Industry Overview - Health insurance companies are facing volatility due to President Trump's renewed criticism of the Affordable Care Act (ACA), labeling insurers as "BIG," "BAD," and "money sucking" [1] - Market tension was observed on November 10, affecting major companies like Centene, Oscar Health, and Elevance Health, as well as larger firms such as UnitedHealth Group, Humana, and CVS [1] Legislative Context - Trump's remarks coincided with Congress's efforts to resolve the longest government shutdown in U.S. history, with a key debate focusing on the expiration of ACA subsidies [2] - The proposal to transfer funds directly to consumers from the government, bypassing insurers, raises concerns about potential revenue volatility for insurers operating in the marketplace model [2] Company Profile: UnitedHealth Group - UnitedHealth Group, based in Minnetonka, Minnesota, is the largest managed healthcare company in the U.S., with a market capitalization exceeding $291 billion [3] - The company operates through two main segments: UnitedHealthcare (insured segment) and Optum (health services and analytics segment) [3] Stock Performance - Over the past 52 weeks, UnitedHealth's stock has fluctuated between $234.60 and $622.83, with a decline of over 30% noted in 2025 [4] Valuation Metrics - UnitedHealth Group's current valuation shows a price-earnings multiple of 15.43x (TTM) and a forward P/E of 19.88x, indicating a lower valuation compared to its five-year average [5] - The price-sales multiple stands at 0.73x and the price-cash flow multiple at 10.01x, suggesting the company is moderately undervalued relative to its historical valuation and peers like Elevance and Humana [5] - The company maintains a return on equity (ROE) of 19.23% and a profit margin of 3.6%, with a debt-equity ratio of 0.71x, reflecting solid performance within the managed care sector [5]

Core Viewpoint - The article highlights the emergence of stocks that exhibit immunity to recent trade tariffs as a new commodity in financial markets, suggesting that these stocks will be highly sought after due to their perceived safety and stability amid market volatility [1] Group 1: Waste Management Inc. (WM) - Waste Management's stock has outperformed the S&P 500 index by 10% over the past month, indicating strong market sentiment and price action [4] - The company's services are unaffected by trade tariffs, positioning it as a recession-proof investment, making it an attractive option for investors seeking safety [5][6] - Analysts from Scotiabank have set a price target of $260 per share for Waste Management, suggesting a potential upside of 13% from current levels [6] Group 2: UnitedHealth Group Inc. (UNH) - UnitedHealth's stock is currently trading at $427.10, which is 68% of its 52-week high, presenting significant upside potential in a stable sector unaffected by trade tariffs [7][8] - Analysts maintain a consensus price target of $608 per share, indicating an implied upside of 41.3%, which is notable for a company of its size [8] - The expected inflation effects from tariffs may allow UnitedHealth to increase premiums, further enhancing its financial outlook [9] Group 3: Goldman Sachs Group Inc. (GS) - Goldman Sachs has reported record trading revenue due to market volatility, positioning it favorably in the financial sector, which is not impacted by trade tariffs [11] - The firm is poised to benefit from increased activity in mergers and acquisitions and initial public offerings once market uncertainty subsides, with billions in fees anticipated [12] - Analysts at Barclays have reiterated an Overweight rating on Goldman Sachs, with a price target of $650 per share, suggesting a potential upside of 25.3% [13]