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UnitedHealth Group (UNH) Gains But Lags Market: What You Should Know
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In the latest trading session, UnitedHealth Group (UNH - Free Report) closed at $313.07, marking a +0.42% move from the previous day. This change lagged the S&P 500's 0.53% gain on the day. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq gained 1.42%.
Heading into today, shares of the largest U.S. health insurer had lost 2.64% over the past month, lagging the Medical sector's loss of 1.05% and outpacing the S&P 500's loss of 3.76% in that time.
Investors will be hoping for strength from UNH as it approaches its next earnings release, which is expected to be October 14, 2020. In that report, analysts expect UNH to post earnings of $5.18 per share. This would mark year-over-year growth of 33.51%. Meanwhile, our latest consensus estimate is calling for revenue of $63.73 billion, up 5.61% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $16.58 per share and revenue of $255.06 billion, which would represent changes of +9.73% and +5.33%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for UNH. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. UNH is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note UNH's current valuation metrics, including its Forward P/E ratio of 18.8. Its industry sports an average Forward P/E of 15.49, so we one might conclude that UNH is trading at a premium comparatively.
Also, we should mention that UNH has a PEG ratio of 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs industry currently had an average PEG ratio of 1.48 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This group has a Zacks Industry Rank of 30, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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UnitedHealth Group (UNH) Gains But Lags Market: What You Should Know
In the latest trading session, UnitedHealth Group (UNH - Free Report) closed at $313.07, marking a +0.42% move from the previous day. This change lagged the S&P 500's 0.53% gain on the day. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq gained 1.42%.
Heading into today, shares of the largest U.S. health insurer had lost 2.64% over the past month, lagging the Medical sector's loss of 1.05% and outpacing the S&P 500's loss of 3.76% in that time.
Investors will be hoping for strength from UNH as it approaches its next earnings release, which is expected to be October 14, 2020. In that report, analysts expect UNH to post earnings of $5.18 per share. This would mark year-over-year growth of 33.51%. Meanwhile, our latest consensus estimate is calling for revenue of $63.73 billion, up 5.61% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $16.58 per share and revenue of $255.06 billion, which would represent changes of +9.73% and +5.33%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for UNH. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. UNH is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note UNH's current valuation metrics, including its Forward P/E ratio of 18.8. Its industry sports an average Forward P/E of 15.49, so we one might conclude that UNH is trading at a premium comparatively.
Also, we should mention that UNH has a PEG ratio of 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs industry currently had an average PEG ratio of 1.48 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This group has a Zacks Industry Rank of 30, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.