Analysts’ views on UnitedHealth Group
UnitedHealth Group (UNH) is the leading managed healthcare company in the United States and one of the largest Fortune 500 companies. The company is focused on establishing itself as a diversified healthcare business and operates across UnitedHealthcare and Optum business divisions. In this part of the series, let’s look at analysts’ recommendations for UNH stock.
As of September 5, according to a Reuters survey of 23 analysts covering UNH stock, all the analysts have “buy” or “strong buy” recommendations for UnitedHealth Group. Eleven of those analysts have a “strong buy” rating for the stock, and the remaining 12 have rated the stock a “buy.” None of the analysts gave it a “hold” or “sell” recommendation for UNH stock.
According to the analysts, the consensus target price for UNH stock for the next 12 months is $284.50. That target price represents a return of ~6% for the next 12 months. It’s based on UNH’s closing price of $268.46.
Analysts’ average target prices for UNH peers Anthem (ANTM), Cigna (CI), and Aetna (AET) are $297.28, $223.06, and $203.27, respectively, implying 12.7%, 19.9%, and 1.2% returns over the next 12 months.
Recent ratings and target price updates
On September 5, Morgan Stanley raised its target price for UNH stock from $278 to $305. On September 4, Credit Suisse raised its target price from $270 to $304. In July, a number of investment research firms raised their recommendations and target prices after the company reported its Q2 2018 earnings results on July 17, although the stock fell that day.