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Is Humana (HUM) Outperforming Other Medical Stocks This Year?

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For those looking to find strong Medical stocks, it is prudent to search for companies in the group that are outperforming their peers. Humana (HUM - Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? 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 our Medical group, which includes 1187 different companies and currently sits at #5 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Humana is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for HUM's full-year earnings has moved 0.8% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, HUM has returned 7.5% so far this year. Meanwhile, stocks in the Medical group have lost about 14% on average. This means that Humana is outperforming the sector as a whole this year.

Another stock in the Medical sector, Swedish Orphan Biovitrum (BIOVF - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 14.4%.

For Swedish Orphan Biovitrum, the consensus EPS estimate for the current year has increased 12.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Humana is a member of the Medical - HMOs industry, which includes 8 individual companies and currently sits at #95 in the Zacks Industry Rank. On average, stocks in this group have gained 9.3% this year, meaning that HUM is slightly underperforming its industry in terms of year-to-date returns.

On the other hand, Swedish Orphan Biovitrum belongs to the Medical - Biomedical and Genetics industry. This 557-stock industry is currently ranked #69. The industry has moved -16% year to date.

Going forward, investors interested in Medical stocks should continue to pay close attention to Humana and Swedish Orphan Biovitrum as they could maintain their solid performance.


In-Depth Zacks Research for the Tickers Above


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