Is UnitedHealth Group Stock a Good Investment?
UnitedHealth Group Investment Advice | UNH |
- Examine UnitedHealth Group's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research UnitedHealth Group's leadership team and their track record. Good management can help UnitedHealth Group navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Health Care Providers & Services space and any emerging trends that could impact UnitedHealth Group's business and its evolving consumer preferences.
- Compare UnitedHealth Group's performance and market position to its competitors. Analyze how UnitedHealth Group is positioned in terms of product offerings, innovation, and market share.
- Check if UnitedHealth Group pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about UnitedHealth Group's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in UnitedHealth Group Incorporated stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if UnitedHealth Group Incorporated is a good investment.
Sell | Buy |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine UnitedHealth Group Stock
Researching UnitedHealth Group's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 90.0% of the company outstanding shares are owned by institutional investors. The book value of UnitedHealth Group was at this time reported as 102.42. The company has Price/Earnings To Growth (PEG) ratio of 1.38. UnitedHealth Group recorded earning per share (EPS) of 15.4. The entity last dividend was issued on the 9th of December 2024. The firm had 2:1 split on the 31st of May 2005.
To determine if UnitedHealth Group is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding UnitedHealth Group's research are outlined below:
| UnitedHealth Group generated a negative expected return over the last 90 days | |
| UnitedHealth Group Incorporated has 62.54 B in debt with debt to equity (D/E) ratio of 0.59, which is OK given its current industry classification. UnitedHealth Group has a current ratio of 0.76, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for UnitedHealth to invest in growth at high rates of return. | |
| Over 90.0% of UnitedHealth Group outstanding shares are owned by institutional investors | |
| Latest headline from vanityfair.com: AI-Driven Health Care Is Turning Us Into Numbers on a Spreadsheet |
UnitedHealth Group uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in UnitedHealth Group Incorporated. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to UnitedHealth Group's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 12th of April 2024 Upcoming Quarterly Report | View | |
| 12th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 10th of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact UnitedHealth Group's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises UnitedHealth Group's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2000-02-10 | 1999-12-31 | 0.1 | 0.11 | 0.01 | 10 | ||
1999-08-05 | 1999-06-30 | 0.09 | 0.1 | 0.01 | 11 | ||
2000-10-27 | 2000-09-30 | 0.12 | 0.14 | 0.02 | 16 | ||
2010-01-21 | 2009-12-31 | 0.73 | 0.81 | 0.08 | 10 | ||
2012-01-19 | 2011-12-31 | 1.04 | 1.17 | 0.13 | 12 | ||
2009-10-20 | 2009-09-30 | 0.76 | 0.89 | 0.13 | 17 | ||
2009-04-21 | 2009-03-31 | 0.68 | 0.81 | 0.13 | 19 | ||
2012-04-19 | 2012-03-31 | 1.17 | 1.31 | 0.14 | 11 |
Know UnitedHealth Group's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as UnitedHealth Group is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading UnitedHealth Group Incorporated backward and forwards among themselves. UnitedHealth Group's institutional investor refers to the entity that pools money to purchase UnitedHealth Group's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Capital Research & Mgmt Co - Division 3 | 2024-09-30 | 14.7 M | Norges Bank | 2024-06-30 | 11.7 M | Northern Trust Corp | 2024-09-30 | 8.4 M | Legal & General Group Plc | 2024-09-30 | 8.3 M | Franklin Resources Inc | 2024-09-30 | 8.1 M | Royal Bank Of Canada | 2024-09-30 | 8 M | Wells Fargo & Co | 2024-09-30 | 7.9 M | Alliancebernstein L.p. | 2024-09-30 | 7.9 M | Bank Of New York Mellon Corp | 2024-09-30 | 7.9 M | Vanguard Group Inc | 2024-09-30 | 85 M | Blackrock Inc | 2024-06-30 | 73.4 M |
UnitedHealth Group's market capitalization trends
The company currently falls under 'Mega-Cap' category with a total capitalization of 458.76 B.Market Cap |
|
UnitedHealth Group's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.14 | 0.09 | |
| Return On Capital Employed | 0.19 | 0.22 | |
| Return On Assets | 0.08 | 0.06 | |
| Return On Equity | 0.25 | 0.26 |
Determining UnitedHealth Group's profitability involves analyzing its financial statements and using various financial metrics to determine if UnitedHealth Group is a good buy. For example, gross profit margin measures UnitedHealth Group's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of UnitedHealth Group's profitability and make more informed investment decisions.
