UnitedHealth Group (NYSE:UNH) Shares Gap Up – Still a Buy?

Shares of UnitedHealth Group Incorporated (NYSE:UNH) gapped up prior to trading on Tuesday . The stock had previously closed at $524.70, but opened at $582.17. UnitedHealth Group shares last traded at $565.09, with a volume of 1,799,932 shares.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $700.00 price objective on shares of UnitedHealth Group in a research report on Friday, January 17th. Truist Financial decreased their price objective on UnitedHealth Group from $625.00 to $610.00 and set a “buy” rating for the company in a report on Monday, January 6th. Piper Sandler reduced their target price on shares of UnitedHealth Group from $605.00 to $600.00 and set an “overweight” rating on the stock in a research report on Thursday, January 2nd. Wells Fargo & Company dropped their price objective on shares of UnitedHealth Group from $694.00 to $660.00 and set an “overweight” rating on the stock in a research note on Tuesday, January 28th. Finally, Barclays lowered their target price on shares of UnitedHealth Group from $655.00 to $642.00 and set an “overweight” rating for the company in a report on Friday, January 17th. Twenty analysts have rated the stock with a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Buy” and a consensus target price of $629.32.

UnitedHealth Group Stock Performance

The business has a fifty day simple moving average of $508.87 and a two-hundred day simple moving average of $541.48. The company has a market cap of $509.45 billion, a P/E ratio of 35.95, a P/E/G ratio of 1.37 and a beta of 0.61. The company has a quick ratio of 0.91, a current ratio of 0.83 and a debt-to-equity ratio of 0.74.

UnitedHealth Group (NYSE:UNH) last announced its earnings results on Thursday, January 16th. The healthcare conglomerate reported $6.81 EPS for the quarter, beating analysts’ consensus estimates of $6.74 by $0.07. UnitedHealth Group had a net margin of 3.60% and a return on equity of 26.69%. The business had revenue of $100.81 billion during the quarter, compared to analysts’ expectations of $101.60 billion. During the same period in the prior year, the company earned $5.83 earnings per share. The firm’s revenue was up 6.8% on a year-over-year basis. On average, sell-side analysts anticipate that UnitedHealth Group Incorporated will post 29.54 EPS for the current year.

UnitedHealth Group Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, March 18th. Investors of record on Monday, March 10th were issued a $2.10 dividend. This represents a $8.40 annualized dividend and a yield of 1.51%. The ex-dividend date was Monday, March 10th. UnitedHealth Group’s dividend payout ratio is 54.19%.

Insiders Place Their Bets

In other UnitedHealth Group news, Director Timothy Patrick Flynn bought 1,000 shares of the firm’s stock in a transaction that occurred on Friday, January 17th. The shares were bought at an average price of $511.57 per share, with a total value of $511,570.00. Following the purchase, the director now owns 4,500 shares of the company’s stock, valued at $2,302,065. This trade represents a 28.57 % increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On UnitedHealth Group

Several hedge funds have recently modified their holdings of the stock. NewSquare Capital LLC bought a new stake in shares of UnitedHealth Group in the fourth quarter worth about $25,000. Marshall & Sterling Wealth Advisors Inc. bought a new stake in UnitedHealth Group in the 4th quarter worth approximately $26,000. Hurley Capital LLC purchased a new position in shares of UnitedHealth Group in the fourth quarter valued at $28,000. AlphaMark Advisors LLC bought a new position in UnitedHealth Group during the fourth quarter valued at $30,000. Finally, Aster Capital Management DIFC Ltd bought a new stake in shares of UnitedHealth Group in the 4th quarter worth about $30,000. Hedge funds and other institutional investors own 87.86% of the company’s stock.

UnitedHealth Group Company Profile

UnitedHealth Group Incorporated operates as a diversified health care company in the United States. The company operates through four segments: UnitedHealthcare, Optum Health, Optum Insight, and Optum Rx. The UnitedHealthcare segment offers consumer-oriented health benefit plans and services for national employers, public sector employers, mid-sized employers, small businesses, and individuals; health care coverage, and health and well-being services to individuals age 50 and older addressing their needs; Medicaid plans, children's health insurance and health care programs; and health and dental benefits, and hospital and clinical services, as well as health care benefits products and services to state programs caring for the economically disadvantaged, medically underserved, and those without the benefit of employer-funded health care coverage.