Bernstein analyst Lance Wilkes maintains $Humana (HUM.US)$ with a hold rating, and adjusts the target price from $420 to $405.
According to TipRanks data, the analyst has a success rate of 73.9% and a total average return of 14.5% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Humana (HUM.US)$'s main analysts recently are as follows:
Currently, only 25% of Humana's members are enrolled in bonus-qualified plans for 2025, which is a stark decrease from the 94% in the previous year. Analysts indicate that the preliminary star ratings did not meet investor expectations and pose a considerable risk to the company's financial outlook for 2026.
Following a review of Humana's Star rating call, it's noted that the company is close to achieving the critical 4-Star threshold in three out of four of the impacted plans, which could be pivotal if the appeal prevails. Despite the possibility of an unsuccessful appeal, there's a sense of optimism for the company's potential to bounce back in the following year. Management is exploring various mitigation strategies, although it's premature to provide detailed guidance at this stage. Overall, there is some uncertainty surrounding the company's trajectory towards attaining its 3% margin goal by 2027.
Note:
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