Humana raised its 2026 full-year adjusted profit forecast to at least $9.50 per share after lower-than-expected third-quarter medical costs offset broader industry headwinds. The health insurer posted Q3 revenue of $41.16 billion, up 26%, supported by a 23% year-to-date increase in individual Medicare Advantage enrollment. With its insurance segment medical cost ratio coming in at 93.7% and strong 2027 Medicare Advantage star ratings from CMS, Humana expects its expanded membership base to drive earnings growth through 2028.
Full-year 2026 financial guidance updates
- ▪Humana raised its 2026 full-year adjusted profit forecast to at least $9.50 per share, up from its previous estimate of at least $9.00 per share, surpassing analyst expectations of $9.15 per share
- ▪Humana increased its 2026 unadjusted full-year earnings guidance to at least $15.09 per share, up from its prior forecast of at least $6.52 per share
Third-quarter 2026 financial performance
- ▪Humana reported a third-quarter 2026 adjusted loss of 70 cents per share, outperforming consensus analyst estimates of a $1.00 per share loss
- ▪Humana's third-quarter 2026 revenue increased 26% year-over-year to $41.16 billion, exceeding Wall Street expectations of $40.87 billion
- ▪Humana's CenterWell care-delivery unit reported a third-quarter 2026 operating cost ratio of 95.9%, driven higher by primary care costs concentrated in a specific patient group in a single geography
Third-quarter medical cost trends
- ▪Humana's insurance segment recorded a third-quarter 2026 medical cost ratio of 93.7%, coming in below Wall Street analyst expectations of 94.39%
- ▪Humana reported that third-quarter 2026 medical and pharmacy cost trends were in line with or better than expectations across both new and existing plan members
Individual Medicare Advantage membership growth
- ▪Humana expanded its individual Medicare Advantage enrollment during 2026 despite an industrywide pullback and retreat by competing health insurance providers
- ▪Humana reported a 23% year-to-date increase in individual Medicare Advantage membership through the third quarter of 2026, tracking toward its goal of approximately 25% growth through 2026
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