UnitedHealth (UNH), the largest U.S. health insurer, just received a price target boost from Barclays. The stock has steadied after a bumpy Q2 earnings season and is up 18.9% since reporting Q2 financial results on July 29. In his new note, Barclays analyst Andrew Mok raised the price target to $352 from $337, while keeping an Overweight rating. The new target implies 13.4% upside potential from current levels.
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Mok said the move reflects improving conditions across the managed care and healthcare facility group, where valuations have started to recover after months of pressure. He believes this shift shows that investor sentiment and earnings expectations may have already hit bottom, creating room for more gains ahead.
Why Mok Is Positive on UnitedHealth
Mok pointed to several near-term events that may drive managed care stocks higher. One is the federal budget debate set for September in Washington, where lawmakers will decide on health spending levels. Another is the government’s final pricing update for 2025 Medicare Advantage and Affordable Care Act insurance plans, which will determine what insurers can charge. He also noted the release of new Medicare Advantage star ratings, which grade plan quality and will be applied to the 2027 coverage year.
He said these updates will be closely watched by investors and are likely to guide how managed care stocks trade in the months ahead. Within his coverage, Mok sees UNH and CVS Health (CVS) as the strongest names to benefit from these upcoming policy moves. He believes both stocks have the most near-term upside compared with current Wall Street estimates.
At the same time, Mok warned that policy risk remains a concern, especially around Medicare pricing, which plays a major role in UnitedHealth’s business. Still, he believes UnitedHealth is in a good spot to deliver gains as sentiment in the sector turns more positive.
What Is the Future of UNH Stock?
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 $315.70, the average UnitedHealth stock price target implies a 1.71% upside potential.
