Humana's Options Frenzy: What You Need to Know

Financial giants have made a conspicuous bearish move on Humana. Our analysis of options history for Humana HUM revealed 11 unusual trades.

Delving into the details, we found 36% of traders were bullish, while 45% showed bearish tendencies. Out of all the trades we spotted, 5 were puts, with a value of $181,110, and 6 were calls, valued at $691,180.

Latest Startup Investment Opportunities:

Expected Price Movements

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $362.5 to $430.0 for Humana during the past quarter.

Volume & Open Interest Trends

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Humana's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Humana's whale activity within a strike price range from $362.5 to $430.0 in the last 30 days.

Humana 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Humana

Humana is one of the largest private health insurers in the us with a focus on administering Medicare Advantage plans. The firm has built a niche specializing in government-sponsored programs, with nearly all its medical membership stemming from individual and group Medicare Advantage, Medicaid, and the military's Tricare program. The firm is also a leader in stand-alone prescription drug plans for seniors enrolled in traditional fee-for-service Medicare. Beyond medical insurance, the company provides other healthcare services, including primary-care services, at-home services, and pharmacy benefit management.

Following our analysis of the options activities associated with Humana, we pivot to a closer look at the company's own performance.

Humana's Current Market Status

• Trading volume stands at 370,960, with HUM's price up by 0.92%, positioned at $376.79.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 21 days.

What The Experts Say On Humana

Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $375.3333333333333.

• In a cautious move, an analyst from Morgan Stanley downgraded its rating to Equal-Weight, setting a price target of $374.
• Reflecting concerns, an analyst from Cantor Fitzgerald lowers its rating to Neutral with a new price target of $360.
• In a cautious move, an analyst from Piper Sandler downgraded its rating to Overweight, setting a price target of $392.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Humana, Benzinga Pro gives you real-time options trades alerts.