Jensen Investment Management Inc. Has $318.11 Million Position in UnitedHealth Group Incorporated (NYSE:UNH)

Key Points

• Jensen Investment Management Inc. reduced its stake in UnitedHealth Group by 15.2%, selling 108,689 shares to hold 607,378 shares valued at approximately $318 million.
• Despite the decrease in holdings by Jensen, other institutional investors like Vanguard Group and UBS AM increased their stakes in UnitedHealth Group, indicating continued interest in the company.
• UnitedHealth Group announced an increase in its quarterly dividend to $2.21 per share, reflecting a strong dividend payout ratio of 38.30% and a yield of 3.5%.

Jensen Investment Management Inc. cut its holdings in UnitedHealth Group Incorporated (NYSE:UNH - Free Report) by 15.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 607,378 shares of the healthcare conglomerate's stock after selling 108,689 shares during the quarter. UnitedHealth Group comprises about 3.5% of Jensen Investment Management Inc.'s investment portfolio, making the stock its 11th biggest holding. Jensen Investment Management Inc. owned 0.07% of UnitedHealth Group worth $318,114,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the business. Marshall & Sterling Wealth Advisors Inc. acquired a new stake in UnitedHealth Group during the 4th quarter worth about $26,000. Bayforest Capital Ltd raised its holdings in UnitedHealth Group by 685.7% during the 1st quarter. Bayforest Capital Ltd now owns 55 shares of the healthcare conglomerate's stock worth $29,000 after buying an additional 48 shares during the period. Aster Capital Management DIFC Ltd acquired a new stake in UnitedHealth Group during the 4th quarter worth about $30,000. IAG Wealth Partners LLC acquired a new position in shares of UnitedHealth Group in the 1st quarter valued at about $42,000. Finally, Kapitalo Investimentos Ltda acquired a new position in shares of UnitedHealth Group in the 4th quarter valued at about $41,000. 87.86% of the stock is currently owned by institutional investors.

UnitedHealth Group Stock Performance

UnitedHealth Group stock traded down $1.37 during trading hours on Thursday, reaching $244.42. 11,331,473 shares of the company were exchanged, compared to its average volume of 18,403,832. The firm has a market cap of $221.72 billion, a price-to-earnings ratio of 10.59, a PEG ratio of 1.59 and a beta of 0.43. The company has a current ratio of 0.85, a quick ratio of 0.85 and a debt-to-equity ratio of 0.73. The stock has a 50-day moving average of $292.78 and a 200 day moving average of $408.71. UnitedHealth Group Incorporated has a 12 month low of $234.60 and a 12 month high of $630.73.

UnitedHealth Group (NYSE:UNH - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The healthcare conglomerate reported $4.08 earnings per share for the quarter, missing the consensus estimate of $4.45 by ($0.37). UnitedHealth Group had a net margin of 5.04% and a return on equity of 23.32%. The business had revenue of $111.62 billion during the quarter, compared to the consensus estimate of $111.75 billion. During the same period in the prior year, the company posted $6.80 earnings per share. The firm's revenue was up 12.9% compared to the same quarter last year. As a group, research analysts anticipate that UnitedHealth Group Incorporated will post 29.54 earnings per share for the current year.

UnitedHealth Group Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 24th. Stockholders of record on Monday, June 16th were given a $2.21 dividend. This is a positive change from UnitedHealth Group's previous quarterly dividend of $2.10. This represents a $8.84 annualized dividend and a dividend yield of 3.6%. The ex-dividend date of this dividend was Monday, June 16th. UnitedHealth Group's dividend payout ratio (DPR) is currently 38.30%.

Analyst Upgrades and Downgrades

UNH has been the topic of a number of research reports. Morgan Stanley dropped their target price on UnitedHealth Group from $563.00 to $374.00 and set an "overweight" rating on the stock in a report on Wednesday, May 14th. Bank of America dropped their target price on UnitedHealth Group from $350.00 to $300.00 and set a "neutral" rating on the stock in a report on Tuesday, July 29th. Mizuho dropped their target price on UnitedHealth Group from $515.00 to $350.00 and set an "outperform" rating on the stock in a report on Friday, May 16th. Barclays reissued an "overweight" rating on shares of UnitedHealth Group in a research note on Thursday, July 17th. Finally, Raymond James Financial cut UnitedHealth Group from a "strong-buy" rating to a "market perform" rating in a research note on Wednesday, May 14th. Three equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and fifteen have given a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $366.52.

Insider Buying and Selling

In other news, Director Kristen Gil bought 3,700 shares of the business's stock in a transaction that occurred on Thursday, May 15th. The stock was acquired at an average cost of $271.17 per share, for a total transaction of $1,003,329.00. Following the completion of the purchase, the director owned 3,818 shares of the company's stock, valued at $1,035,327.06. This trade represents a 3,135.59% increase in their position. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Timothy Patrick Flynn bought 1,533 shares of the business's stock in a transaction that occurred on Wednesday, May 14th. The stock was purchased at an average price of $320.80 per share, with a total value of $491,786.40. Following the completion of the purchase, the director directly owned 6,033 shares of the company's stock, valued at $1,935,386.40. This represents a 34.07% increase in their position. The disclosure for this purchase can be found here. Insiders purchased 109,408 shares of company stock valued at $31,607,768 in the last ninety days. Company insiders own 0.28% of the company's stock.

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.