‘Time to Trust the Long-Term?' Analysts Maintain Buy on UnitedHealth Stock (UNH) Despite Price Target Cuts
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Nevertheless, both analysts maintain a Buy rating on UNH stock, citing confidence in long-term prospects.
Truist Lowers Target but Sees Stability Ahead
MacDonald lowered his price target on UnitedHealth to $345 from $360. The analyst expects Q2 results to show a mixed picture across the Healthcare sector, with some companies doing better than others depending on how they manage patient usage and costs.
Despite these short-term pressures, he is optimistic about the long-term outlook due to strong demand for healthcare services. Also, the Reconciliation Bill has made the rules and regulations clearer, which could help stabilize the company's business going forward.
Leerink Cuts Target but Projects Recovery by 2027
Leerink Partners' Mayo lowered the price target from $355 to $340, citing fading investor expectations as people wait for the company to update its 2025 financial guidance. He believes earnings in the $18–$19 per share range could ease concerns about shrinking margins.
On the positive side, the analyst sees this as the start of a long-term recovery. He expects profit margins to improve gradually over the next few years, with stronger growth likely starting in 2027, once the company finishes switching out of its current Medicare risk model.
Is UNH a Good Buy Right Now?
Turning to Wall Street, UNH stock has a Moderate Buy consensus rating based on 18 Buys, seven Holds, and one Sell assigned in the last three months. At $357.14, the average UnitedHealth stock price target implies a 21.75% upside potential.
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