UnitedHealth Group Inc (NYSE:UNH, ETR:UNH) reported second-quarter earnings that fell short of Wall Street expectations and reinstated a full-year forecast well below consensus. The company posted adjusted earnings of $4.08 per share for the quarter ended June 30, significantly below analysts' estimates of $4.45, and marking a 14% decline from a year earlier.
Q2 was challenging. Management can address profitability by repricing, optimizing care strategies, and adjusting for higher member usage, though a turnaround will take several quarters. Despite regulatory scrutiny and operational challenges, the business remains profitable.
UnitedHealth Group (UNH) came out with quarterly earnings of $4.08 per share, missing the Zacks Consensus Estimate of $4.84 per share. This compares to earnings of $6.8 per share a year ago.
UnitedHealth Group profits fell to $3.4 billion in the second quarter as the giant provider of health benefits and services grapples with rising costs of providing health insurance to millions of Americans.
The company sees 2025 adjusted earnings of ‘at least' $16 a share and revenue in the range of $445.5 billion to $448 billion.
Shares of UnitedHealth Group (UNH) fell in premarket trading Tuesday after the health insurance giant's second-quarter profit came in worse than analysts had forecast.
UnitedHealth posted a smaller profit in its latest quarter while a metric favored by Wall Street came in below estimates.
UnitedHealth has reinstated full-year profit forecast that it pulled over two months ago, but its guidance fell short of analysts' already-lowered expectations, as the U.S. health insurer battles rising costs in its government-backed plans.
UNH leans on Optum's diversified growth and value-based care to counter insurance sector margin pressure in Q2.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
UnitedHealth (NYSE:UNH) is set to release its earnings on Tuesday, July 29, 2025. Analyzing the past five years of data, UNH stock has exhibited a trend of positive one-day returns after earnings announcements in 53% of cases.
UnitedHealth's second-quarter earnings comes two and a half months since Chairman and CEO Stephen Hemsley retook the role of chief executive. Investors will be watching for how Hemsley plans to stabilize the company's embattled Medicare Advantage program and Optum Health physician practices.