Humana(NYSE) HUM

Humana helps people pay for doctors, hospitals, and medicine through various insurance plans. It also runs clinics and pharmacies to provide health care directly to its members. The company mainly serves seniors and people with lower incomes across the United States.

What Humana Offers

• Individual Medicare Advantage: Health insurance for seniors that replaces standard government benefits; represents 70.3% of consolidated premiums and services revenue.
• State-based Contracts: Medicaid and long-term care services provided through deals with state governments; accounts for 11.2% of consolidated premiums and services revenue.
• Group Medicare Advantage: Employer-sponsored health plans for retired workers; makes up 7.0% of consolidated premiums and services revenue.
• Pharmacy Solutions: Mail-order and specialty drug services that deliver medicine to patients at home or in clinics.
• Primary Care: Value-based medical centers operating under the CenterWell and Conviva brands for senior patients.

Recent Strategic Moves

• Sold a 60% stake in Gentiva Hospice on August 11, 2022, while keeping a 35% minority interest.
• Began a partnership with Welsh, Carson, Anderson & Stowe to build and run primary care centers for seniors.
• Started the new T-5 TRICARE contract on January 1, 2025, to provide administrative health services for military personnel in 24 states.
• Expanded the CenterWell brand to include home health and pharmacy services to create a unified care experience.

Why the Company Stands Out

Humana uses an integrated care model that combines insurance coverage with its own pharmacies and doctor offices. This approach uses data analytics to track member health and help providers move from per-visit fees to quality-based payments.

Humana by the Numbers

• Total revenue reached $32.5 billion in Q4 2025, up 11.3% from $29.2 billion in Q4 2024.
• Net income fell to a loss of $796 million in Q4 2025, down 14.9% from a loss of $693 million in Q4 2024.
• Free cash flow dropped to negative $1.9 billion in Q4 2025, down 171.8% from negative $682 million in Q4 2024.
• The Individual Medicare Advantage segment generated $90.4 billion in premiums and services revenue during 2025.
• Medical benefit plan membership included approximately 15 million members as of December 31, 2025.

The Bottom Line

Humana has shifted from a traditional insurance company into a broader healthcare provider by growing its own clinical and pharmacy services. While revenue continues to grow, the company is navigating rising medical costs and changes in government quality ratings.