HSBC analyst Sidharth Sahoo downgrades $UnitedHealth (UNH.US)$ to a hold rating, and adjusts the target price from $580 to $595.
According to TipRanks data, the analyst has a success rate of 42.9% and a total average return of 3.5% over the past year.
Furthermore, according to the comprehensive report, the opinions of $UnitedHealth (UNH.US)$'s main analysts recently are as follows:
The early indication of UnitedHealth's FY25 EPS being approximately $30 at the high-end, which represents a more conservative stance than previous practices, seems to be affecting the stock's performance. Nonetheless, this is perceived as 'a low bar' that the company is expected to surpass with ease.
Following UnitedHealth's stock selloff due to the less optimistic 2025 guidance, there is a focus on the company's favorable position compared to its competitors and the anticipated benefits from market share growth. Despite pressures on rates and reimbursement in the Medicare Advantage industry, UnitedHealth is well-equipped to handle these challenges, as its Medicare Advantage business remains profitable. Post the company's Q3 report, earnings per share estimates have been adjusted alongside a revised valuation multiple.
Following UnitedHealth's Q3 outcomes, expectations for the company's future earnings have been tempered. The forecast for FY25 EPS has been reduced to reflect ongoing heightened Medicare coding intensity, despite the resumption of prior authorization. Additionally, challenges due to Medicaid acuity are anticipated, but these are expected to be short-lived.
Note:
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