Stock Traders Purchase High Volume of Put Options on Humana (NYSE:HUM)

Humana Inc. (NYSE:HUM) was the target of unusually large options trading activity on Thursday. Investors acquired 14,928 put options on the stock. This represents an increase of approximately 52% compared to the typical volume of 9,827 put options.

Humana Price Performance

HUM stock opened at $226.26 on Friday. The firm has a 50 day moving average of $263.20 and a 200-day moving average of $269.61. Humana has a 12-month low of $212.45 and a 12-month high of $406.46. The company has a current ratio of 1.76, a quick ratio of 1.76 and a debt-to-equity ratio of 0.68. The company has a market cap of $27.31 billion, a price-to-earnings ratio of 22.74, a PEG ratio of 2.05 and a beta of 0.49.

Humana (NYSE:HUM) last posted its quarterly earnings results on Wednesday, April 30th. The insurance provider reported $11.58 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $10.07 by $1.51. Humana had a net margin of 1.02% and a return on equity of 11.70%. The company had revenue of $32.11 billion during the quarter, compared to the consensus estimate of $32 billion. During the same period last year, the firm earned $7.23 EPS. The company’s revenue for the quarter was up 8.4% on a year-over-year basis. As a group, equities analysts expect that Humana will post 16.47 EPS for the current fiscal year.

Humana Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 25th. Stockholders of record on Friday, June 27th will be given a dividend of $0.885 per share. The ex-dividend date of this dividend is Friday, June 27th. This represents a $3.54 dividend on an annualized basis and a dividend yield of 1.56%. Humana’s payout ratio is 25.04%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on HUM shares. Cantor Fitzgerald reiterated a “neutral” rating and set a $290.00 target price on shares of Humana in a research note on Thursday, May 1st. Robert W. Baird increased their target price on shares of Humana from $270.00 to $300.00 and gave the stock a “neutral” rating in a research note on Tuesday, April 15th. JPMorgan Chase & Co. decreased their target price on shares of Humana from $257.00 to $256.00 and set a “neutral” rating for the company in a research note on Tuesday, February 18th. Royal Bank of Canada reiterated an “outperform” rating and set a $283.00 target price on shares of Humana in a research note on Wednesday, February 12th. Finally, Guggenheim started coverage on shares of Humana in a research note on Wednesday, April 9th. They set a “buy” rating and a $326.00 target price for the company. Seventeen research analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $286.81.

Institutional Investors Weigh In On Humana

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Wealth Enhancement Advisory Services LLC increased its stake in shares of Humana by 1.6% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 8,848 shares of the insurance provider’s stock worth $2,245,000 after purchasing an additional 138 shares in the last quarter. Czech National Bank increased its stake in shares of Humana by 6.4% during the 4th quarter. Czech National Bank now owns 26,108 shares of the insurance provider’s stock worth $6,624,000 after purchasing an additional 1,581 shares in the last quarter. 180 Wealth Advisors LLC increased its stake in shares of Humana by 15.6% during the 4th quarter. 180 Wealth Advisors LLC now owns 1,291 shares of the insurance provider’s stock worth $327,000 after purchasing an additional 174 shares in the last quarter. Assenagon Asset Management S.A. increased its stake in shares of Humana by 21.5% during the 4th quarter. Assenagon Asset Management S.A. now owns 4,969 shares of the insurance provider’s stock worth $1,261,000 after purchasing an additional 879 shares in the last quarter. Finally, Park Avenue Securities LLC increased its stake in shares of Humana by 77.8% during the 4th quarter. Park Avenue Securities LLC now owns 8,635 shares of the insurance provider’s stock worth $2,191,000 after purchasing an additional 3,778 shares in the last quarter. 92.38% of the stock is currently owned by institutional investors and hedge funds.

Humana Company Profile

Humana Inc, together with its subsidiaries, provides medical and specialty insurance products in the United States. It operates through two segments, Insurance and CenterWell. The company offers medical and supplemental benefit plans to individuals. It has a contract with Centers for Medicare and Medicaid Services to administer the Limited Income Newly Eligible Transition prescription drug plan program; and contracts with various states to provide Medicaid, dual eligible, and long-term support services benefits.