Humana (HUM) shares were down about 22% in Wednesday's premarket activity after it disclosed in a regulatory filing that the number of members enrolled for 2025 in its Medicare Advantage Plans rated four stars or higher fell to 25%, or 1.6 million, from 94% in 2024.
The company said a driver of these results was one of its contracts with 45% of its Medicare Advantage members decreasing to a 3.5-star rating from a 4.5 star rating.
The company said its 2025 stars results are not expected to impact the company's financial results or outlook for 2024 or 2025. It is attempting to challenge some of the numbers that led to the decline, the company added.
Humana said in the regulatory filing that it is "disappointed with its performance and has initiatives underway focused on improving its operating discipline and returning to an industry-leading stars position as quickly as possible."
Price: 217.99, Change: -61.46, Percent Change: -21.99
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