Humana Inc. (HUM) Stock

Humana Inc. (HUM) is a Healthcare stock trading at $399.97 (as of 2026-07-17), with a market capitalization of $48.02B and a trailing P/E of 42.5. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Humana Inc. operates as a health and well-being company in the United States through Retail, Group and Specialty, and Healthcare Services segments. It offers medical and supplemental benefit plans for individuals and administers certain Medicare and Medicaid-related prescription and support programs, along with insurance and related services including pharmacy, provider, and home health solutions.

Understand Humana Inc.: how it makes money

Humana sells and administers medical and supplemental health benefit plans, including Medicare and Medicaid-related programs, and it also provides healthcare services through its CenterWell operations, generating revenue from insurance premiums and from delivering covered healthcare services under program and provider arrangements.

Humana's profit model depends on the gap between premium or contract revenue and the cost of delivering care, with performance reflected in the Insurance Segment Benefit Ratio (GAAP) and the Consolidated Operating Cost Ratio (GAAP).

Business quality (Mixed): The core operating story centers on medical-cost and expense discipline (benefit ratio and operating cost ratio) and on CenterWell healthcare scale, but the provided facts here do not include clean, reportable segment revenue splits for Retail, Group, Specialty, or Healthcare Services.

Valuation: At 38× earnings, HUM trades 203% above the Insurance average (13×). Note: one-time items can distort reported P/E.

Bull case

Insurance cost discipline is explicitly tracked: The company reports an Insurance Segment Benefit Ratio (GAAP) of 89.4% and an Insurance Segment Operating Cost Ratio (GAAP) of 8.3%, showing that underwriting and expense control are monitored with specific operating metrics.
CenterWell scale and program-related outreach metrics are tracked: CenterWell operations include 296 Primary Care Centers (Operating) and 830,000 Value-Based Home Health Model Members Covered, alongside care-gap and Star ratings outreach metrics.

Bear case

Profit sensitivity to medical utilization: Because Humana delivers covered care under insurance and value-based arrangements, unfavorable trends in medical utilization or care costs can pressure the Insurance Segment Benefit Ratio (GAAP).
Expense pressure risk: If operating costs rise faster than revenue, the Consolidated Operating Cost Ratio (GAAP) can deteriorate, reducing profitability.

Valuation — source: SEC EDGAR (first-party)
Price	$399.97
Market Cap	$48.02B
P/E Ratio	42.5
EV / EBITDA	18.3
Price / Book	2.58
Price / Sales	0.35
FCF Yield	2.6%
DCF Value (model)	$103.19
DCF Upside vs Price	-74.2%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$129.66B
Net Margin	0.9%
Revenue Growth (YoY)	23.5%
EPS Growth (YoY)	-4.5%
FCF Growth (YoY)	380.1%

Financial Health — source: SEC EDGAR
Altman Z-Score	5.00 (safe)

Valuation vs Sector & Industry
Stock P/E	42.5
Sector P/E (Healthcare)	21.4
Industry P/E (Insurance)	13.0
vs Sector	98.3%
vs Industry	227.0%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	VANGUARD GROUP INC ($3.65B)
Institutional Holders Tracked	10
Congressional Trades (recent)	10

Company
Sector	Healthcare
Industry	Insurance
CEO	James A. Rechtin
Employees	65,680
Country	US
IPO Date	1981-12-31

Related Companies (Insurance (FF48 industry); 8 closest by market cap; US-domiciled)

Data as of 2026-07-17.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.