Reading the tape
NYSE: HUM
Humana Inc.
Healthcare · Medical - Healthcare Plans
Market Cap
$33.01B
52w High
$315.35
52w Low
$163.11
P/E
29.28
Volume
3.15M
Outstanding Shares
120.06M
Price vs Fundamentals
Why The Stock Is Moving
Mixed / unclearLow confidence
1Y Price: 8.53%Revenue (TTM): 14.08%FCF (TTM): -46.58%P/FCF: 83rd pct
What changed
The stock rose 8.53% over the last year. Revenue grew 14.08% over the trailing twelve months. Operating margin moved from 1.9% to 1.01%. Free cash flow declined 46.58% over the trailing twelve months.
What the market seems to be pricing
The stock has moved higher with no clear directional signal from operating metrics. The operating data does not yet tell a clear story — the move may reflect sentiment, sector rotation, or macro factors rather than company-specific earnings power.
What would invalidate this read
Operating margin currently stands at 1.01%. A decisive move in revenue — currently up 14.08% — would be the clearest signal to resolve the ambiguity.
Company profile
Humana Inc., together with its subsidiaries, operates as a health and well-being company in the United States.
CEOJames A. Rechtin
SectorHealthcare
IndustryMedical - Healthcare Plans
Employees65,680
IPO dateDec 31, 1981
Valuation
Forward P/E—
EV/EBITDA13.61
Enterprise value$39.59B
Price / Book1.87
Stock splits
Aug 1, 1991↑ Forward
Every 2 shares became 3
Feb 1, 1984↑ Forward
Every 5 shares became 6
Feb 1, 1983↑ Forward
Every 3 shares became 4
Feb 1, 1982↑ Forward
Every 2 shares became 3
Feb 3, 1981↑ Forward
Every 1 shares became 2
Feb 1, 1980↑ Forward
Every 3 shares became 4
Nov 2, 1978↑ Forward
Every 2 shares became 3
Oct 24, 1977↑ Forward
Every 2 shares became 3
Profitability & growth
Standard profitability metrics can be misleading for financial/insurance companies. GAAP requires unrealized investment gains/losses in net income (affecting ROE), and margins are blended across diverse business segments.
Revenue growth23.47%
Gross margin14.01%▼0.11%vs FY2024
Operating margin1.01%▼18.86%vs FY2024
ROE6.73%▼8.72%vs FY2024
Analyst consensus
RatingHold
Target price$246.00▼10.53%
14
Buy
28
Hold
2
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
Jul 29, 2026
Q3 FY26 · EPS est $6.51 · Revenue est $40.6B
View
Dividends
$3.54/shareQuarterly9yr growth streakStretchedHUM pays a dividend with a 1.29% declared yield, 9 consecutive years of growth, growing at 7.2% annually, covered 0.9× by free cash flow.
Declared Yield
1.29%
Annual Div / Share
$3.54
5yr CAGR
+7.2%
Doubles every ~10.0yr
Payout Ratio
37.96%
Stretched
Dividend Growth Rate
3yr CAGR
+3.97%
5yr CAGR
+7.2%
10yr CAGR
+11.9%
Dividend Safety
6/10Stretched
Dividend History
Annual dividends paid per share
YearAnnual DivYoY
2025$3.54+0.0%
2024$3.54+0.0%
2023$3.54+12.4%
2022$3.15+12.5%
2021$2.80+12.0%
2020$2.50+13.6%
2019$2.20+10.0%
Income Projection
Invest
$
Growth rate:
Reinvest dividends
Today
$13/yr
$1/mo
In 5 yrs
$18/yr+42%
$2/mo
In 10 yrs
$26/yr+101%
$2/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$13/yr $1/mo | $18/yr+42% $2/mo | $26/yr+101% $2/mo |
Yield-on-cost grows from 1.29% → 2.58% over 10yr
Analysis
Dividend Strengths
Strong dividend growth rate
The 5-year CAGR of 7.2% meaningfully outpaces inflation, compounding real income growth for long-term holders.
Risks to Watch
Dividend exceeds free cash flow
Free cash flow covers only 0.87× the dividend. The company is paying out more than it generates in cash, which is unsustainable without borrowing or asset sales.