Humana (HUM): Stock With Unusual Social Activity
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
(
) as an unusual social activity candidate. In addition to specific proprietary factors, Trade-Ideas identified Humana as such a stock due to the following factors:
- HUM has more that 20x the normal benchmarked social activity for this time of the day compared to its average of 8.16 mentions/day.
- HUM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $236.0 million.
Identifying stocks with 'Unusual Social Activity' tends to be a valuable process for traders looking to capitalize on the 'talk of the town' stocks that are basking in far more attention from the StockTwits financial community than normal. Good press? Bad press? It ultimately doesn't matter if it's good or bad if you know how to trade around the sentiment. Certain hedge funds use such data for their proprietary algorithms and it is not uncommon to see shared social sentiment play itself out in a stock's price trend.
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More details on HUM:
Humana Inc., together with its subsidiaries, operates as a health and well-being company. The company operates through three segments: Retail, Employer Group, and Healthcare Services. The stock currently has a dividend yield of 0.7%. HUM has a PE ratio of 22.0. Currently there are 9 analysts that rate Humana a buy, no analysts rate it a sell, and 10 rate it a hold.
The average volume for Humana has been 1.1 million shares per day over the past 30 days. Humana has a market cap of $24.2 billion and is part of the health care sector and health services industry. Shares are up 11.6% year-to-date as of the close of trading on Tuesday.
Analysis:
rates Humana as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.
Highlights from the ratings report include:
- HUM's revenue growth has slightly outpaced the industry average of 18.4%. Since the same quarter one year prior, revenues rose by 21.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The current debt-to-equity ratio, 0.40, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.45, which illustrates the ability to avoid short-term cash problems.
- Powered by its strong earnings growth of 594.73% and other important driving factors, this stock has surged by 48.08% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, HUM should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Health Care Providers & Services industry. The net income increased by 583.3% when compared to the same quarter one year prior, rising from -$30.00 million to $145.00 million.
- You can view the full Humana Ratings Report.
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