Centene Corp (CNC)vsHumana Inc (HUM)
CNC
Centene Corp
$67.05
-2.42%
HEALTHCARE · Cap: $34.16B
HUM
Humana Inc
$411.87
-0.72%
HEALTHCARE · Cap: $49.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 24% more annual revenue ($180.30B vs $145.68B). HUM leads profitability with a 0.9% profit margin vs -2.8%. CNC appears more attractively valued with a PEG of 0.75. HUM earns a higher WallStSmart Score of 64/100 (C+).
CNC
Buy56
out of 100
Grade: C
HUM
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+84.6%
Fair Value
$262.17
Current Price
$67.05
$195.12 discount
Margin of Safety
+8.2%
Fair Value
$423.98
Current Price
$411.87
$12.11 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Generating 4.2B in free cash flow
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 26.2% year-over-year
Earnings expanding 27.1% YoY
Areas to Watch
4.6% revenue growth
Operating margin of 3.8%
ROE of -22.6% — below average capital efficiency
Currently unprofitable
Premium valuation, high expectations priced in
ROE of 6.7% — below average capital efficiency
0.9% margin — thin
Operating margin of 3.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.75 suggests the stock is reasonably priced for its growth.
Bull Case : HUM
The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 26.2% demonstrates continued momentum. PEG of 1.25 suggests the stock is reasonably priced for its growth.
Bear Case : CNC
The primary concerns for CNC are Revenue Growth, Operating Margin, Return on Equity.
Bear Case : HUM
The primary concerns for HUM are P/E Ratio, Return on Equity, Profit Margin. Thin 0.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
CNC profiles as a turnaround stock while HUM is a growth play — different risk/reward profiles.
CNC carries more volatility with a beta of 1.13 — expect wider price swings.
HUM is growing revenue faster at 26.2% — sustainability is the question.
CNC generates stronger free cash flow (4.2B), providing more financial flexibility.
Bottom Line
HUM scores higher overall (64/100 vs 56/100) and 26.2% revenue growth. CNC offers better value entry with a 84.6% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
Humana Inc
HEALTHCARE · HEALTHCARE PLANS · USA
Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.
Visit Website →Compare with Other HEALTHCARE PLANS Stocks
Want to dig deeper into these stocks?