UnitedHealth Group (NYSE:UNH) Trading Up 3% – What’s Next?

UnitedHealth Group Incorporated (NYSE:UNH) shares traded up 3% during mid-day trading on Wednesday . The company traded as high as $503.79 and last traded at $500.15. 3,040,775 shares changed hands during trading, a decline of 25% from the average session volume of 4,044,084 shares. The stock had previously closed at $485.52.

Wall Street Analysts Forecast Growth

UNH has been the topic of several recent analyst reports. TD Cowen raised their price target on shares of UnitedHealth Group from $601.00 to $609.00 and gave the stock a “buy” rating in a research note on Friday, October 18th. Bank of America decreased their price target on shares of UnitedHealth Group from $675.00 to $650.00 and set a “buy” rating for the company in a research note on Wednesday, October 16th. Barclays lifted their target price on UnitedHealth Group from $603.00 to $655.00 and gave the company an “overweight” rating in a research report on Wednesday, November 27th. Royal Bank of Canada cut their price target on UnitedHealth Group from $615.00 to $595.00 and set an “outperform” rating on the stock in a research note on Wednesday, October 16th. Finally, Morgan Stanley dropped their target price on shares of UnitedHealth Group from $615.00 to $610.00 and set an “overweight” rating on the stock in a report on Wednesday, October 16th. Three research analysts have rated the stock with a hold rating, eighteen have issued a buy rating and two have issued a strong buy rating to the stock. According to data from MarketBeat.com, UnitedHealth Group currently has a consensus rating of “Moderate Buy” and a consensus target price of $626.84.

UnitedHealth Group Price Performance

The company has a debt-to-equity ratio of 0.74, a current ratio of 0.91 and a quick ratio of 0.91. The stock has a market cap of $455.54 billion, a price-to-earnings ratio of 32.25, a P/E/G ratio of 1.53 and a beta of 0.58. The stock has a fifty day moving average of $574.25 and a 200 day moving average of $559.44.

UnitedHealth Group (NYSE:UNH) last posted its earnings results on Tuesday, October 15th. The healthcare conglomerate reported $7.15 EPS for the quarter, topping the consensus estimate of $7.00 by $0.15. UnitedHealth Group had a return on equity of 26.37% and a net margin of 3.63%. The firm had revenue of $100.82 billion for the quarter, compared to analyst estimates of $99.14 billion. During the same period last year, the company earned $6.56 earnings per share. UnitedHealth Group’s revenue for the quarter was up 9.2% compared to the same quarter last year. On average, analysts expect that UnitedHealth Group Incorporated will post 27.61 EPS for the current fiscal year.

UnitedHealth Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, December 17th. Shareholders of record on Monday, December 9th were given a dividend of $2.10 per share. This represents a $8.40 dividend on an annualized basis and a yield of 1.70%. The ex-dividend date was Monday, December 9th. UnitedHealth Group’s dividend payout ratio is presently 54.72%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. International Assets Investment Management LLC raised its stake in UnitedHealth Group by 78,814.4% during the third quarter. International Assets Investment Management LLC now owns 5,296,737 shares of the healthcare conglomerate’s stock worth $3,096,896,000 after purchasing an additional 5,290,025 shares during the period. Lone Pine Capital LLC purchased a new position in UnitedHealth Group in the second quarter worth approximately $480,903,000. Dimensional Fund Advisors LP raised its position in UnitedHealth Group by 30.0% in the second quarter. Dimensional Fund Advisors LP now owns 3,816,254 shares of the healthcare conglomerate’s stock valued at $1,942,956,000 after purchasing an additional 880,183 shares during the period. Baillie Gifford & Co. increased its position in shares of UnitedHealth Group by 1,125.4% during the 2nd quarter. Baillie Gifford & Co. now owns 894,006 shares of the healthcare conglomerate’s stock worth $455,281,000 after purchasing an additional 821,050 shares during the last quarter. Finally, Accredited Investors Inc. boosted its stake in UnitedHealth Group by 9,235.4% during the third quarter. Accredited Investors Inc. now owns 784,924 shares of the healthcare conglomerate’s stock worth $458,929,000 after buying an additional 776,516 shares during the period. 87.86% of the stock is owned by institutional investors and hedge funds.

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.