Recent Updates — HUM

Humana Inc. entered into a strategic joint venture with funds managed by HPS Investment Partners, a subsidiary of BlackRock, to manage and operate an existing network of nearly 150 CenterWell Senior Primary Care clinics. The transaction involves BlackRock acquiring Welsh, Carson, Anderson & Stowe’s equity stake, valued at approximately $2.8 billion, replacing the previous joint venture structure. This arrangement is expected to enhance Humana's balance sheet efficiency by removing put options and lowering its cost of capital. The deal is anticipated to close in the fourth quarter of 2026, subject to regulatory approvals. Humana Inc. operates as a leading U.S. healthcare company providing insurance services through Humana and healthcare services through CenterWell.

Humana Inc. affirmed its full-year 2026 adjusted earnings per share guidance of at least $9.00, consistent with previous disclosures. The company also reported that it exceeded its goal of achieving Top Quartile results in the final 2027 Medicare Advantage Star Ratings, which generate bonus revenue for Bonus Year 2028. Management anticipates a one-time benefit from this outperformance to be utilized for investments and shareholder returns, with further details expected prior to the fourth quarter 2027 earnings call. Humana operates in the managed healthcare industry, providing Medicare Advantage plans and other health insurance products.

Humana Inc. reaffirmed its full-year 2026 earnings guidance during investor meetings scheduled between September 1 and September 30, 2026. The company projects diluted GAAP EPS of at least $6.52 and Adjusted (non-GAAP) EPS of at least $9.00 for the year ending December 31, 2026. This guidance remains consistent with previous announcements from July 29, 2026. Management noted that while Adjusted EPS is stable, GAAP EPS may fluctuate due to ongoing value creation initiatives and strategic actions. The company also stated it will not comment on 2027 Medicare Advantage Star Ratings until CMS releases final data in October. Humana Inc. operates in the managed healthcare industry, providing health insurance products primarily through Medicare Advantage plans.

Humana Inc. expanded its Board of Directors from eleven to thirteen members and elected Frederick J. Crawford and Paul J. Smith as independent directors, effective July 28, 2026. Both new directors will receive restricted stock units under the company's standard compensation program. Paul Smith serves as Chief Commercial Officer at Anthropic PBC with extensive experience in enterprise technology go-to-market strategies. Frederick Crawford is a former President and COO of Aflac with deep expertise in insurance financial management and risk oversight. This governance update strengthens the board's capabilities in technology adoption and capital allocation to support Humana's long-term vision as a consumer healthcare company.

Humana Inc. reported second quarter 2026 financial results, posting diluted earnings per share of $5.73 on a GAAP basis and $7.61 on an adjusted basis. Consolidated revenues reached $40.87 billion, while the Insurance segment benefit ratio was 91.2 percent. The company affirmed its full year 2026 adjusted EPS guidance of at least $9.00 but revised its GAAP EPS guidance downward to at least $6.52 from $8.36 due to Star Ratings headwinds and other adjustments. Humana also highlighted membership growth, including a 27 percent increase in CenterWell Senior Primary Care patients year-to-date and the award of a statewide Illinois Medicaid managed care contract effective January 2027. The company operates as a leading U.S. healthcare provider offering health insurance services through its Humana brand and integrated care delivery via CenterWell.

Humana Inc. announced that its senior management will meet with investors and analysts throughout June 2026 to reaffirm its full-year 2026 guidance. The company intends to maintain its outlook of at least $8.36 in diluted earnings per share and at least $9.00 in adjusted earnings per share.