UnitedHealth Group (NYSE:UNH) Trading 3.7% Higher on Analyst Upgrade

Key Points

• UnitedHealth Group's stock increased by 3.7% after Bank of America raised its price target from $290 to $325, while maintaining a neutral rating on the stock.
• Analysts have mixed views, with Wolfe Research and Piper Sandler lowering their price targets, while Mizuho set a target of $350, resulting in an average price target of $367.71.
• The company recently announced a quarterly dividend of $2.21 per share, yielding 2.8% with a payout ratio of 38.30%.

UnitedHealth Group Incorporated (NYSE:UNH - Get Free Report) was up 3.7% on Monday after Bank of America raised their price target on the stock from $290.00 to $325.00. Bank of America currently has a neutral rating on the stock. UnitedHealth Group traded as high as $316.40 and last traded at $315.23. Approximately 19,221,461 shares were traded during trading, an increase of 53% from the average daily volume of 12,602,223 shares. The stock had previously closed at $304.01.

Other research analysts also recently issued research reports about the company. Wolfe Research cut their price target on UnitedHealth Group from $501.00 to $390.00 and set an "outperform" rating for the company in a research note on Tuesday, May 20th. Piper Sandler cut their price target on UnitedHealth Group from $353.00 to $317.00 and set an "overweight" rating for the company in a research note on Wednesday, July 30th. Robert W. Baird reaffirmed an "underperform" rating and set a $198.00 price target (down previously from $312.00) on shares of UnitedHealth Group in a research note on Thursday, July 31st. Baird R W cut UnitedHealth Group from a "hold" rating to a "strong sell" rating in a research report on Thursday, July 31st. Finally, Mizuho dropped their price objective on UnitedHealth Group from $515.00 to $350.00 and set an "outperform" rating for the company in a research report on Friday, May 16th. Three research analysts have rated the stock with a sell rating, seven have given a hold rating and fifteen have given a buy rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $367.71.

Insider Activity

In related news, CEO Patrick Hugh Conway sold 589 shares of the business's stock in a transaction that occurred on Tuesday, June 10th. The stock was sold at an average price of $305.00, for a total transaction of $179,645.00. Following the transaction, the chief executive officer directly owned 10,398 shares of the company's stock, valued at approximately $3,171,390. The trade was a 5.36% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Insiders own 0.28% of the company's stock.

Hedge Funds Weigh In On UnitedHealth Group

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. raised its position in shares of UnitedHealth Group by 6.6% in the 1st quarter. Vanguard Group Inc. now owns 90,729,585 shares of the healthcare conglomerate's stock valued at $47,519,620,000 after purchasing an additional 5,583,343 shares in the last quarter. Wellington Management Group LLP raised its position in shares of UnitedHealth Group by 10.6% in the 1st quarter. Wellington Management Group LLP now owns 25,847,940 shares of the healthcare conglomerate's stock valued at $13,537,859,000 after purchasing an additional 2,486,839 shares in the last quarter. Geode Capital Management LLC raised its position in shares of UnitedHealth Group by 3.3% in the 2nd quarter. Geode Capital Management LLC now owns 21,312,182 shares of the healthcare conglomerate's stock valued at $6,624,411,000 after purchasing an additional 675,075 shares in the last quarter. Norges Bank acquired a new position in shares of UnitedHealth Group in the 2nd quarter valued at approximately $3,837,207,000. Finally, Northern Trust Corp raised its position in shares of UnitedHealth Group by 12.5% in the 4th quarter. Northern Trust Corp now owns 9,503,671 shares of the healthcare conglomerate's stock valued at $4,807,527,000 after purchasing an additional 1,058,488 shares in the last quarter. 87.86% of the stock is owned by institutional investors and hedge funds.

UnitedHealth Group Stock Up 3.8%

The company has a debt-to-equity ratio of 0.73, a quick ratio of 0.85 and a current ratio of 0.85. The firm has a market capitalization of $285.74 billion, a P/E ratio of 13.67, a P/E/G ratio of 1.96 and a beta of 0.43. The stock has a fifty day moving average price of $288.91 and a two-hundred day moving average price of $395.81.

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 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 firm had revenue of $111.62 billion during the quarter, compared to the consensus estimate of $111.75 billion. During the same quarter last year, the firm posted $6.80 earnings per share. UnitedHealth Group's revenue was up 12.9% compared to the same quarter last year. Research analysts forecast that UnitedHealth Group Incorporated will post 29.54 EPS for the current year.

UnitedHealth Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 23rd. Investors of record on Monday, September 15th will be paid a dividend of $2.21 per share. This represents a $8.84 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date is Monday, September 15th. UnitedHealth Group's dividend payout ratio is presently 38.30%.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.