Humana (NYSE:HUM) Shares Down 6.1% - Here's Why

Humana Inc. (NYSE:HUM - Get Free Report) fell 6.1% during mid-day trading on Tuesday . The stock traded as low as $243.77 and last traded at $244.68. 1,250,739 shares were traded during mid-day trading, a decline of 32% from the average session volume of 1,842,516 shares. The stock had previously closed at $260.46.

Wall Street Analysts Forecast Growth

HUM has been the subject of a number of recent analyst reports. Barclays boosted their price target on shares of Humana from $250.00 to $253.00 and gave the company an "equal weight" rating in a research report on Thursday, October 31st. Stephens restated an "equal weight" rating and issued a $250.00 target price on shares of Humana in a research note on Wednesday, October 9th. Oppenheimer dropped their price target on Humana from $400.00 to $280.00 and set an "outperform" rating for the company in a research report on Thursday, October 3rd. UBS Group decreased their price objective on shares of Humana from $380.00 to $250.00 and set a "neutral" rating on the stock in a research report on Friday, October 4th. Finally, Bank of America raised shares of Humana from an "underperform" rating to a "neutral" rating and raised their target price for the company from $247.00 to $308.00 in a research note on Wednesday, November 6th. Twenty equities research analysts have rated the stock with a hold rating and six have given a buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $300.50.

Humana Price Performance

The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 0.67. The firm's fifty day moving average price is $274.43 and its 200-day moving average price is $322.89. The stock has a market cap of $28.16 billion, a P/E ratio of 20.72, a PEG ratio of 2.15 and a beta of 0.53.

Humana (NYSE:HUM - Get Free Report) last announced its quarterly earnings results on Wednesday, October 30th. The insurance provider reported $4.16 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.48 by $0.68. Humana had a net margin of 1.18% and a return on equity of 13.20%. The business had revenue of $29.30 billion for the quarter, compared to analyst estimates of $28.66 billion. Analysts forecast that Humana Inc. will post 16.14 earnings per share for the current year.

Humana Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, January 31st. Shareholders of record on Tuesday, December 31st will be issued a $0.885 dividend. This represents a $3.54 annualized dividend and a yield of 1.51%. The ex-dividend date of this dividend is Tuesday, December 31st. Humana's dividend payout ratio (DPR) is currently 31.36%.

Hedge Funds Weigh In On Humana

Hedge funds have recently made changes to their positions in the business. PDT Partners LLC boosted its holdings in Humana by 190.0% in the third quarter. PDT Partners LLC now owns 4,060 shares of the insurance provider's stock valued at $1,286,000 after acquiring an additional 2,660 shares in the last quarter. Ontario Teachers Pension Plan Board boosted its stake in shares of Humana by 6.5% during the 3rd quarter. Ontario Teachers Pension Plan Board now owns 1,173,535 shares of the insurance provider's stock valued at $371,705,000 after purchasing an additional 71,910 shares in the last quarter. Swedbank AB increased its position in shares of Humana by 3.0% during the third quarter. Swedbank AB now owns 105,976 shares of the insurance provider's stock valued at $33,567,000 after buying an additional 3,085 shares during the period. Wilmington Savings Fund Society FSB purchased a new position in shares of Humana during the third quarter valued at about $948,000. Finally, Heritage Oak Wealth Advisors LLC bought a new position in Humana in the second quarter worth about $3,456,000. 92.38% of the stock is owned by hedge funds and other institutional investors.

About Humana

Humana Inc, together with its subsidiaries, provides medical and specialty insurance products in the United States. It operates through two segments, Insurance and CenterWell. The company offers medical and supplemental benefit plans to individuals. It has a contract with Centers for Medicare and Medicaid Services to administer the Limited Income Newly Eligible Transition prescription drug plan program; and contracts with various states to provide Medicaid, dual eligible, and long-term support services benefits.