Goldman Sachs Names UnitedHealth (UNH) to Conviction List, Keeps $435 Price Target

On May 1, Goldman Sachs added UnitedHealth Group Incorporated (NYSE:UNH) to its U.S. Conviction List arsenic portion of its monthly update. The steadfast believes the institution is nearing the bottommost of its underwriting rhythm for Medicare Advantage, which makes up astir 40% of its business. Goldman maintains a Buy standing connected the shares with a $435 terms target.

On April 21, Raymond James expert John Ransom raised the firm’s terms proposal connected UNH to $370 from $330. It reiterated an Outperform standing connected the shares. The institution reported better-than-expected Q1 results, with adjusted EBIT coming successful $790M supra estimates and a halfway underlying bushed of astir $1.19B. This translates to astir $1.05 of EPS upside aft adjustments, the expert tells investors successful a probe note. Despite the beardown quarter, absorption appears to person absorbed overmuch of the upside done higher costs. Guidance is seen arsenic conservative. The steadfast noted that the marketplace whitethorn beryllium looking for a stronger net baseline aboriginal successful the year, adjacent arsenic the guardant aggregate has already moved up from caller lows.

UnitedHealth Group Incorporated (NYSE:UNH) is simply a healthcare and well-being company. Its segments see Optum Health, Optum Insight, Optum Rx, and UnitedHealthcare, which covers Employer & Individual, Medicare & Retirement, and Community & State.

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