UBS reiterates buy rating on Option Care Health stock amid UnitedHealth concerns

Published 24/06/2025, 15:44
© Reuters.

Investing.com - UBS maintained its buy rating and $40.00 price target on Option Care Health (NASDAQ:OPCH) stock on Tuesday amid investor concerns about potential impacts from UnitedHealth Group (NYSE:UNH)’s elevated medical costs. For deeper insights into OPCH’s valuation metrics and financial health indicators, check out InvestingPro.

UnitedHealth represents Option Care Health’s only payer accounting for more than 10% of total revenues, prompting questions about possible implications for the home infusion provider as UnitedHealth faces medical cost challenges.

Option Care Health does not expect UnitedHealth’s issues to negatively affect its outlook, according to UBS. Instead, the company sees an opportunity to demonstrate its value proposition to health plans.

The company believes it can help insurers reduce total cost of care for patients by providing services in one of the lowest-cost care settings. Option Care Health positions itself as one of the only scaled national providers for acute therapies.

Management indicated the situation is leading to more productive discussions with payers about the value Option Care Health provides, though it does not anticipate a massive shift or impact from a payer perspective.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.