Shares of Humana Inc. (NYSE: HUM) have dropped 30.2% over the past month to close at $240.03 on Friday. The steep declines last week have pushed the stock's price closer to the lower end of its 52-week range of $213.31-$530.54. Having underperformed its peers like Molina Healthcare, Inc. (NYSE: MOH) and Centene Corporation (NYSE: CNC), the overall industry, and the S&P 500, the company's current share price seems an excellent opportunity to build a position in a renowned HMO company. After all, you would much rather buy closer to the low than the high, right?
One-Month Price Performance
Image Source: Zacks Investment Research
HUM is trading below its 50 and 200-day moving averages, indicating a bearish outlook. Buying closer to the low can be attractive, but context matters - let's explore further.
HUM's Falling Stars
HUM experienced its worst share price fall since the financial crisis due to losing high-quality ratings on its major Medicare Advantage plans, ...
