UNITEDHEALTH GROUP INC (UNH.DE) Stock Fundamental Analysis
FRA:UNH - US91324P1021 - Common Stock
293.9 EUR
+2.45 (+0.84%)
Taking everything into account, UNH scores 5 out of 10 in our fundamental rating. UNH was compared to 27 industry peers in the Health Care Providers & Services industry. Both the profitability and the financial health of UNH get a neutral evaluation. Nothing too spectacular is happening here. UNH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year UNH was profitable.
UNH had a positive operating cash flow in the past year.
In the past 5 years UNH has always been profitable.
UNH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
UNH's Return On Assets of 6.90% is amongst the best of the industry. UNH outperforms 85.19% of its industry peers.
Looking at the Return On Equity, with a value of 21.20%, UNH belongs to the top of the industry, outperforming 96.30% of the companies in the same industry.
UNH has a better Return On Invested Capital (7.89%) than 81.48% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UNH is above the industry average of 6.10%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 21.2% | ||
| ROIC | 7.89% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)22.21%
ROE(5y)22.85%
ROIC(3y)10.14%
ROIC(5y)10.16%
1.3 Margins
Looking at the Profit Margin, with a value of 5.04%, UNH is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
UNH's Profit Margin has declined in the last couple of years.
UNH has a Operating Margin of 7.27%. This is comparable to the rest of the industry: UNH outperforms 55.56% of its industry peers.
UNH's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.27% | ||
| PM (TTM) | 5.04% | ||
| GM | N/A |
OM growth 3Y-1.09%
OM growth 5Y-0.16%
PM growth 3Y-15.71%
PM growth 5Y-8.84%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
UNH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
UNH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, UNH has less shares outstanding
UNH has a worse debt/assets ratio than last year.
2.2 Solvency
UNH has a debt to FCF ratio of 3.13. This is a good value and a sign of high solvency as UNH would need 3.13 years to pay back of all of its debts.
The Debt to FCF ratio of UNH (3.13) is better than 88.89% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that UNH is somewhat dependend on debt financing.
UNH has a Debt to Equity ratio (0.73) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.13 | ||
| Altman-Z | N/A |
ROIC/WACC0.94
WACC8.39%
2.3 Liquidity
UNH has a Current Ratio of 0.88. This is a bad value and indicates that UNH is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of UNH (0.88) is worse than 62.96% of its industry peers.
UNH has a Quick Ratio of 0.88. This is a bad value and indicates that UNH is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.88, UNH perfoms like the industry average, outperforming 44.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
UNH shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.40%.
UNH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.07% yearly.
The Revenue has grown by 9.70% in the past year. This is quite good.
Measured over the past years, UNH shows a quite strong growth in Revenue. The Revenue has been growing by 10.57% on average per year.
EPS 1Y (TTM)-5.4%
EPS 3Y13.67%
EPS 5Y13.07%
EPS Q2Q%-40%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y11.65%
Revenue growth 5Y10.57%
Sales Q2Q%12.66%
3.2 Future
Based on estimates for the next years, UNH will show a small growth in Earnings Per Share. The EPS will grow by 3.11% on average per year.
UNH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.35% yearly.
EPS Next Y-41.39%
EPS Next 2Y-20.21%
EPS Next 3Y-9.29%
EPS Next 5Y3.11%
Revenue Next Year11.73%
Revenue Next 2Y7.77%
Revenue Next 3Y6.89%
Revenue Next 5Y6.35%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
UNH is valuated correctly with a Price/Earnings ratio of 13.68.
85.19% of the companies in the same industry are more expensive than UNH, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.03, UNH is valued a bit cheaper.
UNH is valuated rather expensively with a Price/Forward Earnings ratio of 19.42.
Based on the Price/Forward Earnings ratio, UNH is valued a bit more expensive than 62.96% of the companies in the same industry.
UNH's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.54.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.68 | ||
| Fwd PE | 19.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UNH is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UNH indicates a somewhat cheap valuation: UNH is cheaper than 62.96% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.36 | ||
| EV/EBITDA | 10.21 |
4.3 Compensation for Growth
The decent profitability rating of UNH may justify a higher PE ratio.
UNH's earnings are expected to decrease with -9.29% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.05
EPS Next 2Y-20.21%
EPS Next 3Y-9.29%
5. Dividend
5.1 Amount
UNH has a Yearly Dividend Yield of 2.85%.
Compared to an average industry Dividend Yield of 2.78, UNH pays a better dividend. On top of this UNH pays more dividend than 85.19% of the companies listed in the same industry.
UNH's Dividend Yield is comparable with the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
5.2 History
On average, the dividend of UNH grows each year by 14.73%, which is quite nice.
