UnitedHealth Group (NYSE:UNH) Shares Down 2% - Here's What Happened

Key Points

• UnitedHealth Group's shares fell by 2% during mid-day trading, reaching a low of $334.12 after closing at $341.61.
• Recent analyst ratings show a mixed outlook, with target prices ranging from $286.00 to $395.00 and a consensus rating of "Moderate Buy."
• The company declared a quarterly dividend of $2.21, representing an annualized yield of 2.6%, with a payout ratio of 38.30%.

Shares of UnitedHealth Group Incorporated (NYSE:UNH - Get Free Report) dropped 2% during mid-day trading on Thursday . The company traded as low as $334.12 and last traded at $334.74. Approximately 11,130,999 shares traded hands during mid-day trading, a decline of 15% from the average daily volume of 13,028,909 shares. The stock had previously closed at $341.61.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the stock. Sanford C. Bernstein increased their target price on shares of UnitedHealth Group from $337.00 to $379.00 and gave the company an "outperform" rating in a research report on Friday, September 5th. Royal Bank Of Canada lowered their target price on shares of UnitedHealth Group from $355.00 to $286.00 and set an "outperform" rating on the stock in a research note on Wednesday, July 30th. Wall Street Zen cut shares of UnitedHealth Group from a "buy" rating to a "hold" rating in a research note on Saturday, May 24th. Oppenheimer lowered their price objective on shares of UnitedHealth Group from $400.00 to $325.00 and set an "outperform" rating on the stock in a research report on Wednesday, July 30th. Finally, Morgan Stanley lifted their target price on shares of UnitedHealth Group from $325.00 to $395.00 and gave the stock an "overweight" rating in a research report on Friday, September 12th. Sixteen research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and three have given a Sell rating to the company's stock. According to MarketBeat.com, UnitedHealth Group currently has an average rating of "Moderate Buy" and a consensus price target of $358.95.

UnitedHealth Group Price Performance

The stock has a market cap of $303.16 billion, a P/E ratio of 14.50, a price-to-earnings-growth ratio of 2.22 and a beta of 0.45. The business's 50 day moving average price is $294.30 and its two-hundred day moving average price is $367.06. The company has a current ratio of 0.85, a quick ratio of 0.85 and a debt-to-equity ratio of 0.73.

UnitedHealth Group (NYSE:UNH - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The healthcare conglomerate reported $4.08 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.45 by ($0.37). The business had revenue of $111.62 billion for the quarter, compared to analysts' expectations of $111.75 billion. UnitedHealth Group had a net margin of 5.04% and a return on equity of 23.32%. The company's revenue was up 12.9% on a year-over-year basis. During the same period last year, the business earned $6.80 earnings per share. UnitedHealth Group has set its FY 2025 guidance at 16.000- EPS. As a group, sell-side analysts expect that UnitedHealth Group Incorporated will post 29.54 earnings per share for the current fiscal year.

UnitedHealth Group Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 23rd. Shareholders of record on Monday, September 15th will be issued a $2.21 dividend. The ex-dividend date of this dividend is Monday, September 15th. This represents a $8.84 annualized dividend and a yield of 2.6%. UnitedHealth Group's payout ratio is 38.30%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in UNH. Citizens National Bank Trust Department grew its position in UnitedHealth Group by 1.0% during the first quarter. Citizens National Bank Trust Department now owns 17,886 shares of the healthcare conglomerate's stock valued at $9,368,000 after buying an additional 170 shares during the period. Fort Washington Investment Advisors Inc. OH boosted its position in shares of UnitedHealth Group by 0.3% in the first quarter. Fort Washington Investment Advisors Inc. OH now owns 530,103 shares of the healthcare conglomerate's stock worth $277,641,000 after purchasing an additional 1,465 shares during the period. Caitlin John LLC boosted its position in shares of UnitedHealth Group by 14.8% in the first quarter. Caitlin John LLC now owns 862 shares of the healthcare conglomerate's stock worth $451,000 after purchasing an additional 111 shares during the period. Triumph Capital Management bought a new position in shares of UnitedHealth Group during the second quarter worth $1,324,000. Finally, Focus Partners Wealth boosted its position in shares of UnitedHealth Group by 5.3% during the first quarter. Focus Partners Wealth now owns 277,916 shares of the healthcare conglomerate's stock worth $145,559,000 after acquiring an additional 14,112 shares during the last quarter. 87.86% of the stock is owned by hedge funds and other institutional investors.

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.

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