UnitedHealth falls after report on co secretly paying nursing homes to reduce hospital transfers

Shares of UnitedHealth UNH.N fall 4% to $309.02 premarket

UNH secretly paid nursing homes thousands in bonuses to help slash hospital transfers for ailing residents as part of a series of cost-cutting tactics that saved co millions, but at times risked residents' health, The Guardian reports

"The U.S. Department of Justice investigated these allegations, interviewed witnesses, and obtained thousands of documents that demonstrated the significant factual inaccuracies in the allegations," UNH says in response

UNH shares fell more than 8% before paring losses

Separately, brokerage HSBC cuts stock to 'reduce' from 'hold', slashes PT to $270 from $490

"New CEO has opportunity to start on a clean(er) slate, but we see risk to earnings growth along with policy overhang," HSBC analysts writes in note

Healthcare conglomerate's shares have been under pressure following its CEO's exit, suspension of its annual forecast and WSJ report of criminal probe for possible Medicare fraud

Shares down ~36.4% YTD