Dividend Growth(5Y)14.73%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
UNH pays out 36.54% of its income as dividend. This is a sustainable payout ratio.
UNH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.54%
EPS Next 2Y-20.21%
EPS Next 3Y-9.29%
FRA:UNH (9/10/2025, 7:00:00 PM)
293.9
+2.45 (+0.84%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners90.48%
Inst Owner ChangeN/A
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap266.18B
Analysts75.63
Price Target284.77 (-3.11%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
Yearly Dividend7
Dividend Growth(5Y)14.73%
DP36.54%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.05%
Min EPS beat(2)-9.92%
Max EPS beat(2)-2.18%
EPS beat(4)2
Avg EPS beat(4)-2.67%
Min EPS beat(4)-9.92%
Max EPS beat(4)1.12%
EPS beat(8)6
Avg EPS beat(8)0.29%
EPS beat(12)10
Avg EPS beat(12)1.09%
EPS beat(16)14
Avg EPS beat(16)1.55%
Revenue beat(2)0
Avg Revenue beat(2)-1.85%
Min Revenue beat(2)-2.79%
Max Revenue beat(2)-0.91%
Revenue beat(4)1
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-2.79%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-0.56%
Revenue beat(12)5
Avg Revenue beat(12)-0.28%
Revenue beat(16)8
Avg Revenue beat(16)-0.12%
PT rev (1m)-14.47%
PT rev (3m)-42.6%
EPS NQ rev (1m)-3.88%
EPS NQ rev (3m)-63.47%
EPS NY rev (1m)-26.67%
EPS NY rev (3m)-32.68%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)-0.31%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.68 | ||
| Fwd PE | 19.42 | ||
| P/S | 0.74 | ||
| P/FCF | 12.36 | ||
| P/OCF | 10.79 | ||
| P/B | 3.11 | ||
| P/tB | 3.11 | ||
| EV/EBITDA | 10.21 |
EPS(TTM)21.49
EY7.31%
EPS(NY)15.13
Fwd EY5.15%
FCF(TTM)23.78
FCFY8.09%
OCF(TTM)27.25
OCFY9.27%
SpS397.53
BVpS94.46
TBVpS94.46
PEG (NY)N/A
PEG (5Y)1.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 21.2% | ||
| ROCE | 10.15% | ||
| ROIC | 7.89% | ||
| ROICexc | 8.82% | ||
| ROICexgc | 33.7% | ||
| OM | 7.27% | ||
| PM (TTM) | 5.04% | ||
| GM | N/A | ||
| FCFM | 5.98% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)22.21%
ROE(5y)22.85%
ROIC(3y)10.14%
ROIC(5y)10.16%
ROICexc(3y)11.32%
ROICexc(5y)11.36%
ROICexgc(3y)32.46%
ROICexgc(5y)32.01%
ROCE(3y)13.1%
ROCE(5y)13.1%
ROICexcg growth 3Y-2.11%
ROICexcg growth 5Y-0.12%
ROICexc growth 3Y-2.38%
ROICexc growth 5Y-0.43%
OM growth 3Y-1.09%
OM growth 5Y-0.16%
PM growth 3Y-15.71%
PM growth 5Y-8.84%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover1.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.13 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 87.23% | ||
| Cap/Sales | 0.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.85% | ||
| Profit Quality | 118.76% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | N/A |
F-Score8
WACC8.39%
ROIC/WACC0.94
Cap/Depr(3y)84.34%
Cap/Depr(5y)80.61%
Cap/Sales(3y)0.88%
Cap/Sales(5y)0.86%
Profit Quality(3y)124.43%
Profit Quality(5y)123.8%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.4%
EPS 3Y13.67%
EPS 5Y13.07%
EPS Q2Q%-40%
EPS Next Y-41.39%
EPS Next 2Y-20.21%
EPS Next 3Y-9.29%
EPS Next 5Y3.11%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y11.65%
Revenue growth 5Y10.57%
Sales Q2Q%12.66%
Revenue Next Year11.73%
Revenue Next 2Y7.77%
Revenue Next 3Y6.89%
Revenue Next 5Y6.35%
EBIT growth 1Y-3.97%
EBIT growth 3Y10.44%
EBIT growth 5Y10.4%
EBIT Next Year-27.23%
EBIT Next 3Y-3.46%
EBIT Next 5Y4.32%
FCF growth 1Y-33.78%
FCF growth 3Y0.99%
FCF growth 5Y4.56%
OCF growth 1Y-29.96%
OCF growth 3Y2.39%
OCF growth 5Y5.37%