Erste Group Bank Issues Optimistic Estimate for UNH Earnings

Key Points

• Erste Group Bank raised its FY2027 EPS estimate for UnitedHealth to $20.67 (from $20.62) and keeps a Buy rating; that forecast sits above the market consensus full‑year EPS of $18.29.
• UnitedHealth posted a quarterly earnings beat with $7.23 EPS vs. $6.76 expected and $111.65B in revenue vs. $109.84B, and the company set FY2026 guidance at $18.25 EPS.
• Several firms have lifted price targets (e.g., Jefferies to $373, Morgan Stanley to $395, Argus to $400), leaving a MarketBeat consensus of Moderate Buy and an average price target of $378.88.

UnitedHealth Group Incorporated (NYSE:UNH - Free Report) - Erste Group Bank lifted their FY2027 earnings per share estimates for shares of UnitedHealth Group in a report released on Tuesday, May 5th. Erste Group Bank analyst H. Engel now forecasts that the healthcare conglomerate will earn $20.67 per share for the year, up from their previous estimate of $20.62. Erste Group Bank currently has a "Buy" rating on the stock. The consensus estimate for UnitedHealth Group's current full-year earnings is $18.29 per share.

UnitedHealth Group (NYSE:UNH - Get Free Report) last posted its quarterly earnings data on Tuesday, April 21st. The healthcare conglomerate reported $7.23 EPS for the quarter, topping analysts' consensus estimates of $6.76 by $0.47. The business had revenue of $111.65 billion for the quarter, compared to analyst estimates of $109.84 billion. UnitedHealth Group had a return on equity of 14.65% and a net margin of 2.68%.The firm's revenue for the quarter was up 2.0% on a year-over-year basis. During the same period in the previous year, the company posted $7.20 earnings per share. UnitedHealth Group has set its FY 2026 guidance at 18.250- EPS.

Other analysts have also issued research reports about the stock. Jefferies Financial Group raised their price objective on shares of UnitedHealth Group from $340.00 to $373.00 and gave the stock a "buy" rating in a report on Monday, April 20th. Piper Sandler reaffirmed an "overweight" rating on shares of UnitedHealth Group in a research note on Tuesday, January 27th. Morgan Stanley increased their price target on shares of UnitedHealth Group from $375.00 to $395.00 and gave the company an "overweight" rating in a research report on Wednesday, April 22nd. Argus raised UnitedHealth Group from a "hold" rating to a "buy" rating and set a $400.00 price objective on the stock in a research note on Wednesday, April 22nd. Finally, Weiss Ratings lowered UnitedHealth Group from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, March 2nd. One analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, six have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, UnitedHealth Group has a consensus rating of "Moderate Buy" and an average price target of $378.88.

UnitedHealth Group Price Performance

NYSE:UNH opened at $369.65 on Friday. The company has a debt-to-equity ratio of 0.69, a quick ratio of 0.79 and a current ratio of 0.80. The company has a market capitalization of $335.70 billion, a price-to-earnings ratio of 27.92, a PEG ratio of 1.58 and a beta of 0.64. UnitedHealth Group has a 52 week low of $234.60 and a 52 week high of $390.92. The company has a 50-day moving average of $304.54 and a 200-day moving average of $316.98.

UnitedHealth Group Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 17th. Investors of record on Monday, March 9th were paid a $2.21 dividend. The ex-dividend date was Monday, March 9th. This represents a $8.84 annualized dividend and a yield of 2.4%. UnitedHealth Group's payout ratio is 66.77%.

Insider Activity

In other UnitedHealth Group news, CEO Patrick Hugh Conway sold 800 shares of UnitedHealth Group stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $355.00, for a total value of $284,000.00. Following the completion of the sale, the chief executive officer owned 17,805 shares in the company, valued at $6,320,775. The trade was a 4.30% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.28% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Guerra Advisors Inc bought a new position in shares of UnitedHealth Group during the 3rd quarter worth approximately $1,059,000. Phoenix Financial Ltd. lifted its position in shares of UnitedHealth Group by 111.5% during the 3rd quarter. Phoenix Financial Ltd. now owns 41,986 shares of the healthcare conglomerate's stock valued at $14,282,000 after buying an additional 22,137 shares during the last quarter. Money Concepts Capital Corp increased its stake in shares of UnitedHealth Group by 59.1% in the third quarter. Money Concepts Capital Corp now owns 12,380 shares of the healthcare conglomerate's stock worth $4,275,000 after purchasing an additional 4,600 shares in the last quarter. Public Sector Pension Investment Board raised its holdings in UnitedHealth Group by 43.1% during the 3rd quarter. Public Sector Pension Investment Board now owns 287,132 shares of the healthcare conglomerate's stock valued at $99,147,000 after acquiring an additional 86,432 shares during the period. Finally, Compass Wealth Management LLC purchased a new stake in UnitedHealth Group during the 3rd quarter worth about $13,691,000. Institutional investors own 87.86% of the company's stock.

About UnitedHealth Group

UnitedHealth Group Inc is a diversified health care company headquartered in Minnetonka, Minnesota, that operates two primary business platforms: UnitedHealthcare and Optum. Founded in 1977, the company provides a broad range of health benefits and health care services to individuals, employers, governmental entities and other organizations. Its operations span commercial employer-sponsored plans, individual and Medicare and Medicaid programs, and services for customers and health systems in the United States and selected international markets.

UnitedHealthcare is the company's benefits business, administering health plans and networks, managing provider relationships, and offering coverage products for employers, individuals, and government-sponsored programs.

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