Opinions Stephen Weiss, Founder, Short Hills Capital Partners
UnitedHealth Group IncUNHCOMMENTJun 24, 2024
Stock price when the opinion was issued
As of Sep 25, 2026. Market Open.
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He's bought and sold this over 15 years. Now, earnings are closer to a trough than a peak, and analysts guided up after their last report.
Kevin Simpson
Costs are still running high. He still owns as part of a diversified healthcare allocation, but he's neutral on whether it's the best place for new $$. Over time, will probably give you 10-11% per year (decent compounding, but not a top pick idea).
Dan Rohinton
(Note the shortish timeframe.) Bumpy road. Biggest weight on stock has been Trump administration's proposal to essentially flatten (increase of 0.1%) Medicare Advantage rates in 2027. That miniscule increase combined with medical cost inflation really puts pressure on.
Trying to prioritize margins over growth. Insurance products will be repriced next year, should see better growth in topline and bottom line.
He owns CVS instead, and a third of their business is health insurance, which 100% of UNH's business. The problem with US healthcare is all the news coming out of Washington. A lot of their business is dictated by the whims of one or two people in the U.S. Still a good business, but is a little speculative.
He used to own it and likes it long term. But the government requirements are shifting the risk in Medicaid and Medicare payments to doctors. If doctors spend more on a patient, then doctors must eat that loss and don't receive all the Medicare/Medicaid to cover that amount. This has hurt companies like Humana. But UNH has such a dominant position in the market and is a permanent compounder.