UnitedHealth Group (NYSE:UNH) Trading Down 2.7% on Analyst Downgrade

Shares of UnitedHealth Group Incorporated (NYSE:UNH) fell 2.7% during trading on Thursday after Mizuho lowered their price target on the stock from $430.00 to $350.00. Mizuho currently has an outperform rating on the stock. UnitedHealth Group traded as low as $266.29 and last traded at $268.5420. 12,703,984 shares traded hands during trading, an increase of 10% from the average session volume of 11,568,907 shares. The stock had previously closed at $275.92.

UNH has been the topic of a number of other reports. Barclays dropped their price objective on shares of UnitedHealth Group from $391.00 to $327.00 and set an “overweight” rating on the stock in a research note on Friday, January 30th. Bank of America raised their price objective on UnitedHealth Group from $350.00 to $390.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 8th. Weiss Ratings reissued a “hold (c-)” rating on shares of UnitedHealth Group in a research report on Wednesday, January 21st. UBS Group dropped their price target on UnitedHealth Group from $430.00 to $410.00 and set a “buy” rating on the stock in a research note on Wednesday, January 28th. Finally, TD Cowen upped their target price on UnitedHealth Group from $335.00 to $338.00 and gave the company a “hold” rating in a research report on Thursday, October 30th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, UnitedHealth Group presently has an average rating of “Moderate Buy” and an average target price of $372.13.

Key Headlines Impacting UnitedHealth Group

Here are the key news stories impacting UnitedHealth Group this week:

• Positive Sentiment: Bull-case / buy-the-dip analysis argues the selloff is overdone and highlights UNH’s long-term growth, management execution, AI-driven cost initiatives and insider buying as reasons to consider accumulating shares. UnitedHealth: Buy The Dip
• Positive Sentiment: Analyst consensus remains constructive — many services still rate UNH a buy/moderate buy, supporting the view that the company retains institutional support despite the selloff. Consensus Recommendation Moderate Buy
• Neutral Sentiment: Mizuho lowered its price target from $430 to $350 but kept an “outperform” rating — a signal that some analysts see medium-term upside even as near-term risk forces model changes. Mizuho Lowers PT
• Neutral Sentiment: UNH has been a focus of heavy investor searches and commentary this week, increasing volatility and trading volume as market participants reassess catalysts and risks. Investors Heavily Search UNH
• Neutral Sentiment: Corporate personnel note: Optum/UnitedHealth executive Terry Clark was appointed CEO at the PGA of America — a managerial move that is organizationally notable but not material to UNH fundamentals. Terry Clark PGA Appointment
• Negative Sentiment: Q4: UNH slightly beat EPS but reported rising medical costs, compressed margins and flagged Medicare reimbursement risk — coverage of the print says the beat couldn’t stop a sharp share decline as forward visibility worsened. Q4 Beat Can’t Stop the Slide
• Negative Sentiment: Regulatory risk: reports that UnitedHealth faces a Department of Justice probe and other regulatory questions have heightened uncertainty about future returns and the legal/regulatory outlook. DOJ Probe Report
• Negative Sentiment: Additional negative coverage and analyst commentary emphasize operational headwinds (reimbursement pressure, cost trends and a revenue miss vs. some expectations), reinforcing the near-term selloff narrative. More Bad News

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Leuthold Group LLC acquired a new stake in UnitedHealth Group in the 4th quarter valued at about $9,287,000. Kinsale Capital Group Inc. boosted its stake in UnitedHealth Group by 5.6% during the fourth quarter. Kinsale Capital Group Inc. now owns 31,794 shares of the healthcare conglomerate’s stock worth $10,495,000 after buying an additional 1,688 shares during the last quarter. Ranch Capital Advisors Inc. purchased a new position in shares of UnitedHealth Group during the 4th quarter worth $566,000. Guardian Capital LLC purchased a new stake in shares of UnitedHealth Group in the fourth quarter valued at about $1,253,000. Finally, Chancellor Financial Group WB LP boosted its holdings in UnitedHealth Group by 3.6% in the 4th quarter. Chancellor Financial Group WB LP now owns 4,244 shares of the healthcare conglomerate’s stock valued at $1,401,000 after purchasing an additional 147 shares during the last quarter. Hedge funds and other institutional investors own 87.86% of the company’s stock.

UnitedHealth Group Trading Down 2.7%

The stock has a market cap of $243.26 billion, a PE ratio of 20.36, a price-to-earnings-growth ratio of 1.31 and a beta of 0.41. The company has a debt-to-equity ratio of 0.72, a quick ratio of 0.82 and a current ratio of 0.79. The company’s 50-day moving average price is $328.16 and its 200 day moving average price is $323.39.

UnitedHealth Group (NYSE:UNH) last released its quarterly earnings results on Tuesday, January 27th. The healthcare conglomerate reported $2.11 earnings per share for the quarter, topping analysts’ consensus estimates of $2.09 by $0.02. UnitedHealth Group had a return on equity of 14.79% and a net margin of 2.69%.The business had revenue of $113.22 billion during the quarter, compared to analysts’ expectations of $113.38 billion. During the same period in the prior year, the business posted $6.81 EPS. The company’s revenue was up 12.3% compared to the same quarter last year. UnitedHealth Group has set its FY 2026 guidance at 17.750- EPS. On average, sell-side analysts forecast that UnitedHealth Group Incorporated will post 29.54 EPS for the current fiscal year.

UnitedHealth Group Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 16th. Stockholders of record on Monday, December 8th were given a dividend of $2.21 per share. This represents a $8.84 annualized dividend and a dividend yield of 3.3%. The ex-dividend date was Monday, December 8th. UnitedHealth Group’s dividend payout ratio (DPR) is currently 67.02%.

UnitedHealth Group Company Profile

UnitedHealth Group Inc is a diversified health care company headquartered in Minnetonka, Minnesota, that operates two primary business platforms: UnitedHealthcare and Optum. Founded in 1977, the company provides a broad range of health benefits and health care services to individuals, employers, governmental entities and other organizations. Its operations span commercial employer-sponsored plans, individual and Medicare and Medicaid programs, and services for customers and health systems in the United States and selected international markets.

UnitedHealthcare is the company’s benefits business, administering health plans and networks, managing provider relationships, and offering coverage products for employers, individuals, and government-sponsored programs.