UnitedHealth Group (UNH) Rises Yet Lags Behind Market: Some Facts Worth Knowing

Company Performance - UnitedHealth Group (UNH) closed at $298.17, reflecting a slight increase of +0.02% from the previous trading day's closing, but lagged behind the S&P 500's daily gain of 0.4% [1] - Over the past month, shares of UnitedHealth Group have decreased by 27.55%, while the Medical sector has lost 3.41% and the S&P 500 has gained 6.69% [1] Earnings Forecast - UnitedHealth Group is projected to report earnings of $5.47 per share, indicating a year-over-year decline of 19.56% [2] - Revenue is expected to reach $112.14 billion, showing a 13.44% increase compared to the same quarter last year [2] Annual Estimates - For the entire year, earnings are forecasted at $23.38 per share, reflecting a decrease of 15.47%, while revenue is estimated at $451.8 billion, indicating an increase of 12.87% compared to the previous year [3] - Recent changes to analyst estimates suggest evolving short-term business trends, with positive revisions indicating analyst optimism about the company's profitability [3] Stock Performance and Valuation - The Zacks Rank system currently rates UnitedHealth Group as 5 (Strong Sell), with the consensus EPS estimate moving 13.7% lower over the last 30 days [5] - UnitedHealth Group has a Forward P/E ratio of 12.75, which aligns with the industry average, and a PEG ratio of 1.17, compared to the industry average PEG ratio of 0.97 [6] Industry Context - The Medical - HMOs industry, part of the Medical sector, holds a Zacks Industry Rank of 89, placing it in the top 37% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]