Analysts at RBC Capital raised their price target on Humana Inc. (NYSE:HUM) to $544 from $541 following the company’s Virtual Investor Day meeting on Thursday.
Management updated its outlook, raising its 2022 adjusted EPS guidance to $25.00 from $24.75, reflecting 21% year-over-year growth. Management cites continued favorable Medicare and Medicaid cost trends as seen through the first half of the year, as well as a lack of incremental headwinds from COVID baked into prior guidance.
The company expects adjusted EPS to reach $37.00 in 2025, representing a 14% CAGR, which is near the upper end of the company’s prior 11-15% long-term EPS growth target.