The technology and pharmaceutical industries are well known for the concentration of US bull stocks, which perform better against the backdrop of high inflation and interest rate hikes, such as Johnson & Johnson, Eli Lilly and Co and AstraZeneca PLC, which all set record highs this year.

Recently, another Changniu plate that is stronger than pharmaceutical stocks is the medical insurance sector. On Wednesday, this section$Molina Healthcare (MOH.US) $、$Anthem Inc (ANTM.US) $、$Cigna Corp (CI.US) $Qi Qi went higher, once again refreshing the all-time high.

From a ten-year perspective, the US stock medical insurance sector is an out-and-out "bull stock concentration camp":$UnitedHealth Group Inc (UNH.US) $Ten times in 10 years.$Molina Healthcare (MOH.US) $13 times in 10 years$Anthem Inc (ANTM.US) $It has risen for the 10th year in a row and has risen nearly nine times so far.

What makes these medical insurance stocks bullish? What is the origin of these companies?

The American health insurance market is huge.

The United States is the only developed country in the world that does not have a universal health insurance system, which is heavily dependent on commercial insurance. The private medical insurance system in the United States is very developed, and it provides a wide range of products for users to choose from. According to statistics, more than 80% of Americans have purchased a variety of private health insurance products, which is an extremely huge market.

In additionMedical insurance companies have a strong anti-inflation attribute.Over the past 20 years, the annual increase in premiums for commercial health insurance in the United States has far outpaced the increase in personal income and inflation.

In 2021, the top ten health insurance companies in the United States are UnitedHealth Group Inc Group, Anthem Inc, Centene, Humana and Health Care Service Corp. (HCSC), CVS Health, Molina Healthcare, Cigna, Kaiser Permanente and GuideWell. Among themThe top five companies account for 46% of the total market share of the health insurance industry。

Why does UnitedHealth Group Inc hold the throne steadily?

UnitedHealth Group Inc is the largest health insurance company in the United States, founded by Richard T. Burke in January 1977 and headquartered in Minneapolis, Minnesota.

The company is mainly engaged in health insurance and health service business, linking insurance and medical services, the two work together and complement each other to create a "medical insurance" business closed loop.

Among them, health insurance business income accounts for about 60%, health service business income accounts for about 40%, health service business includes medicine and medical care.

UnitedHealth Group Inc operates in 50 states and internationally through six companies: UnitedHealth Group Inc Insurance (UnitedHealthcare), Ovations, AmeriChoice, Uniprise, Specialized Care Services and Ingenix.

1. UnitedHealth Group Inc Insurance (UnitedHealthcare):Provide web-based health and welfare services for employers of small and medium-sized companies, as well as individuals and families.

2 、 AmeriChoice:Manage health insurance services for the State Grant Program (Medicaid) and its beneficiaries.

3 、 Ovations:Provide health and welfare services for 50-year-old Americans and their families.

4 、 Uniprise:Provide web-based health and welfare services, business-to-business infrastructure services, consumer contacts and services, and electronic technical support services for large corporate employers and health insurance companies, as well as health-related consumer financial services.

5 、 Ingenix:Provide services to pharmaceutical companies, health insurers and payers, doctors and care providers, as well as employers and governments of large companies. It is a leader in the fields of health insurance data, analysis and application.

6 、 Specialized Care Services:To provide effective ways to provide quality health benefits to those in need, including dental and visual benefits and services. Group insurance services, including major accidents, short-term disability and personal underwriting, as well as cost management services for health insurance plans, self-employed people and individual consumers. Professional health effectiveness programmes, including consumer health information services, employee assistance programmes, mental health services, drug abuse programmes, disease management and care implementation services, chiropractic services, alternative health insurance services, physiotherapy services, serious diseases and network support services.

Over the past few decades, UnitedHealth Group Inc has grown into a leading global health insurance company through epitaxial mergers and acquisitions and endogenous expansion.

The company acquires a large number of HMOs, health plan, PBM, group insurance business, medical information companies, quickly gather medical resources, build professional capabilities, and enhance the core competitiveness of health insurance business.

On the other hand, around the health insurance business in-depth expansion, extending health management, information technology services, drug welfare management and other services, extension and endogenous coordination.

As the "number one brother" in the market capitalization of the medical insurance sector, UnitedHealth Group Inc perfectly interpreted the legend of ten times the capital in ten years. Since 2009, the company's share price has been maintained.It has risen for 14 consecutive years, with a cumulative increase of more than 23 times.！

UnitedHealth Group Inc's financial performance is also very sound. Earnings per share (EPS)Rise for 12 years in a row。

Return on equity (ROE) has been maintained for five consecutive yearsMore than 24%。

UnitedHealth Group Inc announced last week that revenue for the first quarter of this year was $80.149 billion, up 14% from a year earlier, while net profit from common shareholders of the company was $5.027 billion, an increase of 3.4% over the same period last year, both exceeding market expectations.

As of December 31, 2021, the total number of UnitedHealthcare members reached 50.63 million, growing to 50.965 million in the first quarter of this year.Due to the continued strong growth of preferential Medicare (Medicare Advantage) and double Special needs Program (Dual Special Needs Plans) and the Medicaid market as a whole。

CompanyThe full-year earnings per share guidance is raised, and the adjusted net income per share is expected to reach $21.2-21.7.

Currently, the average target price given by Wall Street analysts to UnitedHealth Group Inc is582.18 dollarsWhich means that compared with the closing price on the 20th6.6%The potential room for growth.

Analysts pointed out that UnitedHealth Group Inc's first-quarter results were "solid" but needed to focus on two downside risks: the possibility of health care inflation and fiercer competition in Medicare.