Domo signs strategic collaboration agreement with AWS for AI solutions
Investing.com - Cantor Fitzgerald has reiterated an Overweight rating on UnitedHealth Group (NYSE:UNH) with a price target of $440.00, despite the stock’s challenging year with a 39% YTD decline. According to InvestingPro data, the healthcare giant maintains strong fundamentals with a 9.7% revenue growth and healthy 20.8% gross margins.
The research firm noted that UnitedHealth accepted a 2026 Medicare Advantage rate that is lower than its 2024 rate.
Specifically, UnitedHealth accepted a 9.3% rate for 2026, compared to the 12.3% rate it had initially proposed.
This accepted rate is also lower than the 10.2% rate UnitedHealth accepted for 2024.
Cantor Fitzgerald expressed concern about this development, particularly as market deterioration in 2026 is anticipated to be significantly worse than in 2024.
In other recent news, UnitedHealth Group has announced a quarterly cash dividend of $2.21 per share, set to be paid on September 23, 2025. This decision underscores the company’s ongoing commitment to return value to its shareholders. Meanwhile, Berkshire Hathaway, led by Warren Buffett, disclosed a significant investment in UnitedHealth, acquiring 5 million shares in the second quarter. This move by Berkshire, along with other prominent investors increasing their stakes, indicates a notable investor interest in the company.
In terms of analyst activity, Morgan Stanley has lowered its price target for UnitedHealth Group to $325, citing revelations from the second quarter that suggest a longer turnaround period. Bernstein has also reduced its price target to $377, reflecting concerns about extended performance weakness. Conversely, BofA Securities raised its price target to $325, attributing the adjustment to improved peer multiples. These developments highlight varying perspectives on UnitedHealth’s future performance.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.