UnitedHealth Group Incorporated (NYSE:UNH) Shares Sold by Costello Asset Management INC

Key Points

• Costello Asset Management INC reduced its stake in UnitedHealth Group by 56.7% in the first quarter, now owning 2,835 shares valued at approximately $1.49 million.
• UnitedHealth CEO Stephen J. Hemsley purchased 86,700 shares for over $25 million, increasing his total ownership to about $196 million.
• UnitedHealth Group declared a quarterly dividend of $2.21 per share, reflecting an increase from the previous dividend, with a yield of 3.7%.

Costello Asset Management INC lowered its position in UnitedHealth Group Incorporated (NYSE:UNH - Free Report) by 56.7% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 2,835 shares of the healthcare conglomerate's stock after selling 3,710 shares during the period. Costello Asset Management INC's holdings in UnitedHealth Group were worth $1,485,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of the company. Capital International Investors grew its position in UnitedHealth Group by 6.2% during the 4th quarter. Capital International Investors now owns 15,616,007 shares of the healthcare conglomerate's stock worth $7,899,905,000 after purchasing an additional 906,365 shares during the period. Northern Trust Corp boosted its stake in shares of UnitedHealth Group by 12.5% in the fourth quarter. Northern Trust Corp now owns 9,503,671 shares of the healthcare conglomerate's stock worth $4,807,527,000 after acquiring an additional 1,058,488 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of UnitedHealth Group by 36.6% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 8,592,718 shares of the healthcare conglomerate's stock worth $4,346,712,000 after buying an additional 2,301,010 shares in the last quarter. GAMMA Investing LLC boosted its stake in UnitedHealth Group by 56,142.1% during the first quarter. GAMMA Investing LLC now owns 8,295,153 shares of the healthcare conglomerate's stock worth $4,344,586,000 after buying an additional 8,280,404 shares during the last quarter. Finally, Bank of New York Mellon Corp increased its holdings in shares of UnitedHealth Group by 2.5% during the 1st quarter. Bank of New York Mellon Corp now owns 8,128,174 shares of the healthcare conglomerate's stock worth $4,257,131,000 after buying an additional 196,696 shares during the last quarter. 87.86% of the stock is currently owned by institutional investors and hedge funds.

UnitedHealth Group Stock Performance

NYSE UNH traded up $5.71 during trading hours on Friday, hitting $250.38. 7,705,779 shares of the stock were exchanged, compared to its average volume of 12,086,206. The company has a quick ratio of 0.85, a current 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. The company has a market cap of $227.13 billion, a price-to-earnings ratio of 10.83, a price-to-earnings-growth ratio of 1.59 and a beta of 0.43.

UnitedHealth Group (NYSE:UNH - Get Free Report) last released its earnings results on Tuesday, July 29th. The healthcare conglomerate reported $4.08 EPS for the quarter, missing analysts' consensus estimates 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 analyst estimates of $111.75 billion. During the same period last year, the business posted $6.80 EPS. UnitedHealth Group's revenue was up 12.9% compared to the same quarter last year. As a group, equities research analysts forecast that UnitedHealth Group Incorporated will post 29.54 earnings per share for the current year.

UnitedHealth Group Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 24th. Investors of record on Monday, June 16th were given a dividend of $2.21 per share. The ex-dividend date was Monday, June 16th. This represents a $8.84 annualized dividend and a dividend yield of 3.5%. This is an increase from UnitedHealth Group's previous quarterly dividend of $2.10. UnitedHealth Group's payout ratio is presently 38.30%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on the stock. Robert W. Baird reiterated an "underperform" rating and set a $198.00 price target (down from $312.00) on shares of UnitedHealth Group in a research report on Thursday, July 31st. TD Securities reissued a "hold" rating and set a $308.00 target price (down previously from $520.00) on shares of UnitedHealth Group in a research note on Monday, May 19th. Baird R W cut UnitedHealth Group from a "hold" rating to a "strong sell" rating in a research note on Thursday, July 31st. Piper Sandler reduced their price objective on shares of UnitedHealth Group from $353.00 to $317.00 and set an "overweight" rating on the stock in a report on Wednesday, July 30th. Finally, 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. Three research analysts have rated the stock with a sell rating, seven have given a hold rating and fifteen have assigned a buy rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $366.52.

Insider Activity

In other news, CEO Stephen J. Hemsley acquired 86,700 shares of the business's stock in a transaction dated Friday, May 16th. The stock was acquired at an average price of $288.57 per share, with a total value of $25,019,019.00. Following the completion of the transaction, the chief executive officer directly owned 679,493 shares in the company, valued at approximately $196,081,295.01. This represents a 14.63% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO John F. Rex bought 17,175 shares of the stock in a transaction on Friday, May 16th. The stock was purchased at an average cost of $291.12 per share, with a total value of $4,999,986.00. Following the completion of the purchase, the chief financial officer directly owned 203,796 shares in the company, valued at $59,329,091.52. This trade represents a 9.20% increase in their position. The disclosure for this purchase can be found here. Over the last three months, insiders acquired 109,408 shares of company stock worth $31,607,768. 0.28% of the stock is owned by corporate insiders.

UnitedHealth Group 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.