UPDATE: Loop Capital Starts Humana (HUM) at Buy

June 16, 2022 4:09 PM EDT
Get Alerts HUM Hot Sheet
Price: $484.02 --0%

Rating Summary:
    19 Buy, 13 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 14 | Down: 29 | New: 9
Join SI Premium – FREE
(Updated - June 16, 2022 4:29 PM EDT)

Loop Capital analyst Joseph France initiates coverage on Humana (NYSE: HUM) with a Buy rating and a price target of $510.00.

The analyst comments "We are initiating HUM with a Buy and $510 price target. It is early, but whether or not its recent gains hold all year, we believe that HUM’s brand and growing portfolio of services, both at home and in its clinics, will magnify the value investors find in the senior market. A natural extension of HUM’s Medicare managed care franchise, providing care directly will engage more members, produce better outcomes and boost the company’s retention rates. HUM is cutting $1 billion worth of costs to fund investments in each of its major products. This is a strategy borne of some necessity and no doubt confusing internally, but we believe that it will ultimately advance HUM’s position with members, wherever they might be. The irony of the historic conflict between services and managed care is that today it is clear the only reason to offer a service is that it produces better outcomes, lowers costs and increases patient satisfaction. Direct involvement in patient care entails new risks for HUM, but, in our view, considerably more long-term opportunity."

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 $433.22 yesterday.

You May Also Be Interested In

Related Categories

Analyst Comments, New Coverage