Pre-market futures are up this morning, riding 5-straight up-days on the tech-heavy Nasdaq. The Dow is so far recovering from its UnitedHealth ( UNH ) sell-off yesterday, up +85 points at this hour.
After the health insurer pulled its outlook for the year, analysts rushed to cut their predictions on the stock.
Surging medical costs and regulatory changes hit UnitedHealth, but rivals such as Humana and CVS look better positioned.
The health insurer joins Walt Disney, Starbucks and others in turning to a former leader to guide the company through tough times.
The S&P 500 climbed 0.7% and the Nasdaq rose 1.6% Tuesday as investors reacted to positive data on inflation and tech stocks surged, extending Monday's gains on easing trade tensions. The Dow Jones Industrial Average finished 0.6% lower, weighed down by the poor performance of constituent UnitedHealth Group (UNH).
UnitedHealth Group Chairman Stephen Hemsley is returning to helm the health care conglomerate once again. He will replace Andrew Witty effective immediately.
CNBC's Bertha Coombs joins 'The Exchange' to discuss UnitedHealth's disappointing guidance and its CEO stepping down.
UnitedHealth Group CEO Andrew Witty has stepped down unexpectedly and company veteran Stephen Hemsley is returning to the top role to steer the healthcare conglomerate through one of its most challenging periods.
UnitedHealth CEO Andrew Witty is stepping down for personal reasons and the nation's largest health insurer suspended its full-year financial outlook due to higher-than-expected medical costs.Chairman Stephen Hemsley will become CEO, effective immediately, the Minnesota company said.Hemsley was UnitedHealth Group CEO from 2006 to 2017. He will remain chairman of the company's board.
U.S. equities were mixed at midday, boosted by tech stocks and a new report showing consumer inflation came in lower than expected. The Nasdaq was up 1.5%, and the S&P 500 rose almost 1%.
UnitedHealth Group Inc (NYSE:UNH) stock is dragging the Dow and its sector today, after the health insurer suspended its 2025 guidance amid steeper-than-anticipated expenditure issues.
UnitedHealth Group Incorporated faces a dramatic stock drop following a rare earnings miss, where Q1 revenues fell short by $2 billion and EPS missing by $0.09. CEO Andrew Witty's sudden resignation and the company's withdrawal of all guidance due to higher-than-expected costs have further shaken investor confidence. The company is grappling with increased insurance usage and costs, particularly in Medicare Advantage, impacting its ability to provide accurate future earnings guidance.