UnitedHealth Group Inc.

UNH
Financial Analysis · Updated May 12, 2026 · Coverage 2026-Q2
Latest Q Revenue
$111.7B
Q1 2026 · +1.9% YoY
TTM ROIC
7.1%
FY2025 · NOPAT / Invested Capital (NOPAT = Operating Income × (1 - tax rate); Invested Capital = Total Assets - Non-interest-bearing Current Liabilities - Cash) · WACC ~9.5% · Moat spread +-2.4pp

Financial Snapshot


ticker: UNH step: 04 generated: 2026-05-11 source: quick-research

UnitedHealth Group Incorporated (UNH) — Financial Snapshot

Income Statement Summary

Metric FY2023 FY2024 FY2025 YoY
Revenue $371.6B $400.3B $448.0B +12%
Adjusted Operating Margin 8.8% 5.2% 2.7% -2.5pp
Net Income $22.4B $14.4B $12.1B -16%
Adjusted EPS $25.12 $27.66 $26.50 -4%
Medical Loss Ratio 83.2% 85.5% 88.9% +3.4pp

Segment Revenue (FY2025 approximate)

Segment Revenue YoY
UnitedHealthcare ~$300B +13%
Optum Rx ~$130B +12%
Optum Health ~$110B -2% (under pressure)
Optum Insight ~$20B +5%
Inter-segment eliminations ($112B)

Membership (FY2025)

Segment Members
Total US Medical ~50M
Medicare Advantage ~7.8M (+755K growth in 2025 including dual-eligible)
Commercial Risk + Fee ~26M
Medicaid ~7M
Optum Rx PBM ~60M+

Cash Flow & Balance Sheet (FY2025)

Metric Value
Cash Flow from Operations ~$24B (sharply down from $29.7B in 2024)
Capital Expenditures ~($3.5B)
Free Cash Flow ~$20B
Cash & Investments ~$130B (mostly held to back insurance liabilities)
Total Debt ~$80B
Stockholders' Equity ~$96B

Key Ratios (approximate, May 2026)

  • P/E (forward): ~13x | EV/EBITDA: ~10x | Dividend Yield: ~2.9%
  • ROE: ~13% (down from 22%+ pre-pressure) | ROIC: ~10%
  • Debt/Capital: ~45%

Growth Profile

2025 was the most challenging year in UNH's modern history. Revenue grew 12% but profits fell to $12.1B (lowest since 2018), and operating margin collapsed from 5.2% → 2.7% under three pressures: (1) CMS Medicare Advantage funding cuts under V28 risk model, (2) Inflation Reduction Act drug pricing changes, and (3) elevated medical cost trend across Medicare cohorts. Management's 2026 outlook is for revenue >$439B (~2% decline) — the first revenue decline in a decade. Triggered a ~20% single-day plunge in January 2026.

Forward Estimates

  • 2026E Revenue: ~$439-445B (UNH guidance: revenue decline first time in a decade)
  • 2026E EPS: ~$22-24 (consensus, materially below 2024 peak of $27.66)
  • 2027E EPS: ~$26-28 (consensus, with recovery assumed if Medicare reset stabilizes)
  • Medical Cost Trend: Management modeling continued elevated trend

Capital Return

  • Dividend $8/share annual ($7.3B), grown each of last 15+ years
  • Buybacks moderated in 2025/26 to preserve capital amid investigation overhang
  • Insider buying: Notable Hemsley + other executive open-market purchases following stock decline

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $UNH.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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