We evaluated 18 different companies this week to determine whether they are suitable for Defensive Investors, those unwilling to do substantial research, or Enterprising Investors, those who are willing to do such research. We also put each company through the ModernGraham valuation model based on Benjamin Graham’s value investing formulas in order to determine an intrinsic value for each. Here’s a summary of the ModernGraham Valuations.
Humana qualifies for the Enterprising Investor but not the Defensive Investor. The Defensive Investor is concerned by the company’s short dividend history while the Enterprising Investor has no initial issues with the company.