Stars Worries Dim Otherwise Strong 1Q Showing for Humana
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May 02, 2025
Continuing a trend of avoiding the Medicare Advantage pitfalls that dogged UnitedHealth Group’s first-quarter earnings, Humana Inc. on April 30 reported results that indicated it is keeping MA costs under control. Still, uncertainty about the outcome of Star Ratings litigation gave some investors pause.
During the company’s conference call to discuss first-quarter financial results, “we were pleased to see management reiterate guidance on what appears to be a benign Medicare Advantage cost environment relative to expectations,” RBC Capital Markets’ Ben Hendrix advised investors. “We were particularly pleased to hear that…completed claims through February and significant data through April suggest that trends are remaining in line with initial guidance.”
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