UPDATE: Stifel Nicolaus Downgrades Humana on Best Case Scenario

In a report published Thursday, Stifel Nicolaus analyst Thomas Carroll downgraded Humana HUM from Buy to Hold, and removed the $90.00 price target.

In the report, Stifel Nicolaus noted, “Humana has not merely managed its challenges this year - it has achieved what we would call best case scenarios - a great endorsement of the management team. This has resulted in strong stock performance YTD (14.1pps over S&P500), and even better from lows reached (March 22) during the uncertainty of the 45-day notice (28.2pps over S&P500). In our view, catalysts that combine low expectations and best case scenario results may be few for the remainder of the year. Conversely, investors may begin to harvest profits as we approach 2014 and the actual implementation of the Affordable Care Act. As such, we are moving to the sidelines in anticipation of a better entry point toward year end or pre 1Q14 reporting when uncertainty may again be rampant.”

Humana closed on Wednesday at $91.26.