UnitedHealth Group (UNH) closed the latest trading day at $516.04, indicating a +0.06% change from the previous session's end. The stock's change was more than the S&P 500's daily loss of 1.97%. Elsewhere, the Dow lost 1.69%, while the tech-heavy Nasdaq lost 2.7%.
The the stock of largest U.S. health insurer has risen by 10.06% in the past month, leading the Medical sector's loss of 2.45% and the S&P 500's loss of 2.79%.
Market participants will be closely following the financial results of UnitedHealth Group in its upcoming release. The company plans to announce its earnings on April 17, 2025. The company's upcoming EPS is projected at $7.27, signifying a 5.21% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $111.01 billion, up 11.24% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $29.63 per share and a revenue of $451.2 billion, signifying shifts of +7.12% and +12.72%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for UnitedHealth Group. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Currently, UnitedHealth Group is carrying a Zacks Rank of #3 (Hold).
With respect to valuation, UnitedHealth Group is currently being traded at a Forward P/E ratio of 17.4. This represents a premium compared to its industry's average Forward P/E of 14.91.
We can additionally observe that UNH currently boasts a PEG ratio of 1.4. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Medical - HMOs industry had an average PEG ratio of 1.13.
The Medical - HMOs industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 206, finds itself in the bottom 18% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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