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Research Alert: CFRA Maintains Hold Rating On Shares Of Unitedhealth Group

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CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month price target to $440 from $385, 24x our 2026 EPS estimate (up $0.11 to $18.36; 2027 estimate up $0.64 to $20.76), a premium to UNH's 10-year historical forward average of 19.4x. Our target multiple is above most peers to reflect strong FCF generation, balance sheet strength, scale advantages, and a diversified business model across health insurance, pharmacy benefit management, health care technology and analytics, and outpatient facility networks. We are upgrading our 12-month fundamental outlook for the managed health care sub-industry to neutral from negative, with UNH and peers taking steps to improve profitability via increased medical premiums, strategic portfolio shifts/exits, and heightened focus on cost control within an elevated medical cost landscape. We anticipate that these actions may improve margins and profitability looking ahead to 2027-2028 and think valuations could gradually improve.

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