UnitedHealth Stock in the Spotlight Ahead of Q2 Earnings Thursday

UnitedHealth Group Incorporated (NYSE:UNH) shares are in the spotlight Wednesday as the company is expected to report second-quarter earnings on Thursday before the market opens.

• UnitedHealth shares are experiencing downward pressure. What’s pulling UNH shares down?

Earnings Preview & History

UnitedHealth is expected to report earnings per share of $4.85 along with revenue of $110.77 billion. The company has beaten EPS estimates in 3 consecutive quarters.

In the most recent quarter, UnitedHealth Group reported EPS of $7.23, beating estimates of $6.56 by 0.10%. Revenue came in at $111.72B, exceeding the estimate of $109.57B by 0.02%.

Investors should watch Medicare Advantage membership trends and pricing commentary tied to the recent payment hike, since that’s the macro tailwind currently supporting sentiment in the group. They should also track growth in Optum’s services and pharmacy benefit businesses, which would need to offset any flat-to-down consolidated revenue.

Analyst Consensus & Recent Actions

The stock carries a Buy rating with an average price target of $432.63. Recent analyst moves include:

• TD Cowen: Hold (Raises Target to $430.00) (July 14)
• Truist Securities: Buy (Raises Target to $480.00) (July 14)
• Keybanc: Overweight (Raises Target to $475.00) (July 14)

UnitedHealth Shares Tumble

UNH Price Action: At the time of publication, UnitedHealth shares are trading 2.20% lower at $415.85, according to data from Benzinga Pro.

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