Unitedhealth Stock Story


USD 548.54  3.32  0.61%   

Unitedhealth Average Assets are most likely to increase significantly in the upcoming years. The last year's value of Average Assets was reported at 108.88 Billion. The current Earnings Before Interest Taxes and Depreciation Amortization EBITDA is estimated to increase to about 27.9 B, while Average Equity is projected to decrease to roughly 26.2 B. The essential intention for this outlook is to break down our current position on Unitedhealth for stockholders considering to short it. We will examine why Unitedhealth stockholders may still consider a stake in the business.
Published over a month ago
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Is Unitedhealth (NYSE:UNH) outlook positive for August 2022?

The entity has a beta of 0.8503, which indicates possible diversification benefits within a given portfolio. Let's try to break down what Unitedhealth's beta means in this case. Unitedhealth returns are very sensitive to returns on the market. As the market goes up or down, Unitedhealth is expected to follow. Even though it is essential to pay attention to Unitedhealth Group current price movements, it is always good to be careful when utilizing equity historical returns. Our philosophy towards measuring any stock's future performance is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. Unitedhealth Group exposes twenty-eight different technical indicators, which can help you to evaluate its performance. Unitedhealth Group has an expected return of -0.0779%. Please be advised to validate Unitedhealth semi variance, and the relationship between the treynor ratio and daily balance of power to decide if Unitedhealth Group performance from the past will be repeated at some point in the near future.
There are currently many different techniques concerning forecasting the market as a whole as well as predicting future values of individual securities such as Unitedhealth Group. Regardless of method or technology, to accurately forecast the stock or bond market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.

Predictive Modules for Unitedhealth

Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Unitedhealth's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Unitedhealth in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Unitedhealth. Your research has to be compared to or analyzed against Unitedhealth's peers to derive any actionable benefits. When done correctly, Unitedhealth's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Unitedhealth Group.

How important is Unitedhealth's Liquidity

Unitedhealth financial leverage refers to using borrowed capital as a funding source to finance Unitedhealth Group ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Unitedhealth financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Unitedhealth's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for Unitedhealth, but it might be worth checking our own buy vs. sell analysis

Exercise or conversion by John Rex of 44757 shares of Unitedhealth subject to Rule 16b-3

Legal trades by Unitedhealth insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Unitedhealth insider trading alert for exercise of non-qualified stock options (right to buy) by John Rex, EVP Chief Financial Officer, on 29th of July 2022. This event was filed by Unitedhealth Group Inc with SEC on 2022-07-29. Statement of changes in beneficial ownership - SEC Form 4. John Rex currently serves as chief financial officer, executive vice president of Unitedhealth Group [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Breaking it down a bit more

Unitedhealth Group exhibits very low volatility with skewness of 0.33 and kurtosis of 2.01. However, we advise investors to further study Unitedhealth Group technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Unitedhealth's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Unitedhealth's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Unitedhealth Implied Volatility

Unitedhealth's implied volatility exposes the market's sentiment of Unitedhealth Group stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Unitedhealth's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Unitedhealth stock will not fluctuate a lot when Unitedhealth's options are near their expiration.

Returns Breakdown

Return on Investment23.11
Return on Assets7.6
Return on Equity22.12
Return Capital0.53
Return on Sales0.0914

Another 3 percent rise for Unitedhealth

Current treynor ratio is at -0.14.
As of the 15th of July 2022, Unitedhealth has the risk adjusted performance of (0.09), and Coefficient Of Variation of (1,596). In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Unitedhealth Group, as well as the relationship between them. In other words, you can use this information to find out if the company will indeed mirror its model of past prices and volume data, or the prices will eventually revert. We were able to interpolate nineteen technical drivers for Unitedhealth Group, which can be compared to its competition. Please validate Unitedhealth Group coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to decide if Unitedhealth is priced more or less accurately, providing market reflects its prevalent price of 529.75 per share. Given that Unitedhealth Group has jensen alpha of 0.0452, we advise you to double-check Unitedhealth Group's current market performance to make sure the company can sustain itself at a future point.

Our Final Take On Unitedhealth

While some companies in the healthcare plans industry are either recovering or due for a correction, Unitedhealth may not be as strong as the others in terms of longer-term growth potentials. To sum up, as of the 15th of July 2022, our up-to-date 90 days buy-hold-sell advice on the company is Buy. We believe Unitedhealth is fairly valued with very low probability of distress for the next two years.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Gabriel Shpitalnik do not own shares of Unitedhealth Group. Please refer to our Terms of Use for any information regarding our disclosure principles.

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