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Investing.com - RBC Capital has raised the price target on Humana (NYSE:HUM) to $322.00 from $283.00 while maintaining an Outperform rating on the health insurer. According to InvestingPro data, 15 analysts have recently revised their earnings upwards for the upcoming period, with analyst targets ranging from $250 to $353.
The price target increase follows RBC’s updated model and additional commentary on Humana’s recent quarterly results, according to analyst notes from the firm.
RBC expressed encouragement about management’s optimistic tone regarding strong Net Promoter Scores (NPS), internal patient experience surveys, and member efficacy demonstrated by strong membership recapture.
These positive indicators suggest Humana is better positioned than expected following significant plan design changes heading into 2025, despite the company’s emphasis on 2028 as a key target for stars bonus recovery during its 2025 Investor Day.
RBC’s new $322 price target reflects a valuation roll to 2027, up from its previous target of $283.
In other recent news, Humana Inc . reported impressive financial results for the second quarter of 2025. The company exceeded analysts’ expectations with earnings per share of $6.27, surpassing the forecasted $5.87. Humana also reported revenue of $32.39 billion, which was above the anticipated $31.85 billion. Raymond (NSE:RYMD) James maintained its Outperform rating on Humana stock, setting a price target of $340 following these strong results. The firm’s insurance medical loss ratio was reported at 89.9%, aligning with Street expectations and slightly better than Raymond James’ projection of 90.0%. These developments indicate strong performance and have been met with positive reactions from investors.
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