Is UnitedHealth overvalued?

Asked by: Mrs. Freeda Flatley Sr.  |  Last update: December 21, 2023
Score: 4.9/5 (60 votes)

With its 3-star rating, we believe UnitedHealth stock is fairly valued, in line with our long-term estimate. We are raising our fair value estimate to $462 per share from $426 due to recent cash flows and strong trends. Our fair value estimate puts UnitedHealth at 18 times 2023 expected earnings.

Is UnitedHealth Group a good stock to buy?

Over the past decade, the stock's shares have risen more than 597%, while earnings per share (EPS) have climbed 285%. The decline in the stock's price presents an opportunity to buy a solid company with great long-term growth prospects.

Is UnitedHealth a good long term investment?

Johnson & Johnson (JNJ -0.55%) and UnitedHealth Group (UNH -0.04%) are considered great healthcare stocks to hold for the long term because of their size, steady cash flow, and above-average dividends.

Is UnitedHealthcare a buy sell or hold?

UnitedHealth currently has an average brokerage recommendation (ABR) of 1.45, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 19 brokerage firms. An ABR of 1.45 approximates between Strong Buy and Buy.

Is UNH a good long term investment?

UnitedHealth Group (UNH -0.60%) is a top health insurer in the country that continues to grow via acquisitions. And historically it has been a phenomenal buy. When including its dividend, its total return comes to around 900% over the past 10 years. That's about enough to a turn a $100,000 investment into $1 million.

UnitedHealth Group (UNH) Stock | Long-Term Analysis | Overvalued or Undervalued |

22 related questions found

What is the future price of UNH?

UNH Stock 12 Months Forecast

Based on 18 Wall Street analysts offering 12 month price targets for UnitedHealth in the last 3 months. The average price target is $589.72 with a high forecast of $650.00 and a low forecast of $524.00.

What is the future of United Healthcare stock?

Stock Price Forecast

The 24 analysts offering 12-month price forecasts for UnitedHealth Group Inc have a median target of 571.00, with a high estimate of 650.00 and a low estimate of 489.00. The median estimate represents a +27.14% increase from the last price of 449.11.

Does Warren Buffett own Unitedhealthcare?

Berkshire Hathaway's Unitedhealth Group Stake

Warren Buffett started to build up the position in Unitedhealth Group in Q4 2006 and continued to invest until Q1 2008. Since then they sold 6.4 Million shares. The investor completely sold their stake between Q3 2008 and Q1 2010.

What is the target price for UNH in 2023?

Unitedhealth Group Stock Forecast & Predictions: 1Y Price Target $582.36 | Buy or Sell NYSE: UNH 2023 | WallStreetZen.

Why is UnitedHealthcare stock tanking?

Health insurer stocks dropped after UnitedHealth Group warned of higher medical costs as older Americans start to catch up on surgeries they delayed during the Covid-19 pandemic. Shares of UnitedHealth, Humana, Elevance Health and CVS Health all declined.

Why is UnitedHealth stock falling?

Key Points. UnitedHealth Group and other insurers could be hit by rising numbers of elective surgeries that were put off during the pandemic. UnitedHealth has increased revenue for 10 consecutive quarters. The company's Optum services segment could benefit, though, from increased elective surgeries.

Is UnitedHealthcare profitable?

UnitedHealth Group extended its streak as the most profitable company among major national insurers in the first quarter of 2023, reporting $5.6 billion in earnings.

Is UnitedHealth a blue chip stock?

UnitedHealth is one of the biggest blue-chip health care companies, reporting 13% year-over-year revenue growth and $26.2 billion in cash flows from operations in 2022.

Who owns the most United Healthcare stock?

The Vanguard Group, Inc. is currently the largest shareholder, with 9.1% of shares outstanding. For context, the second largest shareholder holds about 8.0% of the shares outstanding, followed by an ownership of 6.4% by the third-largest shareholder.

How often does UnitedHealth pay dividends?

UnitedHealth Group Incorporated's ( UNH ) ex-dividend date is June 15, 2023 , which means that buyers purchasing shares on or after that date will not be eligible to receive the next dividend payment. UnitedHealth Group Incorporated ( UNH ) pays dividends on a quarterly basis.

What is good year price target?

What is Goodyear Tire & Rubber Company's price target? The average price target for Goodyear Tire & Rubber Company is $14.20. This is based on 5 Wall Streets Analysts 12-month price targets, issued in the past 3 months.

How high will Eli Lilly stock go?

Stock Price Forecast

The 22 analysts offering 12-month price forecasts for Eli Lilly and Co have a median target of 474.66, with a high estimate of 551.00 and a low estimate of 300.00. The median estimate represents a +9.04% increase from the last price of 435.29.

Where does UnitedHealthcare rank on fortune?

Fortune magazine ranked UnitedHealth Group No. 5 in the 2023 rankings of the 500 largest U.S. corporations based on 2022 revenues. UnitedHealth Group has been named to the Dow Jones Sustainability World and North America Indices since 1999.

Who is UnitedHealthcare buying?

Just weeks after securing a federal court win allowing their merger to go forward, UnitedHealth Group has completed its controversial acquisition of Change Healthcare. The insurance giant announced the deal's closure on Monday morning.

How does UnitedHealthcare make their money?

UNH is the world's largest healthcare company by revenue. UNH generates money from premiums on risk-based products, fees from various services, sales of healthcare products, and services & investment.

When was the last time United Healthcare stock split?

The most recent stock split occured on May 31st, 2005. One UNH share bought prior to September 16th, 1992 would equal to 32 UNH shares today.

Is UnitedHealth a dividend stock?

UNH pays a dividend of $1.88 per share. UNH's annual dividend yield is 1.41%. When is UnitedHealth ex-dividend date? UnitedHealth's previous ex-dividend date was on Jun 14, 2023.