Humana Inc (HUM)vsAT&T Inc. (T)
HUM
Humana Inc
$350.08
+0.08%
HEALTHCARE · Cap: $45.53B
T
AT&T Inc.
$22.75
-1.92%
COMMUNICATION SERVICES · Cap: $161.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Humana Inc generates 8% more annual revenue ($137.20B vs $126.53B). T leads profitability with a 16.9% profit margin vs 0.8%. T appears more attractively valued with a PEG of 1.63. T earns a higher WallStSmart Score of 64/100 (C+).
HUM
Buy52
out of 100
Grade: C-
T
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+23.7%
Fair Value
$403.67
Current Price
$350.08
$53.59 discount
Margin of Safety
+15.7%
Fair Value
$27.48
Current Price
$22.75
$4.73 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 23.5% year-over-year
Generating 1.1B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Large-cap with strong market position
Strong operational efficiency at 22.7%
Generating 2.7B in free cash flow
Areas to Watch
Expensive relative to growth rate
ROE of 6.1% — below average capital efficiency
0.8% margin — thin
Operating margin of 4.7%
Expensive relative to growth rate
2.9% revenue growth
Elevated debt levels
Earnings declined 11.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : HUM
The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 23.5% demonstrates continued momentum.
Bull Case : T
The strongest argument for T centers on P/E Ratio, Price/Book, Market Cap. Profitability is solid with margins at 16.9% and operating margin at 22.7%.
Bear Case : HUM
The primary concerns for HUM are PEG Ratio, Return on Equity, Profit Margin. A P/E of 40.5x leaves little room for execution misses. Thin 0.8% margins leave little buffer for downturns.
Bear Case : T
The primary concerns for T are PEG Ratio, Revenue Growth, Debt/Equity.
Key Dynamics to Monitor
HUM profiles as a growth stock while T is a value play — different risk/reward profiles.
HUM carries more volatility with a beta of 0.77 — expect wider price swings.
HUM is growing revenue faster at 23.5% — sustainability is the question.
T generates stronger free cash flow (2.7B), providing more financial flexibility.
Bottom Line
T scores higher overall (64/100 vs 52/100), backed by strong 16.9% margins. HUM offers better value entry with a 23.7% 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.
Humana Inc
HEALTHCARE · HEALTHCARE PLANS · USA
Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.
Visit Website →AT&T Inc.
COMMUNICATION SERVICES · TELECOM SERVICES · USA
AT&T Inc. is an American multinational conglomerate holding company, Delaware-registered but headquartered at Whitacre Tower in Downtown Dallas, Texas. It is the world largest telecommunications company, and the second largest provider of mobile telephone services.
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