The healthcare sector is showing signs of recovery, and large insurers are drawing renewed attention from Wall Street. UnitedHealth Group (UNH), the nation’s largest health insurer, and CVS Health (CVS), a major player with both insurance and pharmacy benefits operations, have both emerged as key names to watch. Using TipRanks’ Stock Comparison Tool, we compare the two to see which stock analysts believe offers more upside.
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UnitedHealth Group (NYSE:UNH) Stock
UnitedHealth has lost about 37% so far in 2025 due to weak Q2 financials, regulatory scrutiny over Medicare billing practices, and leadership changes that shook investor confidence. However, the stock has started to recover recently, gaining 4% over the past three months. The rebound comes as conditions across managed care and healthcare facilities improve, with valuations stabilizing after months of pressure. Backed by a steady revenue base, continued investment, and expectations for earnings growth in 2026, UnitedHealth could appeal to investors willing to look past near-term challenges.
Several analysts remain upbeat on the stock. For instance, Bernstein analyst Lance Wilkes raised his price target on UNH to $379 from $337, while keeping an Outperform rating. He sees UNH as a strong long-term investment with the ability to deliver steady earnings growth. Likewise, Barclays analyst Andrew Mok also lifted his price target to $352 from $337, maintaining an Overweight rating. Mok pointed to several near-term catalysts that could drive the share price higher.
Is UNH a Good Buy Right Now?
Turning to Wall Street, UNH stock has a Strong Buy consensus rating based on 17 Buys, two Holds, and one Sell assigned in the last three months. At $317.80, the average UnitedHealth stock price target implies a 0.76% upside potential.
CVS Health (NYSE:CVS) Stock
CVS Health has surged about 70% in 2025, helped by strong earnings that beat forecasts, higher full-year profit guidance, and momentum across its insurance, pharmacy, and healthcare benefits units. The company also lifted investor confidence by cutting costs and expanding access to the weight-loss drug Wegovy through its partnership with Novo Nordisk (NVO).
UBS analyst Kevin Caliendo recently upgraded CVS to Buy from Neutral and raised his price target to $79 from $67. He said cost controls and stronger execution in the healthcare benefits business are starting to show results, and this progress is not yet priced into the stock. Caliendo highlighted that CVS has delivered two straight quarters of results above expectations, helped by clearer forecasting of Medicare Advantage costs and early signs of improvement in its group insurance business.
As a result, the firm now expects CVS earnings to grow at about 14% per year through 2028, ahead of both its prior forecast and the Street’s 12% estimate. Analysts also noted that CVS has adjusted its Medicare Advantage plans by lowering benefits and revising cost assumptions, which has helped stabilize claims and strengthen reserves.
Is CVS a Good Buy Right Now?
Turning to Wall Street, CVS stock has a Strong Buy consensus rating based on 14 Buys and one Hold assigned in the last three months. At $84.40, the average CVS Health stock price target implies a 14.39% upside potential.
Conclusion
Wall Street remains bullish on both UnitedHealth and CVS, but analysts see more upside in CVS. While UNH is a much larger player with a strong balance sheet, its near-term upside is limited at less than 1%. In contrast, CVS offers a higher potential return of about 14%, supported by recent upgrades, stronger execution in its healthcare benefits business, and rising investor confidence. For investors focused on near-term gains, CVS stands out as the more attractive pick, though UNH continues to offer long-term stability.