-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
HUM delivered Q1 2026 results that beat consensus with adjusted EPS of $10.31 vs. $10.20 estimate, though down 11% Y/Y, while revenue of $39.6B vs. $39.4B consensus grew 23.5% Y/Y. The Insurance segment benefit ratio of 89.4% deteriorated 200 bps Y/Y, impacted by FY 2026 Star Ratings downgrades and ~25% MA membership growth following a successful annual election period. New MA members generally carry higher benefit ratios relative to more established insured populations, in our view. We view the report as a solid step towards more stable footing as HUM continues its long-term recovery efforts. HUM affirmed full-year 2026 adjusted EPS guidance of at least $9.00, representing a near 50% annual decline as the company executes its multiyear transformation program targeting significant earnings recovery by 2028. We note shares are up ~40% since their March lows, consistent with significant gains among health insurers.