UnitedHealth Q4 revenue slightly misses estimates

Overview

• Health care company's Q4 revenue slightly missed analyst expectations

• Full year 2025 revenue grew 12% to $447.6 bln

• Company took $2.8 bln charge for restructuring and other actions

Outlook

• UnitedHealth projects 2026 revenue to exceed $439 bln

• Company expects 2026 adjusted EPS greater than $17.75

• UnitedHealth anticipates 2026 operating margin of 5.5%

Result Drivers

• UNITEDHEALTHCARE GROWTH - UnitedHealthcare revenues rose 16% to $344.9 bln, driven by growth in Medicare & Retirement and Community & State segments

• OPTUM REVENUE INCREASE - Optum revenues increased 7% to $270.6 bln, supported by growth in pharmacy services and volume from new and existing clients

• RESTRUCTURING AND TRANSPARENCY - Co undertook restructuring and transparency initiatives, including a $2.8 bln charge for cyberattack costs, divestitures, and other actions

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 20 "strong buy" or "buy", 8 "hold" and 2 "sell" or "strong sell"

• The average consensus recommendation for the managed healthcare peer group is "buy"

• Wall Street's median 12-month price target for UnitedHealth Group Inc is $410.00, about 16.6% above its January 26 closing price of $351.64

• The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release: ID:nBwbcT8vza

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