UnitedHealth Group (UNH) closed at $522.80 in the latest trading session, marking a -0.14% move from the prior day. This change was narrower than the S&P 500's daily loss of 1.13%. At the same time, the Dow lost 1.01%, and the tech-heavy Nasdaq lost 0.07%.
Heading into today, shares of the largest U.S. health insurer had lost 3.86% over the past month, outpacing the Medical sector's loss of 4.89% and the S&P 500's loss of 7.59% in that time.
UnitedHealth Group will be looking to display strength as it nears its next earnings release, which is expected to be October 14, 2022. The company is expected to report EPS of $5.45, up 20.58% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $80.71 billion, up 11.58% from the prior-year quarter.
UNH's full-year Zacks Consensus Estimates are calling for earnings of $21.85 per share and revenue of $322.11 billion. These results would represent year-over-year changes of +14.88% and +12%, respectively.
Investors might also notice recent changes to analyst estimates for UnitedHealth Group. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.11% lower. UnitedHealth Group is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note UnitedHealth Group's current valuation metrics, including its Forward P/E ratio of 23.96. Its industry sports an average Forward P/E of 19.47, so we one might conclude that UnitedHealth Group is trading at a premium comparatively.
It is also worth noting that UNH currently has a PEG ratio of 1.64. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs industry currently had an average PEG ratio of 1.16 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report
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