Analysts Trim Value Targets however See Lengthy-Time period Worth in UnitedHealth (UNH)
UnitedHealth Group Inc. (NYSE:UNH) is among the most oversold S&P 500 shares to this point in 2025. Whereas the inventory was down solely marginally in 2024, it has declined considerably in 2025, inserting it among the many prime three oversold shares. The downturn primarily started with a weak quarterly outcome and a revision of steering in April 2025, and was additional exacerbated by the CEO’s stepping down and the suspension of steering in Might.
As the corporate approaches its Q2 2025 earnings outcomes, steering, and administration’s development plan have come beneath renewed scrutiny. On July 9, Barclays analyst Andrew Mok revised his value goal on the corporate, decreasing it from $350 to $337 forward of the corporate’s Q2 earnings launch scheduled for July 29. Regardless of the adjustment, he maintained a Purchase score on the inventory.
An older Medicare-eligible shopper smiling fortunately whereas receiving healthcare companies at a clinic.
The decrease goal displays a discount in Mok’s earnings per share forecast for 2026. Whereas he hasn’t modified his constructive view on the corporate’s long-term potential, the revision suggests a extra cautious stance on its earnings outlook over the subsequent couple of years.
In an analogous transfer, Wolfe Analysis analyst Justin Lake had additionally lowered his value goal for the shares to $330 from $363, whereas reiterating his Purchase score on July 10. Lake now pencils in a decrease EPS on account of headwinds in Medicaid and medical health insurance exchanges, in addition to larger bills to carry the corporate on observe.
UnitedHealth Group Inc. (NYSE:UNH) is a healthcare firm that gives medical health insurance and healthcare options within the U.S. and globally beneath the UnitedHealthcare and Optum manufacturers.
Whereas we acknowledge the potential of UNH as an funding, we imagine sure AI shares supply better upside potential and carry much less draw back threat. In the event you’re searching for an especially undervalued AI inventory that additionally stands to learn considerably from Trump-era tariffs and the onshoring development, see our free report on the finest short-term AI inventory.
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Disclosure: None. This text is initially printed at Insider Monkey.