeding America for my mom who was a tireless food bank volunteer,” wrote April Williams, an associate director for enterprise data governance with Humana. “When my mom finished at the food bank, she also visited neighborhoods in Washington, DC, and gave out as much of the remaining food as she could spare.”
The Humana Foundation also awarded $45,000 via three separate grants to employees who participated in Double Match Day. The grant recipients – one $25,000 winner and two $10,000 winners – then selected their favorite nonprofit to receive the funds.
For more information about the Humana Employee Matching Gift Program and community impact initiatives, visit Humana Foundation | Investing in Humana Employees.
About the Humana Foundation
The Humana Foundation was established in 1981 as the philanthropic arm of Humana Inc. and is focused on health equity, working to eliminate unjust, avoidable, and unnecessary barriers in health and healthcare. The Foundation fosters evidence-based collaborations and investments that help people in underserved communities live connected, healthy lives. As a steward of good health, the Foundation creates healthy emotional connections for people and communities and is shaping a healthier approach to nutrition to support lifelong well-being. For more information, visit humanafoundation.org.
LOUISVILLE, Ky.--(BUSINESS WIRE)--Humana Inc. (NYSE: HUM) today announced that it has signed a definitive agreement with a consortium of investors to divest all or substantially all of its minority interest in Gentiva, the nation's leading provider of end-of-life services, including hospice and palliative care. The agreement values Humana's minority interest stake at approximately $900 million. Other financial terms were not disclosed. Humana intends to utilize proceeds from the sale for genera.
Humana said on Wednesday it has agreed to sell all or substantially all of its minority stake in Gentiva, a provider of hospice and palliative care services, in a deal valuing the stake at about $900 million.
Humana Wednesday said it has signed a “definitive agreement with a consortium of investors to divest all or substantially all of its minority interest in Gentiva, the nation’s leading provider of end-of-life services, including hospice and palliative care.” In this photo is Humana Inc. signage on the floor of the New York Stock Exchange (NYSE) in New York, US, on Wednesday, July 30, 2025. Photographer: Michael Nagle/Bloomberg
Humana, one of the nation’s largest providers of privatized Medicare Advantage health insurance for older adults, announced plans to divest its minority stake in a provider of end-of-life services for $900 million.
Humana Wednesday said it has signed a “definitive agreement with a consortium of investors to divest all or substantially all of its minority interest in Gentiva, the nation’s leading provider of end-of-life services, including hospice and palliative care.”
Humana said the company “intends to utilize proceeds from the sale for general corporate purposes.” The deal is expected to close in the third quarter of this year subject to various regulatory approvals.
Humana said the divestiture of Gentiva continues a process it began several years ago even before Jim Rechtin took over as chief executive of the insurer to sell off various “non-core” Kindred At Home businesses "including hospice, palliative, and personal health care services.
“In 2022, Humana announced an agreement to divest a majority interest in the Hospice and Personal Care divisions of Humana’s Kindred at Home subsidiary (KAH Hospice) to private investment firm Clayton, Dubilier & Rice,” Humana said in a statement. “These divisions were then subsequently restructured into a standalone business and rebranded to Gentiva, which is now the nation’s largest end-of-life care provider, with thousands of compassionate clinicians and caregivers providing services at more than 430 locations in 35 states.”
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Though Humana is best known for its health insurance business, covering more than 6 million older adults in its Medicare Advantage plans, the company is investing heavily under Rechtin in its CenterWell healthcare services business that includes pharmacy, specialty pharmacy and related distribution. CenterWell contributed more than $22 billion in revenue to Humana’s total sales last year of $129.6 billion, according to the insurer’s most recent financial report.
Under Rechtin, the CenterWell business has been more focused on higher growth areas including specialty pharmacy and pharmacy. Earlier this year, for example, Mark Cuban’s Cost Plus Drug Company and Humana’s CenterWell Pharmacy confirmed they have formed a partnership “to develop new end-to-end employer prescription solutions.”
Key Takeaways Humana will receive roughly $900 million from the sale of its remaining Gentiva stake.The deal completes HUM's exit from hospice and personal care assets tied to Kindred.Management expects no material impact on 2026 earnings from the divestiture. Humana Inc. (HUM - Free Report) recently agreed to sell all, or substantially all, of its remaining minority stake in Gentiva, the hospice and palliative care company that emerged from the restructuring of Kindred at Home’s hospice and personal care operations. The transaction values Humana’s stake at roughly $900 million and is expected to close in the third quarter of 2026.
The move completes a strategy Humana set in motion after acquiring Kindred at Home in 2021 and later spinning off non-core hospice and personal care assets. Gentiva has since grown into one of the largest end-of-life care providers in the United States. It operates at more than 430 locations across 35 states and employs over thousands of caregivers and associates.
The minority stake sale to a consortium of investors marks the final step in Humana’s multiyear effort to exit ownership of businesses outside its core health insurance and home-health strategy. It simplifies the company’s portfolio, unlocks capital from a mature investment, and sharpens management’s focus on areas where Humana sees stronger long-term strategic value.
Management said the cash will be used for general corporate purposes. Importantly, Humana does not expect the divestiture to have a material impact on its 2026 earnings, suggesting the Gentiva stake was not a major contributor to current profitability. Gentiva Hospice generated revenues of $2.1 billion in 2025, which led to a net loss of $84 million.
HUM’s Price PerformanceHumana’s shares have gained 42.3% year to date compared with the 24.7% rise of the industry it belongs to.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to ConsiderHumana currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader Medical space are Biodesix, Inc. (BDSX - Free Report) , Molina Healthcare, Inc. (MOH - Free Report) and Pediatrix Medical Group, Inc. (MD - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Biodesix’s full-year 2026 earnings implies a 36% improvement from the year-ago reported figure. It has remained stable over the past 30 days. Over the last four quarters, BDSX beat earnings estimates thrice and missed once, with an average surprise of 25.6%.
The consensus estimate for Molina Healthcare’s 2026 full-year earnings is pegged at $5.23 per share, which has witnessed five upward estimate revisions over the past 60 days against no downward movement. The consensus mark for MOH’s current-year revenues is pegged at $44.07 billion.
The Zacks Consensus Estimate for Pediatrix Medical’s 2026 bottom line suggests 9.3% year-over-year growth. MD has witnessed three upward estimate revisions over the past 60 days against no movement in the opposite direction. It beat earnings estimates in three of the last four quarters and missed once, with an average surprise of 21.3%.
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