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Humana (HUM) Outpaces Stock Market Gains: What You Should Know
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Humana (HUM - Free Report) closed the most recent trading day at $472.50, moving +0.73% from the previous trading session. This change outpaced the S&P 500's 0.12% gain on the day. Meanwhile, the Dow lost 0.2%, and the Nasdaq, a tech-heavy index, added 0.29%.
Heading into today, shares of the health insurer had lost 5.3% over the past month, lagging the Medical sector's loss of 0.98% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from Humana as it approaches its next earnings release. On that day, Humana is projected to report earnings of $7.14 per share, which would represent year-over-year growth of 3.78%. Meanwhile, our latest consensus estimate is calling for revenue of $25.34 billion, up 11.16% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $28.25 per share and revenue of $102.34 billion, which would represent changes of +11.93% and +10.19%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Humana. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. The Zacks Consensus EPS estimate has moved 0.02% lower within the past month. Humana currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Humana has a Forward P/E ratio of 16.6 right now. This valuation marks a premium compared to its industry's average Forward P/E of 15.54.
Meanwhile, HUM's PEG ratio is currently 1.21. 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. HUM's industry had an average PEG ratio of 1.07 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 58, which puts it in the top 24% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Humana (HUM) Outpaces Stock Market Gains: What You Should Know
Humana (HUM - Free Report) closed the most recent trading day at $472.50, moving +0.73% from the previous trading session. This change outpaced the S&P 500's 0.12% gain on the day. Meanwhile, the Dow lost 0.2%, and the Nasdaq, a tech-heavy index, added 0.29%.
Heading into today, shares of the health insurer had lost 5.3% over the past month, lagging the Medical sector's loss of 0.98% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from Humana as it approaches its next earnings release. On that day, Humana is projected to report earnings of $7.14 per share, which would represent year-over-year growth of 3.78%. Meanwhile, our latest consensus estimate is calling for revenue of $25.34 billion, up 11.16% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $28.25 per share and revenue of $102.34 billion, which would represent changes of +11.93% and +10.19%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Humana. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. The Zacks Consensus EPS estimate has moved 0.02% lower within the past month. Humana currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Humana has a Forward P/E ratio of 16.6 right now. This valuation marks a premium compared to its industry's average Forward P/E of 15.54.
Meanwhile, HUM's PEG ratio is currently 1.21. 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. HUM's industry had an average PEG ratio of 1.07 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 58, which puts it in the top 24% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.