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Here's How Much a $1000 Investment in UnitedHealth Group Made 10 Years Ago Would Be Worth Today
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For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in UnitedHealth Group (UNH - Free Report) ten years ago? It may not have been easy to hold on to UNH for all that time, but if you did, how much would your investment be worth today?
UnitedHealth Group's Business In-Depth
With that in mind, let's take a look at UnitedHealth Group's main business drivers.
UnitedHealth Group, Inc. provides a wide range of health care products and services, such as health maintenance organizations (HMOs), point of service plans (POS), preferred provider organizations (PPOs), and managed fee-for-service programs.
UnitedHealth has the largest and most diverse membership base within the managed-care organization market, which gives it significant competitive advantages. It has built its prescription drug business through OptumRx division, with the acquisition of Catamaran. The company has acquired a number of competing healthcare providers. These acquisitions have transformed it from a pure health insurer to a comprehensive healthcare provider.
UnitedHealth reports through two segments: UnitedHealthcare and Optum. Its strategy is to meld the provision of medical care from its Optum unit with UnitedHealthcare brand insurance products, which help in cross-selling of products and services. The company is consistently working toward expanding both these units to reach more clients, in turn boosting its growth possibilities.
UnitedHealthcare (contributed 58.9% of revenues in 2021) is divided into UnitedHealthcare Employer & Individual; UnitedHealthcare Medicare & Retirement; UnitedHealthcare Community & State and UnitedHealthcare Global. This segment is responsible for providing health care benefits globally. It serves individuals as well as employers. Medicare and Medicaid beneficiaries consist a large chunk of its client list.
Optum (41.1%) is a technology-enabled health services business serving the broad health care marketplace, including those who need care: the consumers who need the right support, information, resources and products; those who provide care: pharmacies, hospitals, physicians, practices and other health care facilities. The segment is divided into OptumHealth, OptumInsight, OptumRx and Optum eliminations.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For UnitedHealth Group, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in November 2012 would be worth $10,044.60, or a 904.46% gain, as of November 8, 2022, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 172.98% and the price of gold increased -7.23% over the same time frame in comparison.
Analysts are anticipating more upside for UNH.
UnitedHealth Group’s third-quarter earnings beat estimates. Its shares have outperformed the industry in a year. Its top line has been growing and the momentum should continue in the years ahead on the back of a strong market position, new deals, renewed agreements and expansion of service offerings. Our estimates suggest revenues for 2022 to rise 12% from the 2021 level. Its solid health services segment provides diversification benefits. UNH's Government business remains well-poised for growth. Adjusted net earnings per share are anticipated in the $21.85-$22.05 band, up from the prior projection of $21.40-$21.90. A sturdy balance sheet enables investments. However, softness in commercial business due to COVID-induced volatilities persists. Rising operating costs are hurting margins. As such, the stock warrants a cautious stance.
Shares have gained 9.25% over the past four weeks and there have been 11 higher earnings estimate revisions for fiscal 2022 compared to none lower. The consensus estimate has moved up as well.
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Here's How Much a $1000 Investment in UnitedHealth Group Made 10 Years Ago Would Be Worth Today
For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in UnitedHealth Group (UNH - Free Report) ten years ago? It may not have been easy to hold on to UNH for all that time, but if you did, how much would your investment be worth today?
UnitedHealth Group's Business In-Depth
With that in mind, let's take a look at UnitedHealth Group's main business drivers.
UnitedHealth Group, Inc. provides a wide range of health care products and services, such as health maintenance organizations (HMOs), point of service plans (POS), preferred provider organizations (PPOs), and managed fee-for-service programs.
UnitedHealth has the largest and most diverse membership base within the managed-care organization market, which gives it significant competitive advantages. It has built its prescription drug business through OptumRx division, with the acquisition of Catamaran. The company has acquired a number of competing healthcare providers. These acquisitions have transformed it from a pure health insurer to a comprehensive healthcare provider.
UnitedHealth reports through two segments: UnitedHealthcare and Optum. Its strategy is to meld the provision of medical care from its Optum unit with UnitedHealthcare brand insurance products, which help in cross-selling of products and services. The company is consistently working toward expanding both these units to reach more clients, in turn boosting its growth possibilities.
UnitedHealthcare (contributed 58.9% of revenues in 2021) is divided into UnitedHealthcare Employer & Individual; UnitedHealthcare Medicare & Retirement; UnitedHealthcare Community & State and UnitedHealthcare Global. This segment is responsible for providing health care benefits globally. It serves individuals as well as employers. Medicare and Medicaid beneficiaries consist a large chunk of its client list.
Optum (41.1%) is a technology-enabled health services business serving the broad health care marketplace, including those who need care: the consumers who need the right support, information, resources and products; those who provide care: pharmacies, hospitals, physicians, practices and other health care facilities. The segment is divided into OptumHealth, OptumInsight, OptumRx and Optum eliminations.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For UnitedHealth Group, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in November 2012 would be worth $10,044.60, or a 904.46% gain, as of November 8, 2022, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 172.98% and the price of gold increased -7.23% over the same time frame in comparison.
Analysts are anticipating more upside for UNH.
UnitedHealth Group’s third-quarter earnings beat estimates. Its shares have outperformed the industry in a year. Its top line has been growing and the momentum should continue in the years ahead on the back of a strong market position, new deals, renewed agreements and expansion of service offerings. Our estimates suggest revenues for 2022 to rise 12% from the 2021 level. Its solid health services segment provides diversification benefits. UNH's Government business remains well-poised for growth. Adjusted net earnings per share are anticipated in the $21.85-$22.05 band, up from the prior projection of $21.40-$21.90. A sturdy balance sheet enables investments. However, softness in commercial business due to COVID-induced volatilities persists. Rising operating costs are hurting margins. As such, the stock warrants a cautious stance.
Shares have gained 9.25% over the past four weeks and there have been 11 higher earnings estimate revisions for fiscal 2022 compared to none lower. The consensus estimate has moved up as well.