Humana price target lowered to $427 from $550 at TD Cowen

TD Cowen analyst Gary Taylor lowered the firm’s price target on Humana to $427 from $550 and keeps an Outperform rating on the shares. The firm noted its disappointing 4Q23 results and 2024-25 earnings guidance have weighed heavily on the stock and they attribute most of the headwind to the broad year-long acceleration of medical cost trend that spiked in 4Q, and the natural TBC and enrollment constraints on the achievable annual margin recovery slope.