Whit Mayo, an analyst from Leerink Partners, reiterated the Buy rating on UnitedHealth (UNH – Research Report). The associated price target was lowered to $520.00.
Whit Mayo has given his Buy rating due to a combination of factors, despite the current challenges faced by UnitedHealth. The company has experienced a downturn in its 2025 earnings guidance, primarily driven by increased care activity and changes in the Medicare Advantage environment. However, Mayo sees potential for recovery and improvement in 2026, as the company adjusts to these challenges and optimizes its operations.
Despite the complexities in the near-term earnings outlook, Mayo remains optimistic about UnitedHealth’s long-term prospects. The elevated care activity has been factored into future planning, allowing for a more informed approach to 2026 bids. Additionally, UnitedHealth continues to maintain its Medicare Advantage margins within the targeted range, with expectations for margin improvements next year. This, combined with a compelling valuation and potential upside, supports Mayo’s Buy rating for the stock.
In another report released yesterday, Morgan Stanley also maintained a Buy rating on the stock with a $563.00 price target.
UNH’s price has also changed moderately for the past six months – from $571.470 to $425.330, which is a -25.57% drop .