Shortly after the opening bell, we will exit our position in Humana , selling 85 shares at roughly $388.
Following the trade, Jim Cramer's Charitable Trust will no longer own shares in the managed care provider.
Humana shares are falling in the premarket on a couple of negative updates that are meaningful enough to change our investment thesis — forcing us to sell the rest of our very small position.
The reason behind the shortfall was higher-than-expected Medicare Advantage medical costs, driven by greater inpatient utilization and a further increase in outpatient surgery costs.
Shortly before we first bought Humana in 2022, the company announced a similar shortfall to its Medicare Advantage growth.
Persons:
Jim Cramer's, Humana, reinvest, Jim Cramer, Jim
Organizations:
Humana, Jim Cramer's Charitable, CNBC