UnitedHealth Group (UNH) Boasts Earnings & Price Momentum: Should You Buy?
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Breaking Down the Zacks Focus List
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When stocks are picked for the Focus List, it reflects our enduring reliance on the power of earnings estimate revisions.
Brokerage analysts are in charge of determining a company's growth and profitability expectations, or earnings estimates. These analysts work together with company management to evaluate all factors that may affect future earnings, like interest rates, the economy, and sector and industry optimism.
Earnings estimate revisions are very important, since investors also need to take into consideration what a company will earn in the future.
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The Focus List is comprised of stocks hand-picked from a long list of #1 (Strong Buy) or #2 (Buy) ranked companies, meaning that each new addition boasts a bullish earnings consensus among analysts.
Since stock prices respond to revisions, it can be very profitable to buy stocks with rising earnings estimates. By buying Focus List stocks, then, you're likely getting into companies whose future earnings estimates will be raised, potentially leading to price momentum.
Focus List Spotlight: UnitedHealth Group (UNH)
UnitedHealth Group, Inc. provides a wide range of health care products and services, such as health maintenance organizations (HMOs), point of service plans (POS), preferred provider organizations (PPOs), and managed fee-for-service programs.
Since being added to the Focus List on June 22, 2015 at $120.33 per share, shares of UNH have increased 257.11% to $429.71. The stock is currently a #3 (Hold) on the Zacks Rank.
Nine analysts revised their earnings estimate higher in the last 60 days for fiscal 2021, while the Zacks Consensus Estimate has increased $0.16 to $18.76. UNH also boasts an average earnings surprise of 12.5%.
Earnings for UNH are forecasted to see growth of 11.1% for the current fiscal year as well.
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UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report
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