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Investing.com - Cantor Fitzgerald has reiterated its Overweight rating for UnitedHealth Group (NYSE:UNH) with a price target of $440.00, identifying a potential turning point for the healthcare giant. The stock, currently trading near its 52-week low of $248.88, appears undervalued according to InvestingPro analysis, with a market capitalization of $235.25 billion.
The investment firm significantly reduced its 2025 earnings per share (EPS) estimate to $16.01 from $23.01, while projecting 6.7% growth to $17.09 in 2026 and 8.7% growth to $18.57 in 2027.
Cantor Fitzgerald believes UnitedHealth intentionally set conservative guidance for 2025-2027 to establish a pattern of predictable earnings with potential for exceeding expectations.
The firm expects earnings improvement in Medicare and Marketplace segments, flat margins in Optum Rx/Insight, and margin pressure in Medicaid over the coming years.
Beyond 2027, Cantor Fitzgerald anticipates UnitedHealth could achieve low-double-digit growth, potentially returning to its long-term growth range of 13-16%.
In other recent news, UnitedHealth Group has been the subject of multiple analyst updates and projections. UBS has maintained its Buy rating with a price target of $330, noting the company’s strategy to navigate Medicare Advantage challenges. Oppenheimer has lowered its price target to $325 from $400, citing UnitedHealth’s adjusted earnings per share guidance for 2025, which they believe could represent a low point before expected growth in 2026. Piper Sandler also adjusted its price target to $317 from $353, highlighting the company’s recent earnings call that provided significant transparency into its business operations. Mizuho (NYSE:MFG) maintained its Outperform rating with a $350 price target, acknowledging ongoing pricing pressures and elevated medical cost trends through 2026. Meanwhile, BofA Securities reduced its price target to $300, reflecting a slower-than-anticipated recovery pace. These developments indicate a varied analyst outlook on UnitedHealth’s financial trajectory in the coming years.
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