When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Despite a rare earnings miss, CEO departure, DOJ investigation, and guidance withdrawal, we view UNH as a strong long-term buy at current depressed valuations. UNH's robust balance sheet, healthy dividend coverage, and potential for substantial share buybacks should create a valuation floor and support near-term downside protection. Even in a worst-case 30% y/y EPS decline, UNH trades well below historical and market multiples, offering an attractive entry point in our view.
UnitedHealth Group (UNH) reached $305.75 at the closing of the latest trading day, reflecting a +1.68% change compared to its last close.
UNH ramps up AI use to cut costs, boost efficiency, and reshape healthcare workflows, but legal risks remain.
Although UnitedHealth's (NYSE: UNH) stock has plummeted 40% in 2025, insider confidence in the company has surged to new highs, with executive purchases of shares spiking by nearly 3,000%.
UnitedHealth Group (NYSE: UNH) stock has had a rough ride in 2025, plunging 40% year-to-date. Despite the turmoil, members of Congress have continued to buy shares.
The latest trading day saw UnitedHealth Group (UNH) settling at $302.01, representing a -1.69% change from its previous close.
I'm bullish on UNH due to its diversified business model, driving strong revenue growth and resilience amid Medicaid budget cuts and sector volatility. Despite federal healthcare cuts, UnitedHealth is gaining new clients and expanding in self-funded and senior care, reflecting strong demand for its innovative offerings. Financials are robust: Q1'25 revenues are up 8.7% YoY, margins improving, low debt risk, and the stock trades at a discount to peers despite superior profitability.
UnitedHealth's selloff is a market overreaction to temporary Medicare Advantage headwinds, not a sign of permanent impairment in its business model. UNH's diversified revenue streams, especially Optum's 43% profit contribution, provide stability and growth, making the current valuation highly attractive. Temporary utilization spikes from deferred care and premium-driven behavior are expected to normalize, while 2026 repricing should restore margins and profitability.
CVS gains steam as rising margins, strong Medicare results, and cost cuts set it apart from UNH.
Investors long trusted UnitedHealth to deliver earnings beats, despite limited transparency. Now they want answers.
Downgrades are detrimental to a stock's price momentum and often lead to sustained downtrends. However, sometimes good stocks are plagued by bad news that ultimately leads to a buying opportunity.