Evaluate UnitedHealth Group's management efficiency
UnitedHealth Group has Return on Asset of 0.0692 % which means that on every $100 spent on assets, it made $0.0692 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1525 %, implying that it generated $0.1525 on every 100 dollars invested. UnitedHealth Group's management efficiency ratios could be used to measure how well UnitedHealth Group manages its routine affairs as well as how well it operates its assets and liabilities. As of now, UnitedHealth Group's Return On Capital Employed is increasing as compared to previous years. The UnitedHealth Group's current Return On Equity is estimated to increase to 0.26, while Return On Tangible Assets are projected to decrease to 0.09. As of now, UnitedHealth Group's Total Current Assets are increasing as compared to previous years. The UnitedHealth Group's current Intangible Assets is estimated to increase to about 16 B, while Other Current Assets are projected to decrease to under 6.2 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 106.59 | 111.92 | |
| Tangible Book Value Per Share | (21.56) | (20.48) | |
| Enterprise Value Over EBITDA | 16.17 | 13.13 | |
| Price Book Value Ratio | 5.50 | 3.19 | |
| Enterprise Value Multiple | 16.17 | 13.13 | |
| Price Fair Value | 5.50 | 3.19 | |
| Enterprise Value | 476.5 B | 500.3 B |
Leadership effectiveness at UnitedHealth Group Incorporated is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Dividend Yield 0.0169 | Forward Dividend Yield 0.0169 | Forward Dividend Rate 8.4 | Beta 0.591 |
Basic technical analysis of UnitedHealth Stock
As of the 17th of December 2024, UnitedHealth Group has the Risk Adjusted Performance of (0.07), variance of 4.47, and Coefficient Of Variation of (909.85). In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of UnitedHealth Group, as well as the relationship between them.UnitedHealth Group's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific UnitedHealth Group insiders, such as employees or executives, is commonly permitted as long as it does not rely on UnitedHealth Group's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases UnitedHealth Group insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Cianfrocco Heather over three months ago Disposition of 10712 shares by Cianfrocco Heather of UnitedHealth Group at 327.64 subject to Rule 16b-3 | ||
Andrew Witty over a year ago Payment of 372 shares by Andrew Witty of UnitedHealth Group subject to Rule 16b-3 | ||
Andrew Witty over a year ago Acquisition by Andrew Witty of 100 shares of UnitedHealth Group subject to Rule 16b-3 |
UnitedHealth Group's Outstanding Corporate Bonds
UnitedHealth Group issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. UnitedHealth Group uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most UnitedHealth bonds can be classified according to their maturity, which is the date when UnitedHealth Group Incorporated has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| UNIT 105 15 FEB 28 Corp BondUS91327TAA97 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PAR38 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCZ36 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCY60 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCX87 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCW05 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCV22 | View | |
| UNITEDHEALTH GROUP INC Corp BondUS91324PCR10 | View |
Understand UnitedHealth Group's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing UnitedHealth Group's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.39 | |||
| Coefficient Of Variation | (909.85) | |||
| Standard Deviation | 2.12 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.15) | |||
| Jensen Alpha | (0.35) | |||
| Total Risk Alpha | (0.46) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 10.83 | |||
| Value At Risk | (5.07) | |||
| Potential Upside | 2.53 | |||
| Skewness | (1.08) | |||
| Kurtosis | 3.39 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.39 | |||
| Coefficient Of Variation | (909.85) | |||
| Standard Deviation | 2.12 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.15) | |||
| Jensen Alpha | (0.35) | |||
| Total Risk Alpha | (0.46) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 10.83 | |||
| Value At Risk | (5.07) | |||
| Potential Upside | 2.53 | |||
| Skewness | (1.08) | |||
| Kurtosis | 3.39 |
Consider UnitedHealth Group's intraday indicators
UnitedHealth Group intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of UnitedHealth Group stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 563868.0 | |||
| Daily Balance Of Power | (0.66) | |||
| Rate Of Daily Change | 0.97 | |||
| Day Median Price | 485.71 | |||
| Day Typical Price | 485.65 | |||
| Price Action Indicator | (6.68) | |||
| Period Momentum Indicator | (12.98) |
UnitedHealth Group Corporate Filings
8K | 4th of December 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 15th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 4th of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
FWP | 24th of July 2024 A written communication used by offering participants to offer securities to the public or to solicit securities transactions. | ViewVerify |
UnitedHealth Stock media impact
Far too much social signal, news, headlines, and media speculation about UnitedHealth Group that are available to investors today. That information is available publicly through UnitedHealth media outlets and privately through word of mouth or via UnitedHealth internal channels. However, regardless of the origin, that massive amount of UnitedHealth data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of UnitedHealth Group news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of UnitedHealth Group relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to UnitedHealth Group's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive UnitedHealth Group alpha.
UnitedHealth Group Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards UnitedHealth Group can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
UnitedHealth Group Historical Investor Sentiment
Investor biases related to UnitedHealth Group's public news can be used to forecast risks associated with an investment in UnitedHealth. The trend in average sentiment can be used to explain how an investor holding UnitedHealth can time the market purely based on public headlines and social activities around UnitedHealth Group Incorporated. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
UnitedHealth Group's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for UnitedHealth Group and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average UnitedHealth Group news discussions. The higher the estimate score, the more favorable the investor's outlook on UnitedHealth Group.
UnitedHealth Group Corporate Directors
| Gail Wilensky | Independent Director | Profile | |
| Valerie Rice | Independent Director | Profile | |
| John Noseworthy | Independent Director | Profile | |
| William Ballard | Independent Director | Profile |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in UnitedHealth Group Incorporated. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Is Health Care Providers & Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of UnitedHealth Group. If investors know UnitedHealth will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about UnitedHealth Group listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.043 | Dividend Share 7.96 | Earnings Share 15.4 | Revenue Per Share 427.221 | Quarterly Revenue Growth 0.092 |
The market value of UnitedHealth Group is measured differently than its book value, which is the value of UnitedHealth that is recorded on the company's balance sheet. Investors also form their own opinion of UnitedHealth Group's value that differs from its market value or its book value, called intrinsic value, which is UnitedHealth Group's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because UnitedHealth Group's market value can be influenced by many factors that don't directly affect UnitedHealth Group's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between UnitedHealth Group's value and its price, as these two are different measures arrived at by various means. Investors typically determine if UnitedHealth Group is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, UnitedHealth Group's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.