Humana Inc. (HUM - Free Report) operates as one of the best health and well-being companies in the United States. The company recently announced its series of strategic moves to boost capabilities in the field of technology, digital health and analytics. This in turn, will support the company’s integrated care delivery model and other programs.
The company is launching Humana Studio H, a center for digital health and analytics, which would be located in Boston's Seaport District. Studio H would completely focus on developing innovative products and services for usage within the company. Over a span of next five years, Humana plans to hire as many as 250 employees to tackle some major challenges within the industry.
More and more medical care centers are opting for digital tools to offer a better and personalized patient care, and for reducing chances of medical errors. Technology and innovation also act as a gap between hospitals and members, connecting various constituencies in the healthcare system. It is expected that analytics and digital health would together help overcoming all the barriers in this sector going forward. One of the company’s peers, UnitedHealth Group Incorporated (UNH - Free Report) , spends more than $2 billion annually on digitally driven technology upgrade. It uses Rally and similar digital health tools to curb extra medical costs for plan members along with providing better healthcare management plans.
Humana expects to develop an advanced capability with this effort, which would act as a huge step forward in providing an enriched and connected health care experience to its members. Shares of this Zacks Rank #3 (Hold) company have rallied nearly 34% year to date, outperforming its industry’s growth of 21%.
Stocks to Consider
Investors interested in the Medical-HMO industry can check out a couple of better-ranked stocks like WellCare Health (WCG - Free Report) and Anthem, Inc. (ANTM - Free Report) .
WellCare provides managed care services for government-sponsored health care programs. The company sports an impressive Zacks Rank #1 (Strong Buy) and came up with an average four-quarter beat of 53.89%. You can see the complete list of today’s Zacks #1 Rank stocks here.
Anthem operates as a health benefits company in the United States and is a Zacks Rank #2 (Buy) player. It managed to pull off an average trailing four-quarter earnings surprise of 6.65%.
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