Humana (HUM): Today's Featured Health Care Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Humana (HUM) pushed the Health Care sector lower today making it today's featured Health Care laggard. The sector as a whole closed the day down 0.6%. By the end of trading, Humana fell $1.08 (-1.4%) to $74.47 on light volume. Throughout the day, 1.4 million shares of Humana exchanged hands as compared to its average daily volume of 2.1 million shares. The stock ranged in price between $74.06-$75.81 after having opened the day at $75.48 as compared to the previous trading day's close of $75.55. Other companies within the Health Care sector that declined today were: Columbia Laboratories (CBRX), down 40.4%, IPC The Hospitalist Company (IPCM), down 16.9%, Immunogen (IMGN), down 16.8%, and Savient Pharmaceuticals (SVNT), down 13.5%.

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Humana Inc. operates as a health care company that offers a range of insurance products and health and wellness services that incorporate an integrated approach to lifelong well-being. Humana has a market cap of $12.19 billion and is part of the health services industry. The company has a P/E ratio of 10, equal to the average health services industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 14% year to date as of the close of trading on Thursday. Currently there are 15 analysts that rate Humana a buy, no analysts rate it a sell, and eight rate it a hold.

TheStreet Ratings rates Humana as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels, good cash flow from operations and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

• You can view the full Humana Ratings Report.

On the positive front, Graymark Healthcare (GRMH), up 15.6%, Varian Medical Systems (VAR), up 15.2%, Thermogenesis Corporation (KOOL), up 12.5%, and Chelsea Therapeutics International (CHTP), up 10.1%, were all gainers within the health care sector with BioMarin Pharmaceuticals (BMRN) being today's featured health care sector leader.

• Use our health care section to find sector-relevant news.
• Or find some new ideas from our top rated stocks lists.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health care sector could consider Health Care Select Sector SPDR (XLV) while those bearish on the health care sector could consider ProShares Ultra Short Health Care (RXD).

• Find other investment ideas from our top rated ETFs lists.

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For more information on Humana click any of the following:

• Humana Stock Price

• Humana Analyst Ratings

• Humana Key Stats & Profile

• Humana Earnings

• Humana Ratio Comparison

• Humana Growth Rates

• Humana Balance Sheet

• Humana Cash Flow

• Humana Income Statement