Humana Boosts 2025 Profit Guidance, Plans $100 Million In Strategic Investments

As the healthcare landscape evolves with new legislation and shifting demographics, Humana Inc. (NYSE:HUM) is adapting to these changes through strategic adjustments. This adaptability is reflected in their second-quarter earnings report, which exceeded analysts’ expectations despite a decline in adjusted EPS compared to last year.

Humana on Wednesday posted a second-quarter adjusted EPS of $6.27, down from $6.96 a year ago, beating the consensus of $5.90.

HUM stock is on the move, climbing higher. See the chart here.

Humana’s Earnings Beat Raises Eyebrows

The company reported sales of $32.39 billion, beating the consensus of $31.89 billion.

Increased revenue was driven by higher per-member Medicare and state-based contract premiums, with the Medicare increase primarily resulting from an increased direct subsidy due to the Inflation Reduction Act (IRA), as well as membership growth in the company’s state-based contracts ...