United Health Group Just Crashed - 3 Minute Stock Analysis - May 2025

Published first at https://www.3minutebreakdowns.com United Health Group stock analysis. Ticker symbol: $UNH At the latest price, United Health Group has a market value of 292 billion dollars. The company has generated 410 billion of revenue over the past 12 months, 22 billion of net income and just under 25 billion of free cash flow. So the stock is now valued at 13 times earnings and 11 times free cash flow. That’s the company’s lowest valuation in more than a decade. Although that cash flow doesn’t account for acquisitions, include those at the multiple increases to around 20. UNH is a healthcare giant made up of two main segments, United Healthcare and Optum. United Healthcare provides health insurance and benefits to roughly 50 million people, typically. paid for by employers and government programs. And this segment makes up roughly 54% of revenue. The Optum segment provides healthcare services like clinics, data analytics and pharmacy. This segment makes up the remaining 46% of sales. But shares in United Health are under pressure due to rising medical costs relating from a surge in medicare plans. The company is also dealing with political challenges, poor execution and negative public sentiment. Last year the company experienced a cyber attack and the shocking murder of CEO Brian Thompson. Today, the company withdrew financial guidance and announced that CEO Andrew Witty would step down to be replaced by former CEO Stephen Hemsley. Hemsley has a strong track record from his previous leadership. ABOUT ME Joe is the original founder of 3-minute Breakdowns and editor for Overlooked Alpha, the number one newsletter for overlooked investing ideas and stock market analysis. Joe evaluates companies from a business-first perspective, searching for things that the market has got wrong and waiting for the 'fat pitch'. LINKS My website: https://www.3minutebreakdowns.com/ Koyfin charts: https://www.koyfin.com/affiliate/overlooked-alpha/?via=3mb TikTok: https://www.tiktok.com/@overlookedalpha X: https://x.com/OverlookedAlpha DISCLAIMER & DISCLOSURE This content is for educational and entertainment purposes only. 3-Minute Breakdowns is not a registered investment advisor and does not provide financial recommendations (only opinions). The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. All investing involves risk, including the possible loss of principal. The author reserves the right to buy and sell or change his position in a particular stock at any time. This description contains affiliate links that allow you to find the items that I personally use and recommend. Thank you for your support.