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Stephens boosts UnitedHealth shares target, reflects on 2026 EPS estimates

EditorAhmed Abdulazez Abdulkadir
Published 12/05/2024, 08:08 PM
UNH
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Thompson was remembered as a highly accomplished executive who was also friendly and humble. The managed care investment community is reportedly in shock and saddened by the loss. The analyst conveyed condolences, stating that thoughts and prayers are with Thompson's family and colleagues at UNH.Despite the tragic event, the analyst provided an update on estimates and a detailed review of the 2025 guidance metrics.

The new price target of $675 is now based on approximately 19.9 times the firm's 2026 estimated adjusted earnings per share. The note also mentioned that the price target has been rolled forward one year to align with the 2026 estimates. The company maintains strong fundamentals with a healthy dividend yield of 1.38% and has consistently raised its dividend for 15 consecutive years. The company maintains strong fundamentals with a healthy dividend yield of 1.38% and has consistently raised its dividend for 15 consecutive years.

Thompson was remembered as a highly accomplished executive who was also friendly and humble. The managed care investment community is reportedly in shock and saddened by the loss. The analyst conveyed condolences, stating that thoughts and prayers are with Thompson's family and colleagues at UNH.Despite the tragic event, the analyst provided an update on estimates and a detailed review of the 2025 guidance metrics.

The new price target of $675 is now based on approximately 19.9 times the firm's 2026 estimated adjusted earnings per share. The note also mentioned that the price target has been rolled forward one year to align with the 2026 estimates. The company maintains strong fundamentals with a healthy dividend yield of 1.38% and has consistently raised its dividend for 15 consecutive years.

Thompson was remembered as a highly accomplished executive who was also friendly and humble. The managed care investment community is reportedly in shock and saddened by the loss. The analyst conveyed condolences, stating that thoughts and prayers are with Thompson's family and colleagues at UNH.

Despite the tragic event, the analyst provided an update on estimates and a detailed review of the 2025 guidance metrics. The new price target of $675 is now based on approximately 19.9 times the firm's 2026 estimated adjusted earnings per share. The note also mentioned that the price target has been rolled forward one year to align with the 2026 estimates.

In other recent news, UnitedHealth Group (NYSE:UNH) announced the unexpected passing of its UnitedHealthcare division CEO, Brian Thompson. The company has not yet disclosed details about Thompson's successor or any interim leadership changes.

In financial highlights, UnitedHealth Group recently released its 2025 financial forecast, projecting revenues between $450 billion and $455 billion, and net earnings per share ranging from $28.15 to $28.65. However, the projected operating cash flow of $32 billion to $33 billion falls slightly below analyst estimates of $33.77 billion. UnitedHealth Group also declared a cash dividend of $2.10 per share for December.

Analysts from TD Cowen, KeyBanc, and RBC Capital adjusted their price targets for UnitedHealth Group following these announcements. TD Cowen raised its price target, expressing optimism in the company's financial trajectory, while KeyBanc and RBC Capital lowered their targets, citing higher medical costs and a 2025 earnings outlook that didn't meet expectations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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