UnitedHealth Group Incorporated (NYSE:UNH) is now being followed by Stephens, as they initiated the stock at Overweight on January 14. Analysts at Citigroup, shed their positive views on September 10 by lowering it fromBuy to Neutral. Analysts at SunTrust, made their first call about the stock on June 11, recommending it is Buy.
UnitedHealth Group Incorporated (UNH) hit an intraday high Tuesday at $267.5. The shares finished at $265.69, after trading as low as $263.74 earlier in the session. It rose 0.07% in recent trade and currently has a stock-market value of $255.59B. Trading activity significantly weakened as the volume at ready counter decreased to 3,943,691 shares versus 4,579,785 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 4,386,021 shares. The stock is now 27.44% above against its bear-market low of $208.48 on February 05, 2018. It has retreated -8.37% since it’s 52-week high of $287.94 reached in December. Now the market price is up 9.18% on the year and up 6.65% YTD.
UNH’s 50 day simple moving average (SMA 50) price is $260.23 and its 200-day simple moving average (SMA 200) price is $254.97. The company’s stock currently has a total float of 956.41M shares. Its weekly volatility is hovering around 2.15% and felt 2.45% volatility in price over a month. On the upside, the share price will test short term resistance at around $267.55. On a downside, the stock is likely to find some support, which begins at $263.79. The failure to get near-term support could push it to $261.88.
Separately, it has been reported that multiple insider activity took place at UnitedHealth Group Incorporated (UNH). Director Burke Richard T sold 15,000 shares for $1,778,372 in transaction occurred on 2019/01/17. After making this transaction, the Director owns a direct stake of 3,908,250 shares, worth $472,000,000, as per the last closing price. On 2018/11/28 Burke Richard T, Director at UNH, dumped 6,090 shares at an average price of $281.72 per share. The selling total is valued at $478,000,000.
Director, Wilensky Gail R had divested 5,880 shares for $59,444 through a trade on 2018/11/28. Following this activity, the insider holds 1,645,048 shares worth $15,793,676 as of recent close. Wall Street’s most bullish UnitedHealth Group Incorporated (NYSE:UNH) analysts are predicting the share price to blow past $335 per share during the next 12 months. The current median share price forecast by them is $308, suggesting that the stock could increase 15.92% in that time frame. The average price target of $305.48 calls for a nearly 14.98% increase in the stock price.
When looking at valuations, UnitedHealth Group Incorporated (UNH) has a cheap P/E of 21.8x as compared to industry average of 22.91x. Moreover, it trades for 15.99 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 5.11x price/book and 1.13x price/sales. Compared to others, UnitedHealth Group Incorporated is in a different league with regards to profitability, having net margins of 5.2%. To put some perspective around this, the industry’s average net margin is 4.87%. UNH’s ROE is 24.5%, which is also considerably better than the industry’s ROE of 20.05%.
UNH last reported earnings on January 15, 2019 when it released Sep-18 results that exceeded expectations. The company raked in $3.41 per share, -4.48% change on the same period last year. That was better than consensus for $3.29. Revenue for the recent quarter stood at $56.56 billion, up 12% on last year and above the $56.35 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $59.22 billion to $60.2 billion, which should be compared with $57.6 billion generated last year. EPS is seen in a range of $3.49 to $3.64, against the $3 reported a year ago.