UnitedHealth Group (NYSE:UNH) Shares Up 1.5% – Should You Buy?

UnitedHealth Group Incorporated (NYSE:UNH) shares were up 1.5% on Wednesday . The stock traded as high as $328.73 and last traded at $328.40. Approximately 5,874,134 shares changed hands during trading, a decline of 51% from the average daily volume of 11,868,669 shares. The stock had previously closed at $323.60.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the company. TD Cowen increased their target price on UnitedHealth Group from $335.00 to $338.00 and gave the company a “hold” rating in a report on Thursday, October 30th. Wells Fargo & Company increased their price objective on UnitedHealth Group from $267.00 to $400.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 7th. Barclays lifted their target price on shares of UnitedHealth Group from $352.00 to $386.00 and gave the company an “overweight” rating in a report on Thursday, October 9th. Royal Bank Of Canada raised their price target on UnitedHealth Group from $286.00 to $408.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 29th. Finally, Zacks Research raised UnitedHealth Group from a “strong sell” rating to a “hold” rating in a research note on Monday, October 6th. Seventeen equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $385.54.

UnitedHealth Group Stock Up 1.5%

The firm has a 50 day moving average price of $339.84 and a 200-day moving average price of $316.91. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 0.71. The firm has a market cap of $309.65 billion, a PE ratio of 17.84, a PEG ratio of 2.20 and a beta of 0.43.

UnitedHealth Group (NYSE:UNH) last issued its quarterly earnings results on Tuesday, October 28th. The healthcare conglomerate reported $2.92 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.87 by $0.05. UnitedHealth Group had a net margin of 4.04% and a return on equity of 19.23%. The company had revenue of $113.16 billion during the quarter, compared to the consensus estimate of $113.19 billion. During the same quarter in the previous year, the firm earned $7.15 earnings per share. The firm’s quarterly revenue was up 12.2% on a year-over-year basis. Research analysts forecast that UnitedHealth Group Incorporated will post 29.54 EPS for the current fiscal year.

UnitedHealth Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 16th. Stockholders of record on Monday, December 8th will be given a dividend of $2.21 per share. This represents a $8.84 annualized dividend and a dividend yield of 2.6%. The ex-dividend date of this dividend is Monday, December 8th. UnitedHealth Group’s dividend payout ratio is currently 46.14%.

Hedge Funds Weigh In On UnitedHealth Group

Hedge funds have recently added to or reduced their stakes in the stock. Norges Bank acquired a new stake in UnitedHealth Group during the 2nd quarter worth $3,837,207,000. Capital Research Global Investors grew its holdings in shares of UnitedHealth Group by 126.9% during the third quarter. Capital Research Global Investors now owns 13,042,049 shares of the healthcare conglomerate’s stock worth $4,503,419,000 after purchasing an additional 7,293,009 shares during the last quarter. Berkshire Hathaway Inc purchased a new stake in shares of UnitedHealth Group in the 2nd quarter valued at about $1,572,193,000. Dodge & Cox grew its stake in UnitedHealth Group by 117.7% during the 2nd quarter. Dodge & Cox now owns 8,750,560 shares of the healthcare conglomerate’s stock worth $2,729,912,000 after buying an additional 4,730,192 shares during the last quarter. Finally, Capital World Investors lifted its stake in UnitedHealth Group by 18.8% in the third quarter. Capital World Investors now owns 21,766,922 shares of the healthcare conglomerate’s stock valued at $7,516,107,000 after buying an additional 3,439,182 shares during the last quarter. 87.86% of the stock is currently owned by hedge funds and other institutional investors.

About UnitedHealth Group

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.