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Humana Inc Receives Moderate Ratings in Shareholder Yield Analysis

Humana Inc's stock rating stands at 60% based on shareholder yield strategy. While it passes tests related to quality, debt, valuation, and relative strength, it fails on net payout yield and shareholder yield, raising concerns about its cash return to investors.

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AI Rating:   5
Analysis of Humana Inc

Humana Inc (HUM) is evaluated under the Shareholder Yield Investor model, which focuses on the company's ability to return cash to shareholders. The stock has a moderate rating of 60%. This indicates that while Humana has some appealing fundamentals, there is a lack of significant interest from the model's perspective as it requires a minimum rating of 80% for a stronger endorsement.

Although the overall rating is decent, two critical areas have been flagged as failures: Net Payout Yield and Shareholder Yield. These failures suggest that the company is not effectively returning cash to its shareholders through dividends and other methods, which could be a deterrent for income-focused investors. On the positive side, the stock passes assessments related to Quality and Debt, Valuation, and Relative Strength, indicating it is financially stable and offers good value at current levels while maintaining solid operational performance.

Investor sentiment may be moderated by the failures on key payout metrics, possibly leading to lowered expectations regarding future stock performance. As such, potential investors might consider these factors carefully before making investment decisions related to Humana Inc.

Stocks:  HUM