1. Humana's Q3 earnings exceeded estimates at $3.24. 2. Sales rose to $32.65 billion, driven by Medicare premiums. 3. Total medical membership dropped to 14.99 million. 4. Adjusted EPS guidance for 2025 is reaffirmed at $17.00. 5. HUM shares fell 6.56% to $263.37 post-reporting.
Despite beating earnings, declining membership affects investor sentiment similarly to historical trends when companies report strong earnings but declining customer numbers.
The earnings surpassed estimates but the drop in membership could influence future growth, making it significant for investors.
The immediate market response reflects short-term investor concerns over declining membership rather than long-term fundamentals.