Aureus
FRed Flag

Humana Inc.(HUM)

F

Financial data as of Dec 31, 2024Declining · Healthcare

FCF Margin2.0%Free Cash Flow / Revenue
Cash Conversion245.7%Operating CF / Net Income
Free Cash Flow$2.4B
Revenue$117.8B
Net Cash-$9.5BNet debt position
Debt / FCF4.9xElevated debt burden
Current Ratio0.00Tight short-term liquidity
YoY FCF Growth-51.6%4 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseF
→
-1Current ratio below 1.0 (0.00)
→
-1Significant YoY FCF decline (-51.6%)
→
-0.5Highly volatile FCF (consistency: 1.26)
→
FinalF

Analysis Summary

Strengths

  • Excellent cash conversion (246%)

Concerns

  • Low FCF margin (2.0%)
  • Net debt position ($9.5B)
  • Current ratio below 1.0 — tight short-term liquidity
  • Significant YoY FCF decline (-51.6%)
  • Highly volatile quarterly FCF
  • Significant FCF decline (-51.6% YoY)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin2.0%
Net Margin1.0%
Operating CF Margin2.5%
CapEx Ratio0.5%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$9.5BNet debt position
Debt / FCF4.9xElevated debt burden
Current Ratio0.00Tight liquidity
Debt / Equity0.72Low leverage

Quarterly FCF Trend

-51.6% YoYDeclining (-51.6%)

Free cash flow per quarter

Sector Comparison — Healthcare

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameHumana Inc.
SectorHealthcare
Free Cash Flow$2.4B
Revenue$117.8B
Net Income$1.2B
Operating Cash Flow$3.0B
Capital Expenditure$575.0M
FCF Margin2.0%
Cash Conversion Rate245.7%
Net Margin1.0%
Total Debt$11.7B
Total Cash$2.2B
Net Cash-$9.5B
Current Ratio0.00
Debt / Equity0.72
Debt / FCF4.9x
YoY FCF Growth-51.6%
Positive Quarters4 of 5
Trend DirectionDeclining
Report DateDec 31, 2024
GradeF
Data SourceYahoo Finance

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