Here’s What Makes Humana (HUM) a Good Long-Term Investment

Diamond Hill Capital Management, an investment advisor, released its “Large Cap Strategy” second quarter 2022 investor letter. A copy of the same can be downloaded here. Despite a challenging second quarter, the fund outperformed the Russell 1000 Index. Favorable stock selection in the technology and consumer discretionary sectors contributed positively to the fund’s performance in the quarter. In addition, you can check the top 5 holdings of the fund to know its best choices in 2022.

Diamond Hill Capital Management discussed stocks like Humana Inc. (NYSE:HUM) in the second quarter 2022 investor letter. Headquartered in Louisville, Kentucky, Humana Inc. (NYSE:HUM) is an American health and well-being company. On September 30, 2022, Humana Inc. (NYSE:HUM) stock closed at $485.19 per share. One-month return of Humana Inc. (NYSE:HUM) was 0.16% and its shares gained 23.92% of their value over the last 52 weeks. Humana Inc. (NYSE:HUM) has a market capitalization of $61.403 billion.

Here is what Diamond Hill Capital Management specifically said about Humana Inc. (NYSE:HUM) in its Q2 2022 investor letter:

“Humana Inc. (NYSE:HUM) stock has experienced higher volatility over the past year, and its 7% advance in Q2 largely reflected a recovery from the strong selloff that followed a disappointing pullback in its Medicare Advantage member enrollment guidance for 2022 back in January. Despite the near-term volatility, we are confident in Humana’s long-term value creation plan and its ability to achieve market enrollment growth and improvement in its health care services businesses.”

Humana Inc. (NYSE:HUM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 69 hedge fund portfolios held Humana Inc. (NYSE:HUM) at the end of the second quarter which was 66 in the previous quarter.

We discussed Humana Inc. (NYSE:HUM) in another article and shared the list of stocks that Jim Cramer is monitoring for market recovery. In addition, please check out our hedge fund investor letters Q2 2022 page for more investor letters from hedge funds and other leading investors.

Disclosure: None. This article is originally published at Insider Monkey.