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Humana (HUM) Outpaces Stock Market Gains: What You Should Know
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Humana (HUM - Free Report) closed at $463.85 in the latest trading session, marking a +1.95% move from the prior day. This move outpaced the S&P 500's daily gain of 1.22%. At the same time, the Dow added 1.26%, and the tech-heavy Nasdaq gained 4.63%.
Coming into today, shares of the health insurer had lost 12.55% in the past month. In that same time, the Medical sector lost 1.47%, while the S&P 500 gained 6.22%.
Humana will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $8.92, up 2.88% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $25.7 billion, up 8.6% from the year-ago period.
HUM's full-year Zacks Consensus Estimates are calling for earnings of $28.25 per share and revenue of $102.2 billion. These results would represent year-over-year changes of +11.93% and +10.04%, respectively.
Investors should also note any recent changes to analyst estimates for Humana. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.05% lower. Humana is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Humana is holding a Forward P/E ratio of 16.11. This represents a premium compared to its industry's average Forward P/E of 15.88.
Meanwhile, HUM's PEG ratio is currently 1.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs was holding an average PEG ratio of 1.04 at yesterday's closing price.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 185, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Humana (HUM) Outpaces Stock Market Gains: What You Should Know
Humana (HUM - Free Report) closed at $463.85 in the latest trading session, marking a +1.95% move from the prior day. This move outpaced the S&P 500's daily gain of 1.22%. At the same time, the Dow added 1.26%, and the tech-heavy Nasdaq gained 4.63%.
Coming into today, shares of the health insurer had lost 12.55% in the past month. In that same time, the Medical sector lost 1.47%, while the S&P 500 gained 6.22%.
Humana will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $8.92, up 2.88% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $25.7 billion, up 8.6% from the year-ago period.
HUM's full-year Zacks Consensus Estimates are calling for earnings of $28.25 per share and revenue of $102.2 billion. These results would represent year-over-year changes of +11.93% and +10.04%, respectively.
Investors should also note any recent changes to analyst estimates for Humana. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.05% lower. Humana is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Humana is holding a Forward P/E ratio of 16.11. This represents a premium compared to its industry's average Forward P/E of 15.88.
Meanwhile, HUM's PEG ratio is currently 1.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs was holding an average PEG ratio of 1.04 at yesterday's closing price.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 185, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.