Unitedhealth Stock Buy Hold or Sell Recommendation

UNH
 Stock
  

USD 540.42  3.28  0.60%   

Considering the 90-day investment horizon and your slightly conservative level of risk, our recommendation regarding Unitedhealth Group is 'Strong Buy'. Macroaxis provides Unitedhealth buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding UNH positions. The advice algorithm takes into account all of Unitedhealth's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Unitedhealth's buy-and-hold perspective. Also, please take a look at Unitedhealth Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Unitedhealth and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Unitedhealth Group.

Execute Unitedhealth Buy or Sell Advice

The Unitedhealth recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Unitedhealth Group. Macroaxis does not own or have any residual interests in Unitedhealth Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Unitedhealth's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell UnitedhealthBuy Unitedhealth
Strong Buy

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

Fairly ValuedDetails

Odds of Distress

Very LowDetails

Economic Sensitivity

Follows the market closelyDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Unitedhealth Group has a Risk Adjusted Performance of 0.1365, Jensen Alpha of 0.1122, Total Risk Alpha of 0.0757, Sortino Ratio of 0.061 and Treynor Ratio of 0.2015
Macroaxis provides recommendation on Unitedhealth Group to complement and cross-verify current analyst consensus on Unitedhealth Group. Our trade recommendation engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Unitedhealth Group is not overpriced, please validate all Unitedhealth fundamentals, including its current ratio, retained earnings, and the relationship between the net income and price to earnings to growth . Given that Unitedhealth Group has a price to earning of 33.75 X, we advise you to double-check Unitedhealth Group market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Unitedhealth Trading Alerts and Improvement Suggestions

The company has 51.39 B in debt with debt to equity (D/E) ratio of 0.63, which is OK given its current industry classification. Unitedhealth Group has a current ratio of 0.75, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Unitedhealth until it has trouble settling it off, either with new capital or with free cash flow. So, Unitedhealth's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Unitedhealth Group sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Unitedhealth to invest in growth at high rates of return. When we think about Unitedhealth's use of debt, we should always consider it together with cash and equity.
Over 90.0% of Unitedhealth outstanding shares are owned by institutional investors
On 28th of June 2022 Unitedhealth paid $ 1.65 per share dividend to its current shareholders
Latest headline from www.fool.com: Worried About a Recession Buy These 3 Stocks and Hold Forever - The Motley Fool

Unitedhealth current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Unitedhealth analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Unitedhealth analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price572.87
Target Median Price587.00
Target High Price632.00
Recommendation Mean1.80
Number Of Analyst Opinions25
Target Low Price360.00
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Unitedhealth Returns Distribution Density

The distribution of Unitedhealth's historical returns is an attempt to chart the future uncertainty of Unitedhealth's future price movements. The chart of the probability distribution of Unitedhealth stock daily returns describes the distribution of returns around its average expected value. We use Unitedhealth Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Unitedhealth returns is essential to provide solid investment advice for Unitedhealth stock.
Mean Return0.18Value At Risk-2.56
Potential Upside2.07Standard Deviation1.72
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Unitedhealth historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Unitedhealth Cash Flow Accounts

201720182019202020212022 (projected)
Net Cash Flow from Financing(3.44 B)(4.37 B)(5.62 B)(3.59 B)(7.46 B)(7.65 B)
Net Cash Flow from Investing(8.6 B)(12.38 B)(12.7 B)(12.53 B)(10.37 B)(11.19 B)
Net Cash Flow from Operations13.6 B15.71 B18.46 B22.17 B22.34 B24.11 B

Unitedhealth Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Unitedhealth or Healthcare sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Unitedhealth stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Unitedhealth stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.11
β
Beta against DOW0.86
σ
Overall volatility
1.74
Ir
Information ratio 0.06

Unitedhealth Volatility Alert

Unitedhealth Group has relatively low volatility with skewness of 0.61 and kurtosis of 2.67. However, we advise all investors to independently investigate Unitedhealth Group to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Unitedhealth's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Unitedhealth's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Unitedhealth Implied Volatility

Unitedhealth's implied volatility" href="/stock-options/UNH/Unitedhealth-Group">Unitedhealth's implied volatility exposes the market's sentiment of Unitedhealth Group stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Unitedhealth's implied volatility" href="/stock-options/UNH/Unitedhealth-Group">Unitedhealth's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Unitedhealth stock will not fluctuate a lot when Unitedhealth's options" href="/stock-options/UNH/Unitedhealth-Group">Unitedhealth's options are near their expiration.

