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UnitedHealth Group (UNH) Stock Moves -0.67%: What You Should Know

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In the latest trading session, UnitedHealth Group (UNH - Free Report) closed at $519.33, marking a -0.67% move from the previous day. This change was narrower than the S&P 500's 0.78% loss on the day. Meanwhile, the Dow lost 0.88%, and the Nasdaq, a tech-heavy index, lost 0.26%.

Prior to today's trading, shares of the largest U.S. health insurer had lost 2.36% over the past month. This has was narrower than the Medical sector's loss of 5.42% and the S&P 500's loss of 3.4% in that time.

UnitedHealth Group will be looking to display strength as it nears its next earnings release. On that day, UnitedHealth Group is projected to report earnings of $5.47 per share, which would represent year-over-year growth of 21.02%. Our most recent consensus estimate is calling for quarterly revenue of $80.71 billion, up 11.58% from the year-ago period.

UNH's full-year Zacks Consensus Estimates are calling for earnings of $21.88 per share and revenue of $322.11 billion. These results would represent year-over-year changes of +15.04% and +12%, respectively.

Investors should also note any recent changes to analyst estimates for UnitedHealth Group. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% higher. UnitedHealth Group is currently a Zacks Rank #3 (Hold).

Investors should also note UnitedHealth Group's current valuation metrics, including its Forward P/E ratio of 23.9. This valuation marks a premium compared to its industry's average Forward P/E of 19.11.

We can also see that UNH currently has a PEG ratio of 1.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical - HMOs was holding an average PEG ratio of 1.14 at yesterday's closing price.

The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 162, which puts it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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