Morgan Stanley Starts Humana (HUM) at Equalweight

Morgan Stanley analyst Erin Wright initiates coverage on Humana (NYSE: HUM) with a Equalweight rating and a price target of $374.00.

The analyst comments: "Humana (HUM) is a leading Managed Care Organization, primarily focused on serving members aged 65+ in the Medicare Advantage (MA) program through its Insurance (85% of Operating Revenue / 63% of EBITDA) and CenterWell (15% / 37%) segments. While the growth prospects across Medicare Advantage are relatively favorable over other health insurance businesses, outsized near term headwinds are driving an estimated 37% deterioration in HUM's 2024 EPS, with visibility on the magnitude of growth thereon inherently more challenged. As part of its multi-year recovery in MA, we forecast +24% EPS growth in 2025 to $20.30 (a far cry from its previous $37.00 target) and +25% in 2026, representing a 2023-2026 EPS CAGR of -1.0%, well below its previous LT target (+11-15%)."

For an analyst ratings summary and ratings history on Humana click here. For more ratings news on Humana click here.

Shares of Humana closed at $355.48 yesterday.

You May Also Be Interested In

• Freedom Broker Starts M/I Homes (MHO) at Buy
• Cantor Fitzgerald Starts Silence Therapeutics (SLN) at Overweight
• Litchfield Hills Starts NextPlat (NXPL) at Buy