Unitedhealth Fundamentals Vs Peers

Comparing Unitedhealth's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Unitedhealth's direct or indirect competition across all of the common fundamentals between Unitedhealth and the related equities. This way, we can detect undervalued stocks with similar characteristics as Unitedhealth or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Unitedhealth's fundamental indicators could also be used in its relative valuation, which is a method of valuing Unitedhealth by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Unitedhealth to competition
FundamentalsUnitedhealthPeer Average
Return On Equity24.25 %(0.31) %
Return On Asset7.19 %(0.14) %
Profit Margin5.95 %(1.27) %
Operating Margin8.99 %(5.51) %
Current Valuation543.57 B16.62 B
Shares Outstanding941.85 M571.82 M
Shares Owned by Insiders0.55 %10.09 %
Shares Owned by Institutions89.62 %39.21 %
Number of Shares Shorted5.68 M4.71 M
Price to Earning33.75 X28.72 X
Price to Book7.29 X9.51 X
Price to Sales1.67 X11.42 X
Revenue306.56 B9.43 B
Gross Profit69.65 B27.38 B
EBITDA27.57 B3.9 B
Net Income18.25 B570.98 M
Cash and Equivalents27.96 B2.7 B
Cash per Share29.44 X5.01 X
Total Debt51.39 B5.32 B
Debt to Equity0.63 %48.70 %
Current Ratio0.77 X2.16 X
Book Value Per Share74.61 X1.93 K
Cash Flow from Operations22.99 B971.22 M
Short Ratio1.33 X4.00 X
Earnings Per Share16.11 X3.12 X
Price to Earnings To Growth1.73 X4.89 X
Number of Employees350 K18.84 K
Beta0.77-0.15
Market Capitalization512.08 B19.03 B
Total Asset111.25 B29.47 B
Retained Earnings39.76 B9.33 B
Working Capital(11.26 B)1.48 B
Current Asset31.64 B9.34 B
   Exercise or conversion by John Rex of 44757 shares of Unitedhealth subject to Rule 16b-3 [view details]

Unitedhealth Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Unitedhealth . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution440.79
Daily Balance Of Power(0.93)
Rate Of Daily Change0.99
Day Median Price540.33
Day Typical Price540.36
Market Facilitation Index1.0E-4
Price Action Indicator(1.55)

About Unitedhealth Buy or Sell Advice

When is the right time to buy or sell Unitedhealth Group? Buying financial instruments such as Unitedhealth Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Unitedhealth investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Accounts Payable40.7 B44.37 B49.13 B53 B
Receivables21.46 B25.4 B28.08 B30.3 B

Use Investing Ideas to Build Portfolios

In addition to having Unitedhealth in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Communication Thematic Idea Now

Communication
Communication Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Communication theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Communication Theme or any other thematic opportunities.
View All  Next Launch
Also, please take a look at Unitedhealth Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Unitedhealth Group information on this page should be used as a complementary analysis to other Unitedhealth's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.

Complementary Tools for Unitedhealth Stock analysis

When running Unitedhealth Group price analysis, check to measure Unitedhealth's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Unitedhealth is operating at the current time. Most of Unitedhealth's value examination focuses on studying past and present price action to predict the probability of Unitedhealth's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Unitedhealth's price. Additionally, you may evaluate how the addition of Unitedhealth to your portfolios can decrease your overall portfolio volatility.
Price Transformation
Use Price Transformation models to analyze depth of different equity instruments across global markets
Go
Earnings Calls
Check upcoming earnings announcements updated hourly across public exchanges
Go
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Go
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Go
Portfolio Holdings
Check your current holdings and cash postion to detemine if your portfolio needs rebalancing
Go
Bond Analysis
Evaluate and analyze corporate bonds as a potential investment for your portfolios.
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Go
Is Unitedhealth's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Unitedhealth. If investors know Unitedhealth will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Unitedhealth listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Unitedhealth Group is measured differently than its book value, which is the value of Unitedhealth that is recorded on the company's balance sheet. Investors also form their own opinion of Unitedhealth's value that differs from its market value or its book value, called intrinsic value, which is Unitedhealth's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Unitedhealth's market value can be influenced by many factors that don't directly affect Unitedhealth's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Unitedhealth's value and its price as these two are different measures arrived at by different means. Investors typically determine Unitedhealth value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Unitedhealth's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.