Unitedhealth Group Intrinsic Value Calculator – UnitedHealth Group’s Winning Streak Comes to an End

January 7, 2024

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UNITEDHEALTH ($NYSE:UNH): UnitedHealth Group, the largest health insurer in the United States and an industry leader in managed care and health-related services, is poised to come to an end of its 6-day winning streak. Unfortunately, UnitedHealth Group’s winning streak is set to come to an end with investors losing confidence in the company’s recent performance. Analysts have cited several factors for the dip in stock prices including a sluggish first quarter performance, a decline in Medicare Advantage membership, and a slower-than-expected start for the year.

Additionally, UnitedHealth Group is facing increased competition from other health care providers such as Cigna and Anthem. The company’s stock has suffered due to lower-than-expected earnings, and investors are wary of potential risks associated with the company’s move into more high-cost areas such as specialty services. In light of these challenges, UnitedHealth Group is looking to diversify into new areas of business to improve its financial performance. The company is also working to leverage technological advancements such as artificial intelligence and machine learning to improve customer service and health care delivery. With these strategies, UnitedHealth Group hopes to regain investor confidence and end its losing streak.

Market Price

On Friday, UnitedHealth Group, one of the largest health insurance companies in the United States, experienced a decline in stock prices. After opening up at $547.0, the stock closed down at $537.4, representing a 1.5% decrease from its previous closing price of $545.4. This marked the end of their recent winning streak, which was driven by strong financial results and a positive outlook for the future. Although their stock had been trending upwards in recent weeks, this was ultimately overshadowed by Friday’s closing numbers.

The company has experienced a turbulent year, navigating challenges such as the coronavirus pandemic and a decrease in employer-sponsored health plans. Despite these obstacles, they remain one of the leading health insurance companies in the US and have been able to maintain their strong financial performance. Going forward, their stock prices may be subject to further volatility, however, the company is well-positioned for long-term success. Live Quote…

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for Unitedhealth Group. More…

    Total Revenues Net Income Net Margin
    359.98k 21.69k 6.0%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for Unitedhealth Group. More…

    Operations Investing Financing
    29.73k -29.76k 19
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for Unitedhealth Group. More…

    Total Assets Total Liabilities Book Value Per Share
    282.06k 188.08k 96.69
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for Unitedhealth Group are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    12.5% 9.6% 8.8%
    FCF Margin ROE ROA
    7.3% 22.9% 7.0%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Analysis – Unitedhealth Group Intrinsic Value Calculator

    At GoodWhale, we have been analyzing the fundamentals of UNITEDHEALTH GROUP and have come to the conclusion that it is currently undervalued. Our proprietary Valuation Line has put the fair value of UNITEDHEALTH GROUP’s share at approximately $549.3. Currently, the stock is trading at $537.4, a price that is 2.2% lower than its fair value. We believe this presents a great opportunity for investors to purchase the stock at a lower price and benefit from potential upside. More…

  • Star Chart Analysis
  • Valuation Analysis




  • Peers

    One of the largest health insurance providers in the United States is UnitedHealth Group Inc. They offer a wide variety of health insurance plans and are always looking for new ways to provide the best possible service to their customers. Some of their main competitors are Humana Inc, CVS Health Corp, and Centene Corp. Although all of these companies are very different, they all share one common goal: to provide their customers with the best health insurance coverage possible.

    – Humana Inc ($NYSE:HUM)

    Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky. As of 2019, Humana has had over 13 million customers in the United States. The company’s revenue was US$54.4 billion in 2018.

    – CVS Health Corp ($NYSE:CVS)

    CVS Health Corp is a leading provider of healthcare services in the United States. The company has a market capitalization of $120.33 billion as of 2022 and a return on equity of 10.96%. The company operates more than 9,700 retail pharmacies, over 1,100 walk-in medical clinics, and a leading pharmacy benefits manager with more than 77 million members. CVS Health Corp is dedicated to helping people on their path to better health by providing them with the resources they need to make informed decisions about their health and wellbeing.

    – Centene Corp ($NYSE:CNC)

    Centene Corporation is a large publicly traded managed care organization. The company’s core business is Medicaid managed care, but it also offers Medicare, long-term care, dental, behavioral health, and vision plans. The company serves over 25 million members in 26 states and the District of Columbia.

    Centene’s market cap of $43.28 billion and ROE of 6.97% indicate that it is a large and successful company. The company’s size and success are due in part to its focus on Medicaid managed care. Medicaid is a government health insurance program for low-income Americans. Centene has been able to grow its Medicaid business by providing high-quality care at a lower cost than its competitors.

    Summary

    UnitedHealth Group (UNH) is a diversified healthcare company that is the largest health insurer in the United States. It has seen a six-day winning streak in its stock prices, however this may be about to come to an end. It is important for potential investors to examine the company’s financials to gain an understanding of its current performance and potential for future growth. The company has seen strong revenue growth in recent years, though it has also had increased costs due to the pandemic and increased competition.

    In addition, UNH has a strong balance sheet with plenty of cash on hand, which makes it well-positioned to weather any economic headwinds. Investors should also look out for any changes in trends, such as shifts in consumer preferences or regulatory changes that could impact the healthcare industry. All in all, UnitedHealth Group looks like an attractive option for investors looking to capitalize on the growing healthcare sector.

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