Cantor upgrades Humana, sees strong Medicare margin recovery in 2027
BUZZ-Cantor upgrades Humana, sees strong Medicare margin recovery in 2027 ** Cantor Fitzgerald upgrades health insurer Humana HUM.N to "overweight" from "neutral" and raises PT to $460 from $300
** Brokerage raises 2027 EPS est. to $17.96 from $15.86 and 2028 est. to $28.27 from $25.38, citing greater confidence in HUM's Medicare Advantage profit margins and quality-rating recovery
** Cantor expects Medicare quality scores due this week to be positive; stronger ratings would help HUM earn higher government bonus payments in 2028
** Brokerage says pricing, benefit changes and efforts to control medical costs could drive strong Medicare margin improvement in 2027
** Sees HUM's 2027 forecast and confirmation that 2027 enrollment is in line with expectations as the next potential catalysts after the quality-score release
** Cantor says HUM trades at 9.9 times the midpoint of management's 2028 earnings outlook vs its historical average of about 18 times
(Reporting by Kunal Das in Bengaluru)