#3 - Humana (NYSE:HUM)
Humana, Inc. (NYSE: HUM) is the last of the large-cap blue-chip stocks on this list of under-the-radar AI stocks. The aging of America alone makes healthcare one of the most desirable sectors to invest in. As an investor in 2023, you should consider companies like Humana that are using AI to improve efficiencies.
The company has been using AI since 2021 via its partnership with IBM Watson Health. The company’s solutions include an AI-enabled virtual assistant that provides accurate benefits, costs, and provider information.
HUM stock is down 10% in 2023, but the company’s outlook is strong. As of September 2023, earnings are expected to grow at a 13.6% rate. Analysts project a 28.6% increase in the company’s stock. Both of those forecasts are higher than they were in August 2023.
Plus, the stock has an attractive valuation of just 16x forward earnings. And it pays a dividend that has been increasing for 13 years and currently pays $3.54 per share annually.
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.
Read More - Current Price
- $288.05
- Consensus Rating
- Hold
- Ratings Breakdown
- 6 Buy Ratings, 19 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $315.86 (9.7% Upside)
