Is the business good?
How good a business is HUM?
Humana earns 18% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
18%
Return on invested capital · cost of capital 9.0% · 9.2 points above what the capital costs: growth creates value
- Operating margin
- 1.8%
Operating margin · Healthcare Plans median 2.0% · 12 months to Q1 2026
- Cash conversion
- 1.13×
Cash conversion · 1.39× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −0.16%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 6.5% |
| FY2021 | 3.8% |
| FY2022 | 4.1% |
| FY2023 | 3.8% |
| FY2024 | 2.2% |
| FY2025 | 2.1% |
Details›
- Operating margin12 months to Q1 2026
- 1.8%
- Net margin12 months to Q1 2026
- 0.82%
- Free cash flow margin
- 0.93%
- Revenue, trailing twelve months
- $137.2B
- Free cash flow, trailing twelve months
- $1.27B
- Net income, trailing twelve months
- $1.13B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 18%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Healthcare Plans
Ranks #9 of 11 by Smart Score